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  1. Home
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  3. Regulations
  4. ·
  5. Arkansas
  6. ·
  7. Fayetteville

Fayetteville

Moderate
ArkansasUpdated Apr 7, 2026
Gold-standard verification1% sourced

Cross-referenced against 0 official sources — municipal codes, planning-department pages, and government registries.

Verified Feb 8, 2026Sources 0

Summary

Plain-english overview

Fayetteville regulates short-term rentals through a mandatory business license system that distinguishes between owner-occupied (Type 1) and non-owner occupied (Type 2) units, with a strict citywide cap on the latter.

Restriction level

Severity 8
Classification
Moderate
8
Severity

Why this classification

  • Permit required
  • Reporting required
  • No night cap
  • No primary residence requirement
  • Tenants can host

In plain English

What this means for you

Fayetteville requires all short-term rental hosts to obtain a specific business license and pass a life-safety fire inspection. If you do not live on-site for at least nine months a year (Type 2), you are subject to a citywide limit of 475 total permits and may need a Conditional Use Permit (CUP) depending on your zoning. Currently, the cap for non-owner occupied units has been reached, and new applicants are placed on a waitlist.

At a glance

Key numbers
Permit requiredYes
Night limitNone
Primary residenceNot required
Total tax rate0.1%
Permit fee$50
Processing time2-4 weeks

4 things hosts often miss

Common compliance gaps
  1. 1Type 2 unit cap: There is a hard limit of 475 non-owner occupied licenses citywide, which is currently met.
  2. 2Density limits: New Type 2 rentals in single-family zones must be 100ft from existing Type 2 units and cannot exceed 4% of total units within 500ft.
  3. 3Service termination: Fayetteville can and does shut off water and trash services for properties operating as unpermitted STRs.
  4. 4No special events: Weddings, large parties, and business seminars are strictly prohibited in STR units.

Regulation details

Sourced from official code
Eligibility8 rules
  • Fayetteville does NOT require the property to be a primary residence. Investment properties are allowed.
  • Fayetteville allows tenants to host STRs. Requirements: Requires a long-term lease agreement explicitly stating the property can be used as a short-term rental.
  • Fayetteville: No special events: Weddings, large parties, and business seminars are strictly prohibited in STR units.
Requirements12 rules
  • Fayetteville: Hosts must report their rental activity monthly to the city, even if platforms collect taxes.
  • Fayetteville requires STR registration. The permit is called "Short-Term Rental Business License". Apply through Development Services Department. Processing time: 2-4 weeks. Renewal is required.
Application process9 rules
  • Fayetteville STR permit - Step 1: Determine License Type and Zoning. Identify if the property is Type 1 (owner-occupied) or Type 2 (non-owner occupied). Check the city zoning map to see if a Conditional Use Permit (CUP) is required for Type 2 properties in residential districts. Time: 1 day.
Fees & costs1 rule
  • Fayetteville charges a registration fee of $50 (annual). Extended/additional fee: $200 ($200 for Conditional Use Permit (CUP) application if required for Type 2 units).
Taxes2 rules
  • Fayetteville charges a Hotel, Motel, and Restaurant (HMR) Tax of 0.02%. This applies to stays under 30 days. Platforms like Airbnb collect and remit this tax. Note: Airbnb and VRBO collect and remit the 2% HMR tax; other platforms require manual remittance by the host.
  • Arkansas has a state sales tax of 0.065% that applies to STR rentals.
Limits & restrictions5 rules
  • Fayetteville enforces quiet hours: 11pm-7am.
  • Fayetteville: Type 2 unit cap: There is a hard limit of 475 non-owner occupied licenses citywide, which is currently met.
  • Fayetteville occupancy calculation: 2 per bedroom plus 2 (max 12 total; proposal to remove '+2' is pending as of early 2026). Count your bedrooms to determine your max guest limit.
  • Fayetteville limits stays to a maximum of 29 nights.
Safety requirements1 rule
  • Fayetteville requires the following safety measures for STRs: smoke detectors, CO detectors, fire extinguisher, fire inspection, posted maximum occupancy, posted emergency contact, Egress windows in all sleeping areas, GFCI protected outlets in kitchens/bathrooms, Address clearly visible from street, Gas shutoff valves in place.
Penalties2 rules
  • Fayetteville enforces the following penalties for STR violations: First offense: Violation notice and potential service termination. Second offense: Suspension of city services (water/trash) for 1 month. Third offense: Suspension of services for up to 6 months; potential 2-year licensing ban. Permit may be revoked for violations.
Exemptions2 rules
  • Fayetteville: Rentals of 30+ days are generally NOT considered short-term rentals and may be exempt from STR regulations (but may have other requirements).
  • Fayetteville exempts the following from STR regulations: long-term rentals (30+ days), extended stays.

How to get permitted

Step-by-step guide for Fayetteville

0/5
steps completed
Step 1

Determine License Type and Zoning

Identify if the property is Type 1 (owner-occupied) or Type 2 (non-owner occupied). Check the city zoning map to see if a Conditional Use Permit (CUP) is required for Type 2 properties in residential districts.

1 dayFree
Official resource
Step 2

Register for HMR Tax

Submit the HMR/SB Tax Registration Form to the Accounting Division to ensure your business is set up for city tax collection.

3-5 daysFree
Documents needed
  • Business Entity Info
  • Property Address
Official resource
Step 3

Submit STR Business License Application

Apply online through the City of Fayetteville Civic Access portal. For Type 2 units, check if space is available under the 475 unit cap; if full, apply to join the waitlist.

1-2 weeks$50
Documents needed
  • Proof of Ownership
  • Proof of Insurance
  • Floor Plan
Official resource
Step 4

Pass Fire and Life-Safety Inspection

Once the application is reviewed, schedule an inspection with Building Safety to verify smoke alarms, CO detectors, and fire extinguishers meet code.

1 weekFree
Official resource
Step 5

Post License and Listing

Conspicuously post the issued business license inside the unit and include the license number in all digital advertisements/listings.

1 dayFree

Frequently asked questions

4 answered

Disclaimer

Regulatory information is AI-researched from public city/county codes for educational purposes. Details may be outdated or incomplete. Always verify requirements directly with your city/county planning department before operating a short-term rental.

Researched & verified by Learn STR at GoStudioM

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