North Carolina · Asheville

Asheville

city Restricted Verified · last verified 2026-07-15

Asheville splits STRs into two regulated uses under Chapter 7 of the City Code (the Unified Development Ordinance, "UDO"). (1) HOMESTAY — UDO Sec. 7-2-5 defines it as "a lodging use that occurs within a private, resident occupied dwelling unit, and where up to two guest rooms are provided to transients for compensation for periods less than 30 days." Homestays are broadly available ("S" = use by right subject to the special standards of Sec. 7-16-1(c)(9)) across residential and most commercial districts per the Sec. 7-8-1(d) Table of Permitted Uses, but require an ANNUAL ZONING PERMIT (Sec. 7-5-2(c)(4)), annual review and inspection, and — critically — the operator must be a full-time resident of the dwelling AND physically present overnight for the entire guest stay. Only one homestay per lot/parcel, and only one permit per person, immediate household, LLC, corporation, trust or other legal entity. Permit fee is $200 (City of Asheville Fees and Charges Manual, Development Services → Planning and Zoning Fees). Homestays may NOT be in a detached accessory structure unless permitted before DECEMBER 14, 2021 (grandfather date, Sec. 7-16-1(c)(9)k). (2) SHORT-TERM VACATION RENTAL (STVR) — Sec. 7-2-5 defines it as "a dwelling unit with up to six guest rooms ... for transient occupancy for a period of less than one month," i.e. whole-unit rental with no resident host. Per the Table of Permitted Uses, STVR is permitted ONLY as "S" in the Resort (RSRT) District and as "P" in the CBD Expansion and Commercial Expansion districts — and expansion districts "are only allowed as conditional zoning districts for Level III projects" (Sec. 7-8-1(b)), i.e. they require City Council conditional-zoning approval. STVRs are therefore effectively prohibited in every residential district; the City states plainly: "STVRs are only allowed in the Resort Zoning District." STVRs also require an annual zoning permit with annual inspection (Sec. 7-16-1(c)(64.1)k). ENFORCEMENT: UDO Sec. 7-18-2(b)(1)c imposes an elevated civil penalty of $500.00 PER DAY (vs. the $100/day general UDO penalty) for lodging-use violations — both renting a dwelling unit for less than one month in districts that do not allow lodging, and unlawful use of property as a homestay (penalty added via Ord. No. 4445, 8-25-15; section last amended Ord. No. 4910, 11-9-21). TAXES: Buncombe County levies a 6% room occupancy tax on gross receipts (county-administered; NC occupancy taxes are county-levied, not city-levied — Asheville imposes no separate city occupancy tax), on top of the 7% combined NC state+local sales tax on accommodations (4.75% state + 2.25% local), for roughly 13% total. City guidance page last updated/reviewed April 13, 2026.

Not legal advice. Last verified 2026-07-15 · sources linked below.

Requirements checklist

  • city Annual zoning permit — Homestay Required
    Fee: $200 / annual · Renewal: Annual — must be renewed each year before the expiration date; failure to timely renew expires the permit and 'can result in a voluntary forfeiture of all legal rights and claims to continue that use.' · Applies to: Owner-occupied rental of up to two guest rooms for periods less than 30 days (homestay) · official page ↗
  • city Annual zoning permit — Short-term vacation rental (STVR) Required
    Fee: — · Renewal: Annual — annual zoning permit required per Sec. 7-5-2(c)(4); annual review and inspection per Sec. 7-16-1(c)(64.1)k · Applies to: Whole dwelling unit (up to six guest rooms) rented for transient occupancy less than one month, in districts where STVR is allowed (Resort District; CBD/Commercial Expansion via conditional zoning) · official page ↗
  • city Full-time resident operator physically present for entire guest stay (homestay) Required
    Fee: — · Renewal: — · Applies to: All homestays · official page ↗
  • city Proof of residency — minimum two documents Required
    Fee: — · Renewal: — · Applies to: Homestay applicants (does not apply to property owners acting as co-applicant) · official page ↗
  • city Owner + resident co-application Conditional
    Fee: — · Renewal: — · Applies to: Homestays where the property owner does not reside on the property (e.g. tenant-operated homestay) · official page ↗
  • city Liability insurance covering the lodging use and guests Required
    Fee: — · Renewal: — · Applies to: Both homestays and STVRs · official page ↗
  • city Annual compliance inspection Required
    Fee: — · Renewal: Annual · Applies to: Both homestays and STVRs · official page ↗
  • city Building code compliance Required
    Fee: — · Renewal: — · Applies to: Both homestays and STVRs · official page ↗
  • city Conditional zoning (City Council) for STVR outside the Resort District Conditional
    Fee: — · Renewal: — · Applies to: STVRs proposed in CBD Expansion / Commercial Expansion districts — the only non-Resort columns marked 'P' for STVR in the Table of Permitted Uses · official page ↗
  • county Buncombe County occupancy tax account — Remitter Information Form Required
    Fee: $0 / one-time · Renewal: None stated; monthly remittance required by the 20th of the following month · Applies to: Every establishment furnishing taxable accommodations in Buncombe County, including rooms/houses rented via Airbnb, VRBO, etc. · official page ↗
  • city UDO duty to pay occupancy and sales taxes Required
    Fee: — · Renewal: — · Applies to: Both homestays and STVRs · official page ↗

Taxes

TaxRateAdministered byAirbnb remitsVrbo remits
Buncombe County Room Occupancy Tax 6% Buncombe County Tax Department / Tax Collections (182 College Street, Asheville, NC 28801)
North Carolina State + Local Sales and Use Tax on Accommodations (Buncombe County) 7% North Carolina Department of Revenue (NCDOR)

Lodging-tax estimator

Estimate the combined transient/lodging tax (~13.0%) on a stay in Asheville. Estimate only — not tax advice.

Operating rules

Primary residence
Yes
Min stay (nights)
Max nights / year
Max occupancy
Homestay: up to two guest rooms may be rented (UDO Sec. 7-2-5 definition; City guidance: 'You can only rent out one or two bedrooms'). STVR: dwelling unit with up to six guest rooms. No per-guest headcount cap is stated in the UDO homestay/STVR standards.
Zoning-restricted
Yes
Cap on licenses
No citywide numeric cap on the number of permits. Two structural caps apply instead: (a) 'Only one homestay shall be permitted per lot/parcel.' and (b) 'Homestay permits shall be limited to one per person, immediate household, LLC, corporation, trust or other legal entity.' — with immediate household defined as 'a spouse, children, or any other relative residing in the same home' and a 5% ownership stake in an entity sufficient to constitute ownership for this limitation. This one-per-person rule functions as a hard anti-portfolio cap: an operator cannot legally hold multiple Asheville homestay permits.

Grandfathering: Detached accessory structures: 'Homestays may not be located within a detached accessory structure except that homestays permitted prior to December 14, 2021, may continue provided the homestay use and permit is maintained per Sec. 7-17-3.' Continuation is conditioned on maintaining the use and the annual permit — a lapse in renewal can forfeit the right (Sec. 7-5-2(c)(4)). Nonconforming properties: 'Subsection 7-16-1(a)(1) shall not apply to homestays. Legally established, but non-conforming properties are eligible for a homestay use.'

Zoning: Per the Sec. 7-8-1(d) Table of Permitted Uses (legend: 'P = Permitted: A use permitted by right...'; 'S = USSR: A use permitted by right subject to special standards in Sec. 7-16-1'): HOMESTAYS are marked 'S' in essentially all residential and most commercial districts (RS2, RS4, RS8, RM6, RM8, RM16, NB, OFF I, OFF II, OB, CBI, CBII, NCD, HB, RB, CI, CBD, RSRT, INST, RIV, URD, UV, UP and the River Arts/Haywood Road form districts), and 'P' in CBD EXP / COM EXP / EXP RES; they are NOT permitted in LI, IND or ARPT. Cell-to-column mapping was verified by extracting word bounding-box x-coordinates from the official Table of Permitted Uses PDF and matching them to the zone header centers, not by eyeballing text layout. SHORT-TERM VACATION RENTAL appears in only three columns: 'S' in RSRT (Resort) and 'P' in CBD EXP and COM EXP. Since 'Expansion zoning districts are only allowed as conditional zoning districts for Level III projects,' the Resort District is the only district where an STVR is available as-of-right (subject to Sec. 7-16-1(c)(64.1) standards); everywhere else it needs City Council conditional zoning. NOTE a discrepancy worth flagging to users: the City's plain-language page says a homestay requires that 'Your home must be in a residential zone,' but the adopted Table of Permitted Uses allows homestays as 'S' in many non-residential districts as well. The ordinance table controls; the webpage is a simplification.

  • The binding distinction is host presence, not nightly rate: rent a room with you living there and present overnight = homestay (broadly permitted with an annual permit); rent the whole unit = STVR (Resort District only). The classic 'entire home on Airbnb' model is effectively unavailable in Asheville's residential districts.
  • Homestay operator must be present overnight for the entire guest stay — being away on vacation or traveling during a booking is itself a violation. Temporary absence for 'normal residential activities such as shopping, working, attending class' is allowed.
  • A person can only have one primary, full-time residence, and the homestay must be operated from it.
  • Detached structures connected by a breezeway or other enclosed but unheated space are expressly NOT deemed one dwelling unit for the accessory-structure prohibition.
  • No signage allowed for either homestays or STVRs; no displays/advertising visible from outside the dwelling; no activities other than lodging.
  • No additional off-street parking is required for a homestay; STVRs must meet off-street parking per Sec. 7-11-2.
  • Renting for periods greater than 30 days is unaffected: 'nothing herein shall prevent the use of a homestay for a residential use for periods greater than 30 days which would not interrupt the validity of the homestay permit.'
  • North Carolina occupancy taxes are county-levied. Asheville does NOT impose a separate city occupancy tax; the 6% room occupancy tax is Buncombe County's, administered by the Buncombe County Tax Department.
  • Bed & breakfast inns and boardinghouses are separate lodging uses with their own standards (Sec. 7-16-1(c)(10) and (c)(11)) and are not covered by this record.

Enforcement

Active enforcement
yes
Fines
Elevated civil penalty of $500.00 PER DAY for lodging-use violations — five times the $100.00/day general UDO penalty. It reaches both (1) renting or leasing a dwelling unit for less than one month in districts that do not allow lodging facilities (i.e. an unpermitted whole-home STR in a residential district) and (2) unlawful use of property as a homestay. Penalties are recovered by the City in a civil action in the nature of debt. Procedurally, no penalty may be assessed until a written notice of violation has been served (personal delivery, electronic delivery, or certified/registered mail, and it may be posted on the property), and the NOV must include an opportunity to cure within a prescribed period; a single extension of up to 30 days may be granted. Where the violator is not the owner, the City must notice both tenant and owner. Interfering with or obstructing a city employee enforcing Chapter 7 is a misdemeanor under N.C. Gen. Stat. 14-4.
Notes
The City runs a dedicated complaint intake through the Compliance Division via the Asheville App, with a named Code Enforcement Officer for homestay inspections (homestayinspections@ashevillenc.gov). Response posture is business-hours: staff work Mon–Fri 8:30am–5:00pm and 'may investigate after hours, but they are not "on-call."' Enforcement is complaint-driven plus proactive, and every permitted homestay/STVR is subject to annual review and inspection, which is itself a recurring enforcement touchpoint. The $500/day lodging penalty was added by Ord. No. 4445 (8-25-15) and Sec. 7-18-2 was last amended by Ord. No. 4910 (11-9-21). Secondary reporting describes the City funding an additional enforcement officer and roughly doubling notices of violation; that staffing/NOV-volume claim is NOT quote-anchored to a primary source here and is excluded from the load-bearing findings. City guidance page last updated or reviewed April 13, 2026.

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Frequently asked questions

Is Airbnb legal in Asheville?
Asheville splits STRs into two regulated uses under Chapter 7 of the City Code (the Unified Development Ordinance, "UDO"). (1) HOMESTAY — UDO Sec. 7-2-5 defines it as "a lodging use that occurs within a private, resident occupied dwelling unit, and where up to two guest rooms are provided to transients for compensation for periods less than 30 days." Homestays are broadly available ("S" = use by right subject to the special standards of Sec. 7-16-1(c)(9)) across residential and most commercial districts per the Sec. 7-8-1(d) Table of Permitted Uses, but require an ANNUAL ZONING PERMIT (Sec. 7-5-2(c)(4)), annual review and inspection, and — critically — the operator must be a full-time resident of the dwelling AND physically present overnight for the entire guest stay. Only one homestay per lot/parcel, and only one permit per person, immediate household, LLC, corporation, trust or other legal entity. Permit fee is $200 (City of Asheville Fees and Charges Manual, Development Services → Planning and Zoning Fees). Homestays may NOT be in a detached accessory structure unless permitted before DECEMBER 14, 2021 (grandfather date, Sec. 7-16-1(c)(9)k). (2) SHORT-TERM VACATION RENTAL (STVR) — Sec. 7-2-5 defines it as "a dwelling unit with up to six guest rooms ... for transient occupancy for a period of less than one month," i.e. whole-unit rental with no resident host. Per the Table of Permitted Uses, STVR is permitted ONLY as "S" in the Resort (RSRT) District and as "P" in the CBD Expansion and Commercial Expansion districts — and expansion districts "are only allowed as conditional zoning districts for Level III projects" (Sec. 7-8-1(b)), i.e. they require City Council conditional-zoning approval. STVRs are therefore effectively prohibited in every residential district; the City states plainly: "STVRs are only allowed in the Resort Zoning District." STVRs also require an annual zoning permit with annual inspection (Sec. 7-16-1(c)(64.1)k). ENFORCEMENT: UDO Sec. 7-18-2(b)(1)c imposes an elevated civil penalty of $500.00 PER DAY (vs. the $100/day general UDO penalty) for lodging-use violations — both renting a dwelling unit for less than one month in districts that do not allow lodging, and unlawful use of property as a homestay (penalty added via Ord. No. 4445, 8-25-15; section last amended Ord. No. 4910, 11-9-21). TAXES: Buncombe County levies a 6% room occupancy tax on gross receipts (county-administered; NC occupancy taxes are county-levied, not city-levied — Asheville imposes no separate city occupancy tax), on top of the 7% combined NC state+local sales tax on accommodations (4.75% state + 2.25% local), for roughly 13% total. City guidance page last updated/reviewed April 13, 2026.
Do I need a license or registration for a short-term rental in Asheville?
Yes — Asheville requires: Annual zoning permit — Homestay; Annual zoning permit — Short-term vacation rental (STVR); Full-time resident operator physically present for entire guest stay (homestay). See the requirements checklist for fees, renewal, and official links.
What taxes apply to short-term rentals in Asheville?
Buncombe County Room Occupancy Tax (6%), North Carolina State + Local Sales and Use Tax on Accommodations (Buncombe County) (7%) — roughly 13.0% combined. Use the lodging-tax estimator on this page for a specific stay.

Official sources

Informational summary of publicly available sources; not legal advice. Verify against the linked official sources.