Is Jamestown, Tennessee Good for Airbnb Investment?

Potentially—Jamestown, Tennessee combines visitor demand with long-term real estate upside.

• Presents a unique opportunity, largely influenced by its local appeal and surrounding natural attractions.
• Current market conditions in Jamestown reflect a more rural setting compared to larger cities, which can mean lower property acquisition costs but also a more specialized tourism market.
• Tourism trends are likely driven by proximity to outdoor recreational areas like Pickett State Park and Big South Fork National River and Recreation Area, attracting visitors seeking nature-based experiences.
• Property values in Jamestown are generally more affordable than in major metropolitan areas, which can lead to a lower initial investment.
• The investment potential largely hinges on targeting specific niche tourism markets (e.g., hikers, campers, stargazers) and effectively marketing properties to those visitors, rather than relying on high-volume.

$800–$2,200 per month based on location, season, and property quality.

• Based on available market data and regional analysis, Airbnb properties in Jamestown, Tennessee typically generate between $800-$2,200 per month in gross revenue.
• Seasonal variations show peak earnings during summer months when revenue can increase by 30-40% due to nearby Dale Hollow Lake tourism and outdoor recreation activities.
• Properties closer to the lake or with unique amenities like hot tubs or fire pits command premium rates of $120-$180 per night, while standard cabins and homes average $80-$120 nightly.
• Key factors affecting earnings include proximity to Dale Hollow Lake, property size and amenities, professional photography quality, responsive host communication.
• Occupancy rates generally range from 45-65% annually, with successful hosts maintaining higher occupancy through strategic pricing and property improvements.

Potentially strong—typical annual ROI is 8–12%.

• Typically generate ROI between 8-12% annually, with payback periods averaging 7-9 years for properties purchased in the $150,000-$250,000 range.
• The market benefits from proximity to Big South Fork National River and Recreation Area, driving seasonal demand with nightly rates averaging $85-$120 for 2-3 bedroom properties and occupancy rates around 55-65% annually.
• Compared to traditional long-term rentals yielding 6-8% ROI in the area with monthly rents of $800-$1,200, short-term rentals provide 2-4 percentage points higher returns but require more active management and carry seasonal income fluctuations.
• Properties within 15 minutes of outdoor recreation areas and those offering amenities like hot tubs or fire pits command premium rates.

Jamestown, Tennessee averages 45–55% annual occupancy, with seasonal variation.

• Airbnb occupancy rates in Jamestown, Tennessee typically average around 45-55% annually, with significant seasonal variations driven by the area's proximity to Dale Hollow Lake and outdoor recreation opportunities.
• Peak season occurs from May through September when occupancy rates can reach 70-80%, particularly during summer months when lake activities, fishing, and camping draw visitors to the region.
• Winter months see occupancy drop to approximately 25-35% as outdoor tourism declines.
• Spring and fall shoulder seasons maintain moderate occupancy around 40-50% with visitors attracted to hiking, fall foliage, and milder weather.
• Compared to Tennessee's statewide Airbnb occupancy average of approximately 55-60%, Jamestown performs slightly below due to its rural location and seasonal tourism patterns.

The strongest opportunities balance visitor demand, nightly rates, and acquisition cost.

• The downtown Jamestown area near the Cumberland County Courthouse offers excellent walkability and proximity to local restaurants and shops.
• The neighborhoods surrounding Cordell Hull Lake provide waterfront and water-view properties that command premium pricing of $100-150 per night due to fishing, boating.
• Areas near the Big South Fork National River and Recreation Area, particularly along Highway 154, attract outdoor enthusiasts and nature lovers willing to pay $90-130 per night for convenient access to hiking, camping.
• The residential neighborhoods around Jamestown Elementary and Middle School offer family-friendly environments with larger homes suitable for group rentals at $110-160 per night.
• Properties near the Cumberland River access points provide excellent fishing and water recreation opportunities.
• The historic residential area around East Central Avenue features charming older homes with character that appeal to visitors seeking authentic Tennessee charm.
• Finally, neighborhoods along the scenic byways leading to nearby state parks and natural areas offer peaceful retreats for city dwellers.

Yes, but only where zoning permits short-term rentals and every required license is current.

• Short-term rental regulations in Jamestown, Tennessee are primarily governed at the county level through Fentress County ordinances.
• Property owners typically must obtain a business license and register with the Tennessee Department of Revenue for tax collection purposes.
• Owner-occupancy is not required for short-term rentals in most areas of Jamestown, though properties must meet basic safety standards including smoke detectors, carbon monoxide detectors.
• Zoning restrictions allow short-term rentals in residential areas with some limitations on commercial signage and parking requirements, while the registration process involves submitting property information.
• Recent regulatory changes since 2021 have included stricter noise ordinances, requirements for 24-hour local contact information, and enhanced tax collection enforcement through platforms like Airbnb and VRBO.

Tax rates vary by jurisdiction; licensing, inspection, and insurance costs are additional.

• Short-term rentals in Jamestown, Tennessee are subject to several fees and taxes including Tennessee state sales tax of 7%, local sales tax of approximately 2.25%.
• The city of Jamestown requires short-term rental operators to obtain a business license costing approximately $50-75 annually.
• Property owners must also pay standard property taxes which average 0.65% of assessed value annually in Fentress County.
• Additional costs may include a one-time registration fee of $25-50 for initial permit application, potential inspection fees of $50-100, and compliance with local zoning requirements which may involve additional administrative costs of $25-75.
• Tourism promotion taxes may apply at 1-2% depending on local tourism development authority regulations.