Overview

Short-term rentals ARE ALLOWED in Harriman, Tennessee, but in a very limited capacity. The city permits "Bed and Breakfast/Tourist Homes" and "Bed and breakfast inns" under specific conditions. These are essentially owner-occupied residential properties with a limited number of guest rooms, rather than whole-home rentals commonly associated with platforms like Airbnb. The regulations are primarily contained in Harriman's 1993 Zoning Ordinance.

How to Start a Short-Term Rental Business in Harriman

Market Assessment

Before proceeding, note that Harriman's STR regulations are quite restrictive compared to many other jurisdictions. The city only permits bed and breakfast operations rather than traditional whole-home or multiple-property STRs.

Location Requirements

To operate a legal STR in Harriman, your property must be located in one of the following zoning districts:

• R-H Residential Historic District: Allows "Single family residences with a maximum of two accessory apartments"
• R-1 Low Density Residential District: Allows "Single-family residences with a maximum of one accessory apartment"
• R-2 Medium Density Residential District: Explicitly allows "Bed and breakfast inns"

Basic Operational Requirements

1. Owner Occupancy Required: The property must be your primary residence
2. Single Family Dwelling: Only applicable to single-family homes
3. Limited Guest Capacity: Maximum 4 guest rooms (R-2) or 2 accessory apartments (R-H/R-1)
4. Compliance with Residential Character: Operations must not change the residential character of the neighborhood

Required Documents, Permits, and Guidelines

Zoning Compliance Documentation

• Site Plan: Required for most developments, including residential structures with multiple units (Section 11-310)
• Certificate of Appropriateness: Required for properties in Historic Districts (H-1) before exterior alterations
• Building Permits: Required for any structural modifications
• Certificate of Occupancy: Required after final inspection

Specific Permits by District

• Historic Districts: Must obtain approval from Harriman Historic Zoning Commission
• R-2 District: Must comply with Medium Density Residential development standards
• All Districts: Must meet off-street parking requirements

State-Level Requirements

As of Tennessee law, you may need:

• Tennessee Sales Tax License: For transient lodging
• Tennessee Business License: Depending on gross receipts
• Tennessee Hotel/Motel Tax Registration: For collections

Specific Regulations

Zoning Districts Permitting STRs

R-H Residential Historic District

• Single family residences with maximum 2 accessory apartments
• Requires Certificate of Appropriateness from Historic Zoning Commission
• Must maintain residential character
• Subject to all standard residential setback and height requirements

R-1 Low Density Residential District

• Single-family residences with maximum 1 accessory apartment
• Customary home occupations permitted
• Buffer requirements when adjacent to lower-density districts
• Access restricted to Arterial or Major Collector Streets for non-residential uses

R-2 Medium Density Residential District

• Explicitly permits "Bed and breakfast inns"
• Multi-family dwellings permitted under PUD regulations
• Additional buffer requirements for properties adjacent to R-H or R-1 districts
• Professional offices permitted with conditions

Operational Restrictions

Parking Requirements

• Bed & Breakfast/Tourist Homes: 1 space per guest room + 2 spaces for the residence
• All parking must comply with Section 11-304 design requirements
• No backing into public streets required
• Minimum 5-foot setback from property lines

Home Occupation Rules (Applicable to STRs)

• Must be conducted within dwelling or accessory building
• No exterior alterations changing residential appearance
• No outdoor display or storage of equipment
• Limited to immediate family + 1 non-family employee
• Traffic levels must be typical for residential neighborhood
• All parking must be off-street
• No signs except as permitted by Section 11-309

Occupancy Limits

• Maximum 4 guest rooms for Bed & Breakfast operations
• Accessory apartments limited to 1-2 units depending on district
• Must not exceed residential density standards

General Zoning Compliance

• Only one principal building per lot (except PUDs)
• Must meet minimum setback requirements
• Cannot reduce lot size below required standards
• Must maintain required yard spaces

Enforcement and Penalties

• Building permits required for alterations
• Violations subject to building code enforcement
• Non-conforming use restrictions apply
• Abandonment after 6 months of non-use

Contact Information

City of Harriman

Address: City of Harriman, TN
Zoning/Planning Department: Harriman Regional/Municipal Planning Commission
Building Department: Building Official
Historic District: Harriman Historic Zoning Commission

Key Contacts

• Harriman Planning Commission Secretary: Orvis McKinney (based on document signatories)
• Mayor: Harold Wester (as listed in document)
• City Council: City Council of Harriman

Phone/Email

Note: Specific contact information was not provided in the source document. Contact the City of Harriman directly at:

• Website: cityofharriman.net
• Phone: Contact city offices for current contact numbers

Regional Planning Office

Department of Economic and Community Development
Local Planning Assistance Office
Knoxville, Tennessee
(Based on document preparation credits)

Important Notes and Limitations

Regulatory Age

This guide is based on Harriman's 1993 Zoning Ordinance, which may not reflect recent updates or current STR market realities. Contact city officials for the most current regulations.

STR Model Compatibility

Harriman's regulations appear designed for traditional B&B operations rather than modern STR platforms like Airbnb. Whole-home rentals and multiple-property operations likely do not comply with current zoning.

Historic District Considerations

Properties in designated Historic Districts require additional approvals and must maintain historic character standards.

Parking Challenges

The parking requirements (1 space per guest room + 2 residential spaces) may pose challenges for B&B operations with multiple guest rooms in residential neighborhoods.

State Preemption

Tennessee has not enacted state-level STR regulations, but state tax and business licensing requirements still apply regardless of local zoning permissions.

Recommended Next Steps

1. Verify Current Regulations: Contact Harriman Planning Department to confirm current zoning and STR regulations
2. Property Assessment: Verify your property's zoning classification
3. Historic Review: If in Historic District, contact Historic Zoning Commission
4. Business Licensing: Register for appropriate state business licenses and tax accounts
5. Insurance: Obtain proper liability and property insurance
6. Legal Review: Consider consulting with local attorney familiar with Tennessee STR law

Source Documents

• City of Harriman Zoning Ordinance (December 1993)
• cityofharriman.net/wp-content/uploads/2023/06/City-of-Harriman-Zoning-Ordinance.pdf

Note: This analysis is based on the provided 1993 Zoning Ordinance. Always verify current regulations with local authorities before investing or operating a short-term rental in Harriman, Tennessee.