Best Airbnb Markets Tennessee, The United States in 2025

Based on our data, this page shows the top Airbnb locations to invest in Tennessee, The United States with key statistics and information, like short-term rental regulations, number of listings, occupancy rate, average daily rate, and annual revenue. This allows you to discover the most profitable cities to invest in, buy, and own Airbnb rental properties in Tennessee, The United States.

Why Invest in Airbnb Tennessee, The United States in 2025?

In recent years, Tennessee, The United States has emerged as one of the best locations for investing in short-term rentals thanks to its popular tourist attractions, thriving business activities, growing digital nomad presence, and vibrant cities like Cordova, Gatlinburg and Sevierville. With millions of international visitors coming each year, the demand for vacation rental accommodations is growing, making Airbnb Tennessee, The United States a lucrative option for both local and foreign investors.

Due to strong demand from travelers, Tennessee, The United States offers competitive average daily rates (ADR), healthy occupancy rates, and attractive revenue potential in the best Airbnb markets. Whether you’re looking to start your first Airbnb business with a modest budget or to add a luxury short-term rental property to your portfolio, Tennessee, The United States has a profitable location to meet your budget and aspirations as an investor.

Note on Methodology: The Airbtics Market Score indicates how attractive a location is for investing in an Airbnb rental property. We determine this score based on the following criteria:

  1. Short-term rental yield: The ratio between annual revenue and property price, as a percentage. Locations with higher Airbnb rental yield score better.
  2. Short-term rental regulations: How STR-friendly the local Airbnb rules and laws are. Markets with more lenient regulations get a higher score.
  3. Market size: The number of Airbnb listings. Larger vacation rental markets get a higher score as it is easier for investors to buy and sell properties.
  4. Growth: How fast the market is becoming saturated. Priority is given to markets that are already developed but are not approaching saturation yet.
  5. Seasonality: To what degree Airbnb performance is affected by seasonality. Less seasonal impact is preferred as investors can enjoy a more stable short-term rental performance throughout the year.

Based on this methodology, the best places to buy Airbnb in Tennessee, The United States are:



Learn more about how we collect the data and accuracy



Top 11 The United States Cities for Airbnb in 2025

PositionMarket NameRegulation No of ListingsAvg. Occupancy RateAvg. Daily RateRevenueShort-term Rental Yield Rent Gap
1Nashville
Lenient
9,10459%$195$43,34312.3%34.5%
2Chattanooga
Lenient
2,32160%$148$33,58212.3%34.5%
3Gatlinburg
Lenient
1,96864%$230$55,36712.3%34.5%
4Pigeon forge
Lenient
1,80462%$208$48,76412.3%34.5%
5Knoxville
Lenient
96661%$137$31,52312.3%34.5%
6Sevierville
Lenient
62562%$213$49,69212.3%34.5%
7Baxter
Lenient
37846%$178$30,78612.3%34.5%
8Cordova
Lenient
18870%$224$57,53212.3%34.5%
9Greenbrier
Lenient
14755%$156$32,01712.3%34.5%
10Mc donald
Lenient
8941%$159$24,39412.3%34.5%
11Sweetwater
Lenient
8768%$111$28,15512.3%34.5%

Find the Best Airbnb Markets with Our Interactive Tool

Use our interactive Market Explorer to find the best places to start an Airbnb in COUNTRY. Compare multiple markets side by side, apply filters like regulations, budget (property or rent prices), and market size, and even export the results to Excel.

Explore Interactive Tool

Best Cities for Airbnb in The United States by Budget

Affordable & Mid-Range Airbnb Markets: $500,000 & Below

PositionMarket NameRegulation No of ListingsAvg. Occupancy RateAvg. Daily RateRevenueShort-term Rental Yield Rent Gap
1Sweetwater
Lenient
8768%$111$28,15512.3%34.5%
2Mc donald
Lenient
8941%$159$24,39412.3%34.5%
3Baxter
Lenient
37846%$178$30,78612.3%34.5%
4Cordova
Lenient
18870%$224$57,53212.3%34.5%
5Knoxville
Lenient
96661%$137$31,52312.3%34.5%
6Greenbrier
Lenient
14755%$156$32,01712.3%34.5%
7Chattanooga
Lenient
2,32160%$148$33,58212.3%34.5%
8Sevierville
Lenient
62562%$213$49,69212.3%34.5%
9Gatlinburg
Lenient
1,96864%$230$55,36712.3%34.5%
10Pigeon forge
Lenient
1,80462%$208$48,76412.3%34.5%
11Nashville
Lenient
9,10459%$195$43,34312.3%34.5%

Emerging vs Established Airbnb Markets in The United States

Top 10 Emerging Short-Term Rental Markets in The United States

PositionMarket NameRegulation No of ListingsAvg. Occupancy RateAvg. Daily RateRevenueShort-term Rental Yield Rent Gap
1Sweetwater
Lenient
8768%$111$28,15512.3%34.5%
2Cordova
Lenient
18870%$224$57,53212.3%34.5%
3Mc donald
Lenient
8941%$159$24,39412.3%34.5%
4Sevierville
Lenient
62562%$213$49,69212.3%34.5%
5Baxter
Lenient
37846%$178$30,78612.3%34.5%
6Pigeon forge
Lenient
1,80462%$208$48,76412.3%34.5%
7Nashville
Lenient
9,10459%$195$43,34312.3%34.5%
8Gatlinburg
Lenient
1,96864%$230$55,36712.3%34.5%
9Knoxville
Lenient
96661%$137$31,52312.3%34.5%
10Chattanooga
Lenient
2,32160%$148$33,58212.3%34.5%

Top Established Short-Term Rental Markets in The United States

PositionMarket NameRegulation No of ListingsAvg. Occupancy RateAvg. Daily RateRevenueShort-term Rental Yield Rent Gap
1Nashville
Lenient
9,10459%$195$43,34312.3%34.5%

10 Best Places for Airbnb Arbitrage in The United States

PositionMarket NameRegulation No of ListingsAvg. Occupancy RateAvg. Daily RateRevenueShort-term Rental Yield Rent Gap
1Cordova
Lenient
18870%$224$57,53212.3%34.5%
2Gatlinburg
Lenient
1,96864%$230$55,36712.3%34.5%
3Pigeon forge
Lenient
1,80462%$208$48,76412.3%34.5%
4Greenbrier
Lenient
14755%$156$32,01712.3%34.5%
5Sweetwater
Lenient
8768%$111$28,15512.3%34.5%
6Baxter
Lenient
37846%$178$30,78612.3%34.5%
7Mc donald
Lenient
8941%$159$24,39412.3%34.5%
8Sevierville
Lenient
62562%$213$49,69212.3%34.5%
9Chattanooga
Lenient
2,32160%$148$33,58212.3%34.5%
10Knoxville
Lenient
96661%$137$31,52312.3%34.5%


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