Is Spring Hill, Tennessee Good for Airbnb Investment?

To start an Airbnb in Spring Hill, Tennessee, begin by researching local zoning laws and regulations through the Spring Hill 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 certain neighborhoods. Contact Williamson County for additional permit requirements and tax obligations, including the 9.25% state sales tax and local occupancy taxes that must be collected from guests. Find a suitable property by working with local real estate agents familiar with Spring Hill's neighborhoods like Kedron Village or Autumn Ridge, ensuring the property meets fire safety codes and has adequate parking as required by city ordinances. Obtain necessary permits including a business license from Spring Hill City Hall, short-term rental permit, and ensure compliance with HOA restrictions if applicable. Furnish the property with quality furniture, linens, and amenities while installing safety features like smoke detectors, carbon monoxide detectors, and fire extinguishers as mandated by Tennessee state law. Create your Airbnb listing with professional photos highlighting Spring Hill's proximity to Nashville (30 minutes) and local attractions like Rippavilla Plantation, setting competitive rates based on comparable properties in the $80-150 per night range. Manage the property by establishing cleaning protocols between guests, maintaining 24/7 communication availability, coordinating with local cleaning services, and ensuring compliance with Spring Hill's noise ordinances and occupancy limits, while keeping detailed records for tax purposes and regular permit renewals required annually by the city.

To identify profitable short-term rental properties in Spring Hill, Tennessee, focus on locations within 15-20 minutes of Nashville's downtown core, near major highways like I-65 and Highway 31, and close to attractions such as Rippavilla Plantation or Saturn Parkway corporate areas. Target 3-4 bedroom single-family homes or townhomes built after 2000 with modern amenities, full kitchens, dedicated workspaces, outdoor spaces, and parking for 4+ vehicles, as Spring Hill attracts business travelers visiting Nissan, GM, and other automotive companies. Analyze pricing by researching comparable STRs on Airbnb and VRBO in the $100-200 nightly range, calculating potential monthly revenue against mortgage, utilities, cleaning, and management costs typically running $2,000-4,000 monthly. Research competition density using AirDNA or Mashvisor to identify areas with high demand but limited supply, focusing on neighborhoods like Kedron, Buckner, or newer developments near Spring Hill High School. Utilize tools like BiggerPockets for investment analysis, Zillow and Realtor.com for property searches, STR Helper for permit research, and connect with local property management companies like Vacasa or RedAwning who understand Spring Hill's seasonal patterns driven by corporate relocations, automotive industry events, and Nashville overflow demand.

To obtain an Airbnb/STR permit in Spring Hill, Tennessee, you must first contact the Spring Hill Planning Department at City Hall located at 199 Town Center Parkway to determine if short-term rentals are permitted in your specific zoning district, as the city has been developing STR regulations since 2019-2020. Submit an application through the Planning Department including a completed STR permit application form, proof of property ownership or lease agreement, floor plan of the rental unit, parking plan showing adequate off-street parking, contact information for a local property manager if you live more than 50 miles away, certificate of insurance, and Tennessee state sales tax registration. The application fee is estimated at $150-250 with an annual renewal fee of approximately $100-150. You must also register with the Tennessee Department of Revenue for sales tax collection and remit local occupancy taxes to Williamson County at 5% of gross rental receipts. The approval timeline typically takes 30-45 days after submitting a complete application, during which the city will review zoning compliance, conduct inspections for safety and occupancy standards, and verify parking requirements. Spring Hill requires STR properties to maintain quiet hours from 10 PM to 7 AM, limit occupancy to 2 people per bedroom plus 2 additional guests, provide adequate parking spaces, and display the permit number in all advertising, with violations subject to fines starting at $500.

Short-term rentals (STRs) are legal in Spring Hill, Tennessee, but operate under specific regulations established by the city. Spring Hill requires STR operators to obtain a business license and comply with zoning restrictions that primarily allow STRs in residential areas with certain limitations on the number of guests and parking requirements. The city prohibits STRs in some residential zones and requires operators to maintain liability insurance, provide emergency contact information, and ensure properties meet safety standards. Recent changes around 2022-2023 included stricter enforcement of noise ordinances and enhanced registration requirements following complaints from residents about party houses and parking issues. Properties must be owner-occupied or have designated local management, and there are restrictions on the total number of rental days per year in certain residential districts. The city has been actively monitoring compliance and can revoke permits for violations of noise, occupancy, or safety regulations.

The most promising Airbnb investment areas in Spring Hill, Tennessee include the Historic Downtown Spring Hill district, which attracts visitors interested in Civil War history and antebellum architecture, particularly around the Rippavilla Plantation area where tourists come to explore the 1855 mansion and Civil War battlefield sites. The Kedron neighborhood offers excellent potential due to its proximity to major employers like General Motors' Spring Hill Manufacturing plant, creating consistent demand from business travelers and relocated workers. The areas near Longview Recreation Center and along Duplex Road are attractive for families visiting for youth sports tournaments and events at the multiple athletic facilities. The neighborhoods around Spring Hill High School and near the new commercial developments along Port Royal Road benefit from visiting families for school events and easy access to Nashville, being just 30 minutes south of the city, making it ideal for tourists seeking affordable accommodations outside Nashville's premium market. The Buckner Lane and Beechcroft areas are particularly appealing due to their newer construction, family-friendly atmosphere, and proximity to both Nashville attractions and local amenities, while the rural areas near Natchez Trace Parkway attract nature enthusiasts and history buffs exploring the scenic historic trail.

Spring Hill, Tennessee imposes a local occupancy tax of 5% on short-term rental accommodations including Airbnb properties, which is collected in addition to Tennessee's state sales tax of 7% and state hotel occupancy tax of 7%, bringing the total tax burden to approximately 19% for guests. The city requires Airbnb hosts to register for a business license and collect these taxes directly from guests at the time of booking or check-in, with remittance due monthly to the Spring Hill Finance Department by the 20th of the following month using Form ST-1 for state taxes and local forms for municipal taxes. Williamson County may also impose an additional 2.75% county occupancy tax, though this varies by specific location within Spring Hill's boundaries. Properties rented for 30 days or longer are typically exempt from occupancy taxes, and some jurisdictions provide exemptions for stays by government employees or certain non-profit organizations, though hosts must maintain proper documentation to claim these exemptions. Airbnb began collecting and remitting Tennessee state taxes automatically in 2019, but hosts remain responsible for local Spring Hill taxes and must file quarterly returns with the Tennessee Department of Revenue for any applicable state obligations not covered by Airbnb's collection service.

The total cost to start an Airbnb in Spring Hill, Tennessee is approximately $385,000-$425,000. Property purchase costs around $350,000 based on the median home price in Spring Hill as of 2023-2024. Furnishing a 3-bedroom property runs $15,000-$25,000 including beds, sofas, dining sets, appliances, linens, and decor from retailers like IKEA, Wayfair, and local furniture stores. Initial setup costs $3,000-$5,000 covering professional photography, listing creation, welcome materials, and basic supplies. Permits and fees total $500-$1,500 including business license, short-term rental permit from Williamson County, and HOA approvals if applicable. Insurance adds $2,000-$3,000 annually for short-term rental coverage through companies like Proper Insurance or CBIZ. Utilities average $200-$300 monthly including electricity, water, internet, cable, and trash service. First six months operating costs reach $8,000-$12,000 covering utilities ($1,800), cleaning services ($2,400), maintenance ($1,500), supplies ($1,200), platform fees to Airbnb and VRBO ($800-$1,200), and marketing ($500). Additional considerations include property management software subscriptions and potential property management fees if outsourcing operations.

Airbnb properties in Spring Hill, Tennessee typically generate annual revenues between $18,000-$35,000 for well-positioned properties, with average daily rates ranging from $85-$140 depending on property size and amenities. Operating expenses generally consume 40-55% of gross revenue, including cleaning fees ($40-60 per turnover), property management (15-25% if outsourced), utilities ($150-250 monthly), insurance ($1,200-2,000 annually), and maintenance costs averaging $2,000-4,000 yearly. Properties within 15 minutes of downtown Nashville or near major employers like General Motors' Spring Hill manufacturing plant command premium rates, with some three-bedroom homes achieving 70-80% occupancy rates and net profit margins of 25-35%. Success factors include proximity to Nashville attractions, professional photography, responsive guest communication, and competitive pricing strategies that account for seasonal demand fluctuations during CMA Music Festival and other Nashville events. Properties purchased around 2019-2020 for $250,000-$350,000 have shown strong performance, with hosts like those managing multiple units through companies such as RedAwning and Vacasa reporting annual net profits of $8,000-$15,000 per property after all expenses, though individual results vary significantly based on property condition, location within Spring Hill's various neighborhoods, and host management efficiency.

Based on Spring Hill, Tennessee market conditions as of 2023-2024, Airbnb investments typically generate annual ROI of 12-18% with cash-on-cash returns ranging from 8-15% depending on property type and location within the market. Properties near downtown Spring Hill or close to major employers like General Motors tend to achieve higher returns, with investors commonly seeing 14-16% annual ROI and 10-13% cash-on-cash returns. The timeframe to profitability averages 18-24 months for most properties, with well-positioned homes near corporate housing demand reaching profitability within 12-18 months. Average daily rates in Spring Hill range from $85-140 depending on property size and amenities, with occupancy rates typically running 65-75% annually. Initial investment requirements including down payment, renovations, and furnishing typically range from $40,000-80,000 for properties valued between $200,000-400,000, with monthly operating expenses averaging $800-1,500 including management, utilities, and maintenance.

STRSearch is a national platform that specializes in identifying profitable short-term rental properties for investors in Spring Hill, Tennessee. Local real estate agents like Keller Williams Realty and RE/MAX Advantage serve the Spring Hill market with expertise in investment properties, while Coldwell Banker Barnes and The Parks Realty Group have agents familiar with Airbnb investment opportunities in the area. National services include Awning, which provides end-to-end Airbnb investment services, RedAwning for vacation rental property sourcing, and Mashvisor for market analysis and property recommendations. AirDNA offers market data and analytics for Spring Hill's short-term rental market, while BiggerPockets connects investors with local professionals. Local property management companies like Nashville Short Term Rental Management and Tennessee Vacation Rentals can assist with both acquisition advice and ongoing management. Real estate investment firms such as Roofstock and Fundrise also provide access to rental properties in the Nashville metropolitan area, which includes Spring Hill. Additionally, local mortgage brokers like First Community Mortgage and Supreme Lending specialize in investment property financing for Airbnb purchases in Tennessee.