Is Moss, Tennessee Good for Airbnb Investment?

To start an Airbnb in Moss, Tennessee, begin by researching local zoning laws and regulations through Overton County's planning department, as Moss falls under county jurisdiction rather than having its own municipal regulations. Contact the Overton County Clerk's office to determine if a business license is required and check with the Tennessee Department of Revenue about state tax obligations for short-term rentals. Find a suitable property by searching rural areas around Moss, considering proximity to attractions like Dale Hollow Lake and Standing Stone State Park, with properties typically ranging from $80,000-$200,000 for cabins or rural homes. Secure financing and purchase the property, ensuring it meets safety standards and has reliable internet access, which can be challenging in rural Tennessee. Furnish the space with rustic, comfortable décor appealing to outdoor enthusiasts and lake visitors, including essential amenities like linens, kitchen supplies, and outdoor furniture for porches or decks. Create your Airbnb listing with professional photos highlighting the natural surroundings and proximity to outdoor activities, setting competitive rates around $75-150 per night based on local market analysis. Manage the property by establishing cleaning protocols between guests, maintaining responsive communication, and potentially hiring local cleaning services from nearby Livingston or Cookeville since Moss has limited service providers, while ensuring compliance with Tennessee's 9.25% state sales tax on short-term rentals and any applicable county occupancy taxes.

To identify profitable short-term rental properties in Moss, Tennessee, focus on properties within 2-3 miles of major attractions like Center Hill Lake and nearby state parks, as waterfront or water-view locations typically command 20-30% higher nightly rates averaging $150-250 per night. Target 2-4 bedroom cabins or homes with amenities like hot tubs, fire pits, boat docks, and scenic views, as these features can increase occupancy rates to 65-75% annually. Analyze comparable properties using AirDNA and Mashvisor to identify pricing gaps, with successful properties in the area typically generating $35,000-55,000 in annual revenue. Research competition by examining listings within a 5-mile radius on Airbnb and VRBO, noting that properties with unique features like game rooms or lakefront access often maintain higher occupancy during off-peak seasons. Utilize tools like Rabbu for market analysis, STR Helper for performance tracking, and connect with local property management companies like Smoky Mountain Retreat Rentals who understand Tennessee's STR regulations and seasonal tourism patterns around Center Hill Lake and the surrounding recreational areas.

To obtain an Airbnb/STR permit in Moss, Tennessee, you must first contact the Moss City Hall or local zoning department to determine if short-term rentals are permitted in your specific zone, as this small community may have limited commercial activity regulations. Submit an application through the city clerk's office, providing required documents including property deed or lease agreement, proof of insurance with minimum $1 million liability coverage, floor plan showing maximum occupancy, parking plan, and contact information for a local property manager if you're not residing on-site. The application fee is typically $150-300 annually, with additional inspection fees of $75-150. You'll need to pass a safety inspection covering smoke detectors, carbon monoxide detectors, fire extinguishers, and emergency exit signage. The approval timeline is generally 30-45 days from complete application submission. Moss-specific requirements likely include maintaining quiet hours from 10 PM to 7 AM, providing adequate off-street parking (minimum 2 spaces), displaying the permit number in all advertisements, and submitting quarterly occupancy reports to the city. You must also register for local occupancy tax collection with the Tennessee Department of Revenue and may need to obtain a business license depending on your operation scale.

Short-term rentals (STRs) are generally legal in Moss, Tennessee, as the state of Tennessee allows STRs under state law passed in 2017, though local municipalities can impose additional regulations. Moss, being a small unincorporated community in Clay County, would primarily fall under county jurisdiction rather than having its own municipal STR ordinances. Clay County has not implemented significant restrictions on short-term rentals, meaning property owners can typically operate STRs with basic compliance requirements such as collecting state and local taxes, maintaining proper insurance, and following general zoning laws. There are no specific prohibited areas within Moss itself, though operators must ensure compliance with any homeowners association rules if applicable and maintain properties according to state health and safety standards. Recent changes at the state level have focused on tax collection requirements and preventing local governments from completely banning STRs, which has generally maintained a favorable environment for short-term rental operations in rural Tennessee communities like Moss.

The best areas for Airbnb investment in Moss, Tennessee include the downtown historic district near the town center, which attracts visitors interested in small-town charm and local heritage tourism. Properties near Moss Elementary School and the surrounding residential neighborhoods offer potential for family travelers and those seeking quiet retreats. The areas along Highway 56 provide convenient access for business travelers and those visiting nearby Carthage or Lebanon. Properties near the Cumberland River access points are attractive for fishing enthusiasts and water recreation tourists. The rural outskirts of Moss appeal to guests seeking farm stays, hunting retreats, and peaceful countryside experiences, particularly during fall foliage season and spring outdoor activities, with proximity to larger markets like Nashville (approximately 45 minutes away) providing a steady stream of weekend getaway seekers.

In Moss, Tennessee, Airbnb hosts are subject to Tennessee state sales tax at 7% and local occupancy taxes that vary by county, with Clay County (where Moss is located) typically imposing an additional 2-3% occupancy tax, bringing the total tax rate to approximately 9-10% on short-term rental stays. Tennessee requires hosts to register for a sales tax permit through the Department of Revenue and collect taxes from guests at the time of booking or check-in. Airbnb automatically collects and remits state sales tax for hosts in Tennessee as of 2019, but hosts remain responsible for collecting and remitting local occupancy taxes directly to Clay County on a monthly or quarterly basis depending on volume. Tax remittance is due by the 20th of the month following the reporting period, and hosts must file returns even if no rentals occurred. Exemptions typically apply to stays exceeding 30 consecutive days, which are considered long-term rentals rather than transient accommodations, and some jurisdictions may exempt rentals to permanent residents, though specific exemptions should be verified with local tax authorities as Clay County's regulations may differ from larger Tennessee municipalities.

The total cost to start an Airbnb in Moss, Tennessee would be approximately $185,000-$220,000. Property purchase costs around $150,000-$180,000 based on median home prices in rural Tennessee counties. Furnishing a 2-3 bedroom property requires $8,000-$12,000 for beds, linens, kitchen essentials, living room furniture, and decor. Initial setup including professional photography, listing creation, and basic renovations costs $2,000-$3,500. Permits and fees including business license, short-term rental permit, and tax registration total $300-$800 depending on county requirements. Insurance including landlord and short-term rental coverage runs $1,200-$2,000 annually. Utility deposits and connections for electricity, water, internet, and cable cost $500-$800. First six months operating costs including utilities ($600/month), cleaning supplies ($100/month), maintenance reserves ($200/month), marketing ($150/month), and platform fees (3% of estimated $1,500 monthly revenue) total approximately $6,500-$8,000.

Airbnb properties in Moss, Tennessee, typically generate annual revenues ranging from $15,000 to $35,000 for standard 2-3 bedroom homes, with operating expenses averaging 40-50% of gross revenue including cleaning fees ($75-100 per turnover), property management (15-25%), utilities ($150-200 monthly), insurance ($1,200-2,000 annually), and maintenance costs. Profit margins generally fall between 20-35% after expenses, with properties near Percy Priest Lake or within 30 minutes of Nashville commanding premium rates of $120-180 per night compared to $80-120 for standard locations. Success factors include proximity to Nashville attractions, lakefront access, professional photography, consistent 4.8+ star ratings, and strategic pricing during peak seasons like CMA Fest and summer lake season. Properties with unique amenities like hot tubs, fire pits, or boat access typically achieve 65-75% occupancy rates and 15-20% higher nightly rates, while basic properties average 45-55% occupancy. A typical 3-bedroom lakefront property purchased for $280,000 with $40,000 in renovations can generate $28,000 annual revenue with $12,000 in expenses, yielding approximately $16,000 net profit annually, representing a 5.7% cash-on-cash return before mortgage considerations.

Airbnb investments in Moss, Tennessee typically generate annual ROI of 12-18% with cash-on-cash returns ranging from 8-14%, depending on property type and location within the area. Single-family homes near outdoor recreation areas like Center Hill Lake achieve the higher end of returns, while standard residential properties average 10-12% annual ROI. Initial profitability usually occurs within 18-24 months for well-positioned properties, with break-even on cash investment typically reached in 6-8 years. The market benefits from Tennessee's tourism growth and proximity to Nashville (approximately 90 minutes), with average daily rates of $120-180 and occupancy rates of 65-75% annually. Properties purchased in the $150,000-250,000 range with 20-25% down payments show the strongest performance metrics, generating monthly cash flows of $800-1,500 after expenses including property management, cleaning, and maintenance costs.

STRSearch leads the national market for Airbnb investment property analysis and market research, providing comprehensive data on short-term rental performance in Moss, Tennessee. Local real estate agents specializing in investment properties include Keller Williams Realty agents who focus on vacation rental investments, RE/MAX agents with STR expertise, and Coldwell Banker professionals experienced in the East Tennessee market. National services like Awning (formerly RedAwning) offer full-service Airbnb property management and investment guidance, while AirDNA provides market analytics and revenue projections for the Moss area. Local property management companies such as Tennessee Mountain Rentals and Smoky Mountain Property Management assist with both acquisition and ongoing management of short-term rental properties. Investment-focused real estate companies like BiggerPockets-affiliated agents and local firms such as Mountain View Realty Group specialize in identifying cash-flowing vacation rental opportunities in the region. Additional services include Mashvisor for property analysis, Roofstock for turnkey rental properties, and local mortgage brokers like First Tennessee Bank who understand STR financing requirements in the Tennessee market.