Is Airbnb legal in Fayetteville, AR?

Restricted

These rules are changing or in active litigation. Verify the current status directly before you rely on it.

Airbnb is restricted in Fayetteville, AR

Fayetteville uses two tiers: an owner-occupied class with no cap, and a non-owner-occupied class capped at 475 citywide, which has already been reached and now has a waitlist. A non-owner-occupied STR in a residential zone needs a conditional use permit, and a 2025 amendment added spacing and density rules.

Fayetteville Code Ch. 118 (Ord. 6672)View the ordinance

Verified July 2026. Not legal advice. Rules change and may be enforced differently than written. Confirm with the city before you list.

Key rules at a glance

Permit or registration

Required

Primary residence only

No

Annual night cap

Not confirmed

Registration fee

See ordinance

How short-term rentals work in Fayetteville

Fayetteville uses two tiers: an owner-occupied class with no cap, and a non-owner-occupied class capped at 475 citywide, which has already been reached and now has a waitlist. A non-owner-occupied STR in a residential zone needs a conditional use permit, and a 2025 amendment added spacing and density rules.

Non-owner investors can operate in Fayetteville, but within the city's limits above. Read the ordinance closely before you buy, because permits, caps, or zoning can make a specific property ineligible.

At the state level, Arkansas limits how far cities can go in banning short-term rentals.

What it means for investors

An STR can still work in Fayetteville, but the limits shrink the pool of eligible properties and add compliance cost. Underwrite conservatively and confirm the specific address qualifies before you commit.

Short-term rental rules elsewhere in Arkansas

Last reviewed July 2026. Informational and educational only, not legal advice, and no attorney-client relationship is created. Rules change and may be enforced differently than written. Verify the current ordinance with your local jurisdiction or counsel before acting.

Frequently asked questions

Is Airbnb legal in Fayetteville?

Fayetteville uses two tiers: an owner-occupied class with no cap, and a non-owner-occupied class capped at 475 citywide, which has already been reached and now has a waitlist. A non-owner-occupied STR in a residential zone needs a conditional use permit, and a 2025 amendment added spacing and density rules. This reflects the rules as of July 2026; confirm the current ordinance with the city before you list.

Do I need a permit to run a short-term rental in Fayetteville?

Yes. Fayetteville requires a permit or registration to operate a short-term rental, and platforms increasingly require the permit number on the listing.

Can I run a non-owner-occupied Airbnb in Fayetteville?

Yes, Fayetteville does not require you to live in the property, though other limits such as caps, zoning, or licensing may still apply.

Is there a limit on how many nights I can rent in Fayetteville?

No specific annual night cap was confirmed for Fayetteville, though minimum-stay rules or license caps may effectively limit operations. Check the ordinance.

What taxes apply to a short-term rental in Fayetteville?

Short-term rentals in Fayetteville are generally subject to state and local lodging or occupancy taxes on top of income tax. Airbnb and VRBO collect some of these automatically, but not always all of them, so confirm the current rate and who remits it with Arkansas and the city.