Executive overview

• Short-term rentals (STRs) are allowed in Bowling Green, KY, but with significant zoning and safety constraints. In particular, STRs (commonly referred to as “Airbnb/VRBO” style rentals) are prohibited in single-family residential (RS) zoning districts. Bed & Breakfast (B&B) operations may be allowed in RS districts with a special permit and owner-occupancy. Non-owner-occupied rentals must locate in non-RS zones and comply with safety and permitting requirements described below.
• All conversions to a short-term rental (including first-time registration) are treated as a change of use and require inspections and a Short-Term Rental Permit issued by the City of Bowling Green Building Division.
• Occupancy limits: maximum 10 occupants total per rental unit, regardless of bedroom count. This cap applies across all STR types.
• Safety and building standards: interconnected smoke detectors in sleeping rooms; smoke or smoke/carbon combo detectors where garages or gas-fired appliances are present; self-closing doors along corridor exit paths; permanent illumination of corridors with battery-backup emergency lighting; minimum two remote exits from ground floor; building identification (minimum 6-inch numbers) on the front of the building visible from the street; additional requirements apply for multi-story buildings.
• Zoning: STRs prohibited in RS districts; B&Bs may operate in RS districts with a special permit if owner-occupied. R-2 apartment buildings can be used as STRs, but the entire building must be converted and operated as an STR due to the transient nature of guests.
• Taxes: State sales tax applies; Bowling Green hotel tax is 3% (local). Plan for registration with the Kentucky Department of Revenue for state taxes and compliance with local hotel tax obligations.
• Permitting authority: City of Bowling Green, Neighborhood and Community Services – Building Division (see contact details and application link below).

This guide is written for STR investors and operators in the Bowling Green market and reflects City of Bowling Green requirements; county-level Warren County STR-specific rules were not provided in the source materials.

1. What is allowed and where Zoning and land use

• Short-Term Rentals (Airbnb/VRBO-style) are permitted only outside single-family residential (RS) zoning districts. They are effectively prohibited in RS districts.
• Bed & Breakfast Homes and Bed & Breakfast Inns are owner-occupied and may be allowed in RS districts with a special permit. B&B Homes typically have 5 or fewer guests; B&B Inns have 6 or more guest rooms.
• Lodging Houses are owner-occupied with 5 or fewer bedrooms for rent and are considered under the B&B/Lodging House framework; zoning requirements and permitting apply as detailed in the City’s STR guide.
• Boarding Houses are non-owner-occupied and allow a whole-home rental with a maximum of 10 guests. These must comply with safety requirements and cannot operate in RS districts.
• R-2 apartment buildings: Each apartment unit is a rental unit (max 10 guests each). If an R-2 is used as an STR, the entire building must be used as STRs (due to transient use), with corridor illumination, self-closing doors, and appropriate exit standards.

Occupancy limits

• Maximum 10 occupants total per rental unit, across all STR categories (B&B Home/Inn, Lodging House, Boarding House, STR conversions, and R-2 STRs).

Legal definitions/frameworks the City uses

• Bed & Breakfast Home (owner-occupied; ≤5 guests).
• Bed & Breakfast Inn (owner-occupied; ≥6 guest rooms).
• Lodging House (owner-occupied; ≤5 bedrooms for rent).
• Boarding House (not owner-occupied; whole home; ≤10 guests).
• All other rental types are treated as Group R-1 ( Transient Lodging ) and must meet the International Building Code requirements for that occupancy.

2. How to start a short-term rental business in Bowling Green Step-by-step process

1. Confirm zoning eligibility
   • STRs (non-owner-occupied) cannot operate in RS districts. Verify your property’s zoning with City planning. B&Bs may qualify for a special permit in RS districts if owner-occupied and meet all safety requirements.
2. Decide the STR category
   • Determine whether your operation is a Boarding House, Lodging House, or Bed & Breakfast (Home/Inn). All other rentals fall under Group R-1 and must comply with IBC standards.
3. Prepare for safety and building standards
   • Safety requirements are mandatory and may trigger inspections depending on the use and occupancy classification.
4. Apply for the Short-Term Rental Permit
   • Submit the City’s Short-Term Rental Application and pay the fee ($45.00). Conversion to an STR constitutes a change of use; inspections are required before issuance. Work cannot commence until the permit is issued and all fees are paid.
5. Coordinate inspections and plan review
   • Permit approval is contingent on all required reviews and inspections being approved. The Building Division may issue permits with conditions that must be satisfied prior to final approval.
6. Register for taxes
   • Register with the Kentucky Department of Revenue for state sales tax and comply with local hotel tax requirements (3% Bowling Green hotel tax).
7. Maintain compliance
   • Annual licensing/permit renewals, ongoing safety standards, and tax reporting are required. Maintain records and coordinate with the Building Division for renewals and inspections as needed.

Processing timelines

• The City’s guide does not specify exact processing times. Because a change-of-use is involved and inspections are required, plan for several weeks from application to permit issuance depending on review volume and inspection scheduling.

3. Required documents, permits, licenses, and guidelines Short-Term Rental Permit (City of Bowling Green)

• Application: Complete the Short-Term Rental Application (available from the Building Division). Fee: $45.00.
• Required disclosures:
  • Permit location (address, suite/unit/apartment, ZIP, subdivision, lot/building numbers).
  • Project information (description of work, square footage, number of guest rooms, total guest count, construction cost).
  • Property description (new, addition/alteration, conversion).
  • Operation type (B&B Home, B&B Inn, Lodging House, Boarding House; or Group R-1 if not otherwise specified).
  • Applicant, contractor, and owner information (names, addresses, emails, phones).
  • Acknowledgments (compliance with Kentucky Building Code, city ordinances, erosion control during construction, list of subcontractors to be submitted to Occupational License Division prior to issuance, inspection responsibilities).
  • Signature and date on second page.

Inspections and change of use

• Conversions to an STR or first-time registration are treated as a change of use and require inspections before occupancy.

Occupancy and safety

• Maximum 10 occupants per rental unit (regardless of bedroom count).
• Interconnected smoke detectors in sleeping rooms.
• Smoke or smoke/carbon combo detectors where a garage and/or gas-fired appliances are present, adjacent to each sleeping area.
• If bedrooms/suites are rented separately: permanent illumination of corridor connecting the suite to the exit path; battery-backup emergency lighting required.
• Self-closing doors connecting to corridors/hallways.
• Minimum two remote exits to the outside from the ground floor.
• Building identification: minimum 6-inch numbers with a ½-inch stroke on the front of the building, visible from the street.
• Multi-story buildings: fire protection systems may be required if more than 2 stories above grade.
• R-2 apartment buildings: entire building must be used as an STR; corridor exit paths must be illuminated with emergency lighting; self-closing doors in corridors; each unit is a rental unit with a 10-guest cap.

Zoning compliance

• STRs are prohibited in RS districts. B&Bs may be permitted in RS districts via special permit if owner-occupied and compliant with safety standards.

Insurance (best practice)

• Insurance requirements are not explicitly listed in the STR guide; however, investors should carry adequate property and liability coverage for operating an STR. Check lender and platform requirements and state/local statutes for any specific insurance mandates.

4. Specific regulations (City of Bowling Green and State of Kentucky) City of Bowling Green (zoning, safety, permitting)

• Zoning and allowed uses:
  • STRs prohibited in RS districts.
  • B&Bs allowed in RS districts with special permit, if owner-occupied.
  • Boarding Houses and other non-owner-occupied operations must be located outside RS districts.
  • R-2 apartment buildings: entire building must be used as STRs; each unit limited to 10 guests.
• Safety and building standards:
  • Interconnected smoke detectors in sleeping rooms.
  • Smoke or combo detectors (garage/gas appliances).
  • Corridor illumination and emergency lighting for suites rented separately.
  • Self-closing corridor doors.
  • Minimum two remote ground-floor exits.
  • Building identification (6-inch numbers).
  • Fire protection systems may be required for >2 stories above grade.
  • Boarding House (non-owner-occupied): 10 guests maximum, standard safety measures apply.
• Permitting and process:
  • Short-Term Rental Permit required for conversions and first-time registrations.
  • Change of use triggers inspections and plan reviews.
  • Permit issuance contingent on approval of all reviews and payment of fees.

Warren County

• County-level, STR-specific rules were not provided in the source materials. Operators should confirm with the City and Warren County planning/tax authorities for any additional requirements.

State of Kentucky (Kentucky Revised Statutes)

• Licensing: Kentucky does not maintain a statewide STR license; local municipalities regulate STRs, including permitting, zoning, and operational standards.
• Taxation: State sales tax applies to short-term rentals. Operators must register with the Kentucky Department of Revenue. Local hotel/transient room taxes also apply; Bowling Green’s hotel tax is 3%. Operators should confirm whether booking platforms collect and remit any portion of these taxes on their behalf and remain responsible for ensuring full compliance.
• Building and safety codes: The Kentucky Building Code and referenced codes govern construction, safety, and occupancy standards, including the International Building Code (IBC) for Group R-1.

5. Contact information and portals City of Bowling Green – Neighborhood and Community Services – Building Division

• Address: 707 E. Main Ave, Bowling Green, KY 42101
• Phone: 270-393-3676 and 270-393-3615
• Fax: 270-393-3223
• Email: building.division@bgky.org
• Website: www.bgky.org
• STR Application: Short-Term Rental Permit Application (official PDF)
• STR Guide: Short-Term Rental Guide (official PDF)

6. Links to source pages and documents (Bowling Green–specific)

• Short-Term Rental Permit Application and Guide (City of Bowling Green, Building Division): www.bgky.org/files/EA50r7Kt.pdf
• City of Bowling Green Official Website (Neighborhood and Community Services – Building Division): www.bgky.org
• Additional third-party context on Kentucky STR environment (non-binding summaries):
  • Jaken Finance Group: Bowling Green Short-Term Rental Laws 2026 – A Complete Guide (commercial perspective; investor-oriented overview): www.jakenfinancegroup.com/bowling-green-short-term-rental-laws-2026-a-complete-guide
  • Checkmate Rentals: Kentucky Short-Term Rental Laws – A Complete Guide (June 2025): www.checkmaterentals.com/blog/kentucky-short-term-rental-laws
  • Proper Insurance: Kentucky Airbnb Laws and Regulations (July 2025): www.proper.insure/regulations/airbnb-laws-kentucky/
  • Steadily: Airbnb & Short-Term Rental Laws and Regulations in Kentucky (Jan 2024): www.steadily.com/blog/airbnb-short-term-rental-laws-and-regulations-in-kentucky

Practical checklist for investors

• Verify zoning: Confirm the property is not in an RS district (unless seeking a B&B special permit with owner-occupancy).
• Classify the operation: Boarding House, Lodging House, B&B Home/Inn, or Group R-1.
• Design to safety standards: Detectors, exits, lighting, doors, signage, and multi-story protections as applicable.
• Submit STR application: Include all required project and owner/contractor information; pay the $45.00 fee.
• Prepare for inspections: Schedule inspections during and after conversion to confirm safety systems and occupancy configurations.
• Register for taxes: Kentucky Department of Revenue (state sales tax); comply with Bowling Green’s 3% hotel tax.
• Maintain records: Keep permits, inspection reports, guest logs, and tax filings current; plan for annual renewals and any re-inspections.

Key takeaways for investors

• STRs are allowed in Bowling Green, but not in RS districts. B&Bs have a different framework and may qualify in RS districts with owner-occupancy and a special permit.
• Safety requirements are extensive and must be installed/verified before occupancy; expect inspections due to the change-of-use classification.
• The 10-occupant cap per unit is a hard limit and drives unit economics; layout, sleeping room count, and advertising should reflect this constraint.
• Tax and permitting are manageable but require proactive registration and ongoing compliance. Confirm platform tax collection practices and supplement with your own filings to remain compliant.

Notes and caveats

• This guide relies exclusively on the provided Bowling Green sources; Warren County–specific STR requirements were not provided and are not covered.
• Always confirm current requirements with the City’s Building Division prior to acquisition or conversion, as local rules can evolve and inspections may identify site-specific conditions.