Is Maryville, Tennessee Good for Airbnb Investment?

To start an Airbnb in Maryville, Tennessee, begin by researching local zoning laws and regulations through the Maryville Planning Department, as the city requires short-term rental permits and compliance with residential zoning restrictions that typically limit rentals to no more than 30% of units in residential areas. Obtain necessary permits including a business license from Maryville City Hall (estimated cost $50-100), a short-term rental permit (approximately $200-300 annually), and ensure compliance with Tennessee state tax requirements including sales tax registration with the Department of Revenue. Find a suitable property in approved zones, focusing on areas near the University of Tennessee or downtown Maryville, with purchase prices ranging from $150,000-400,000 depending on size and location. Furnish the property with essential amenities including Wi-Fi, kitchen appliances, linens, and safety equipment like smoke detectors and fire extinguishers as required by local fire codes. Create your listing on Airbnb and VRBO platforms with professional photos, competitive pricing around $80-150 per night based on local market rates, and detailed descriptions highlighting proximity to Great Smoky Mountains National Park and local attractions. Manage the property by establishing cleaning protocols between guests, maintaining 24/7 communication availability, coordinating with local cleaning services (typically $50-75 per turnover), and ensuring compliance with occupancy limits and noise ordinances that Maryville enforces, while collecting and remitting the required 9.75% combined state and local occupancy taxes.

For identifying profitable short-term rental properties in Maryville, Tennessee, focus on locations within 15-20 minutes of Great Smoky Mountains National Park entrances, near Maryville College, or in historic downtown areas with walkable amenities. Target 2-4 bedroom properties built after 1990 with mountain or lake views, outdoor spaces like decks or fire pits, modern kitchens, and reliable internet for remote workers visiting the area. Analyze comparable STR rates using AirDNA and VRBO data, aiming for properties that can generate $150-300 per night depending on size and location, with occupancy rates of 60-75% annually. Research competition by monitoring active Airbnb and VRBO listings within a 5-mile radius, noting their amenities, pricing strategies, and guest reviews to identify market gaps. Utilize tools like Mashvisor for rental yield analysis, STR Helper for market data, and local resources including the Blount County tourism board, Maryville-Alcoa-Blount County Chamber of Commerce for visitor statistics, and connect with local property management companies like Smoky Mountain Retreat Rentals who understand seasonal demand patterns driven by national park tourism, college events, and outdoor recreation activities.

To obtain an Airbnb/STR permit in Maryville, Tennessee, you must first contact the Maryville Planning Department at City Hall located at 322 Lamar Alexander Parkway to determine if short-term rentals are permitted in your specific zoning district, as the city requires compliance with zoning regulations. Submit an application for a business license through the City Clerk's office, providing required documents including proof of property ownership or lease agreement, liability insurance certificate (minimum $1 million coverage), floor plan of the rental unit, parking plan showing adequate off-street parking, and contact information for a local responsible party available 24/7. Pay the business license fee of approximately $50-75 annually, plus any applicable zoning compliance fees of around $100-200. The application process typically takes 2-4 weeks for review and approval, during which city staff will conduct a zoning compliance review and may require a site inspection. Maryville-specific requirements include maintaining the property's residential character, ensuring adequate parking (typically 2 spaces per unit), providing trash collection arrangements, displaying the permit number in all advertisements, and maintaining a guest registry. You must also comply with Tennessee state tax requirements by registering with the Department of Revenue for sales tax collection and remittance, and ensure compliance with any applicable homeowners association rules or deed restrictions before beginning operations.

Short-term rentals (STRs) are legal in Maryville, Tennessee, but operate under specific regulations established by the city. Maryville requires STR operators to obtain a business license and comply with zoning restrictions that primarily allow short-term rentals in commercial and mixed-use districts, while residential zones have more limited permissions typically requiring conditional use permits or special exceptions. The city has implemented occupancy limits, parking requirements, and noise ordinances that STR operators must follow, along with safety standards including smoke detectors and emergency egress requirements. Recent changes around 2020-2022 have included stricter enforcement mechanisms and clearer definitions of what constitutes a short-term rental, with the city requiring annual renewals of permits and establishing complaint procedures for neighbors. Properties in certain historic districts or areas with homeowners association restrictions may face additional limitations, and operators must collect and remit local occupancy taxes to the city, making Maryville's approach relatively permissive compared to some Tennessee municipalities while still maintaining regulatory oversight.

The best Airbnb investment areas in Maryville, Tennessee include the Foothills Parkway corridor and neighborhoods near Alcoa Highway (US-129) due to their proximity to Great Smoky Mountains National Park, which attracts over 12 million visitors annually. The downtown Maryville area around Court Square and Broadway Avenue offers strong potential for business travelers visiting Denso Manufacturing, Clayton Homes corporate headquarters, and Blount Memorial Hospital, while also serving tourists exploring the historic courthouse square and local festivals. The Pellissippi Parkway corridor near the Maryville-Alcoa Greenway provides excellent access for visitors attending events at the Clayton Center for the Arts and families visiting nearby attractions like Cades Cove. Areas near Maryville College, particularly around Lamar Alexander Parkway, attract parents visiting students and conference attendees, while neighborhoods close to the Foothills Mall area serve as convenient bases for both Knoxville business travelers (30 minutes away) and Gatlinburg tourists (45 minutes to attractions). The Louisville Road area offers value investments with easy highway access for visitors heading to Dollywood, Gatlinburg, and Pigeon Forge while maintaining lower property costs than prime tourist zones.

In Maryville, Tennessee, Airbnb hosts are subject to both state and local lodging taxes. The Tennessee state sales tax rate is 7%, which applies to short-term rental accommodations, and hosts must collect this from guests and remit it to the Tennessee Department of Revenue monthly if gross sales exceed $600 annually. Blount County imposes an additional hotel/motel tax of approximately 5% on lodging stays under 30 days, which must be collected by hosts and remitted quarterly to the Blount County Trustee's office. The City of Maryville may impose an additional local occupancy tax of around 3-5%, bringing the total tax burden to approximately 15-17% of the rental rate. Airbnb automatically collects and remits state sales tax in Tennessee as of 2019, but hosts remain responsible for collecting and remitting local county and city occupancy taxes directly to the respective authorities. Stays of 30 days or longer are typically exempt from these occupancy taxes, and some jurisdictions may offer exemptions for certain types of accommodations or guests, such as government employees on official business, though specific exemption criteria vary by locality.

The total cost to start an Airbnb in Maryville, Tennessee is approximately $285,000-$325,000. Property purchase costs around $250,000 based on median home prices in the area as of 2023. Furnishing a 2-3 bedroom property requires $15,000-$25,000 for quality furniture, bedding, kitchen essentials, and decor to create an attractive rental space. Initial setup costs including professional photography, listing creation, and basic renovations total $3,000-$5,000. Permits and fees vary but typically include business license ($50-$100), short-term rental permit ($200-$500), and potential HOA approval fees. Insurance for short-term rentals costs $1,200-$2,000 annually, significantly higher than standard homeowner's insurance. Utility setup and deposits for electricity, water, gas, internet, and cable run $500-$800 initially. First six months of operating costs including utilities ($200/month), cleaning services ($75 per turnover), property management software ($50/month), maintenance reserves ($150/month), and marketing expenses total approximately $4,500-$6,000, assuming 60-70% occupancy rates typical for the Smoky Mountain region tourism market.

Airbnb properties in Maryville, Tennessee typically generate annual revenues between $15,000-$35,000 for entire homes, with average daily rates ranging from $80-$150 depending on proximity to Great Smoky Mountains National Park and property amenities. Operating expenses generally consume 40-60% of gross revenue, including cleaning fees ($30-50 per turnover), property management (15-25% of revenue), utilities ($150-300 monthly), insurance ($1,200-2,000 annually), and maintenance costs averaging $2,000-4,000 yearly. Properties within 15 miles of Gatlinburg or near Foothills Parkway command premium rates and achieve 65-75% occupancy rates, resulting in net profit margins of 25-40%. A typical 3-bedroom cabin near Cades Cove generates approximately $28,000 annually with $17,000 in expenses, yielding $11,000 profit (39% margin). Success factors include strategic location near park entrances, professional photography, responsive guest communication, and amenities like hot tubs or fire pits. Properties farther from tourist attractions or lacking distinctive features often struggle with 40-50% occupancy and profit margins below 20%. The market benefits from year-round tourism driven by the national park, with peak seasons in fall (foliage) and summer generating 60% of annual revenue.

Airbnb investments in Maryville, Tennessee typically generate annual ROI of 12-18% with cash-on-cash returns ranging from 8-14%, driven by the city's proximity to Great Smoky Mountains National Park and steady tourism demand. Properties within 15 minutes of the park entrance or near Maryville College command premium rates of $120-180 per night during peak seasons (April-October), while off-season rates average $80-120 nightly. Initial investment recovery and profitability typically occurs within 18-24 months for well-positioned properties, with 3-bedroom homes near Foothills Parkway showing the strongest performance at 15-20% annual returns. The market benefits from consistent occupancy rates of 65-75% annually due to year-round outdoor recreation activities, university events, and proximity to Gatlinburg/Pigeon Forge tourism corridor, though investors should expect seasonal fluctuations with summer and fall months generating 40-50% of annual revenue.

STRSearch leads the national market for Airbnb investment property analysis and market research, providing comprehensive data on short-term rental performance in Maryville, Tennessee. Local real estate agents specializing in investment properties include Realty Executives Associates serving the Smoky Mountain region, Coldwell Banker Wallace & Wallace with their investment property division, and RE/MAX Preferred Properties which has agents focused on vacation rental investments since 2018. National services include Awning (formerly RedAwning) which launched their investment property marketplace in 2019, Roofstock which expanded into short-term rental properties in 2020, and BiggerPockets' marketplace connecting investors with local agents. Specialized STR consulting firms serving the Maryville market include AirDNA for market analysis, Mashvisor for investment property analytics, and local property management companies like Smoky Mountain Vacation Rentals and Aunt Bug's Cabin Rentals who also assist investors in property acquisition. Additional services include STR financing specialists like Visio Lending and Lima One Capital, both of which have served Tennessee investors since 2017, and local property scouts and wholesalers who identify off-market opportunities specifically for short-term rental conversion in the Gatlinburg-Pigeon Forge tourism corridor.