Little Rock Short Term Rental Regulation: A Guide For Airbnb Hosts

Do you own a place in Little Rock and you're weighing whether to put it on Airbnb or Vrbo? Well, the good news is, you're allowed to. Little Rock, the seat of Pulaski County and Arkansas's capital and largest city, passed a short-term rental ordinance in 2023 that actually creates a legal path for hosts, rather than banning the business the way some cities have tried.

The catch is that Little Rock caps the entire program at 500 short-term rentals citywide. Every application gets sorted into one of two permit types, depending on whether you live on the property, and the city bills an inspection fee every single year on top of whatever you paid to get licensed. Whether you need a fairly quick Special Use Permit or a full rezoning through the Board of Directors comes down to one question: are you the one sleeping there most nights?

So let's walk through what it actually takes to do this properly in 2026: which permit fits your situation, what the city charges at every step, the taxes that stack on a booking, how seriously Little Rock enforces its own ordinance, and who to call when something doesn't add up. Every figure below comes from the city's own ordinance and tax pages, read directly in July 2026. Once you know where you stand here, run the property through BNBCalc before you commit.

Starting a Short Term Rental Business in Little Rock

Running the numbers only matters once the business is actually legal to start, and in Little Rock it is, just with real conditions attached. The ordinance the Board of Directors passed on June 20, 2023 amends both Chapter 17 and Chapter 36 of the city's revised code. It's still the operating framework, too. Planning Commission staff reports for individual short-term rental applications went out under this exact same structure as recently as January and March 2026.

The ordinance defines a short-term rental as a stay of no more than 29 consecutive days, rented for a fee. Every property gets sorted into one of two types. STR-1 is owner-occupied: a single-family, two-family or multi-family dwelling where you actually live, or a unit within 1,500 feet of that home, capped at nine bedrooms, with no more than one of those in an accessory dwelling. STR-2 is everything else, meaning a non-owner-occupied property with the same nine-bedroom ceiling. That single distinction decides your entire process from here.

Little Rock also caps the program at 500 short-term rentals citywide, with no rule about where in the city they can sit. The city estimated roughly 300 were already active when the ordinance passed in June 2023, so there was real headroom at the start. I couldn't find a published, current count of how close the city now sits to that 500 ceiling. Treat the cap as real, but don't assume there's automatically room for one more.

One more thing worth knowing up front. The ordinance gave existing operators a grace period to register through a simpler administrative path, but only for six months after passage, closing around December 2023. That shortcut is gone now. Starting today means the full permit process below, same as everyone else.

Short Term Rental Licensing Requirements in Little Rock

Since that grandfathering window is closed, everyone starting now goes through the same front door. STR-1 is entitled through a Special Use Permit under Chapter 36, Article II, Section 36-54. The filing fee is a flat $175 for every site, as of the city's current fee schedule.

STR-2 needs something bigger: a Planned Zoning District, approved by an ordinance from the Board of Directors itself. That's effectively a rezoning of your property, not a simple permit. The filing fee scales with parcel size, too, starting around $200 for the smallest lots under the PD-C classification and climbing toward $500 on larger sites.

Both paths land in the same place next. Once the Planning Commission grants your Special Use Permit, or the Board adopts your PZD ordinance, you apply for a Business License. Little Rock now runs that as an online Rental Registration Business License Application through the Treasury Management Division. It's a flat $35 a year, renewed annually, and you cannot legally list the property anywhere until it's issued.

On top of that sits an annual inspection fee, and here's where STR-1 and STR-2 diverge again. STR-1 pays $100 per bedroom, capped at $500. STR-2 pays a flat $500, regardless of bedroom count. Both get waived for the first year if the structure was on the city's Unsafe/Vacant list and got rehabilitated specifically for short-term use.

Keep in mind, too, that a PZD zoning classification is tied to the current owner. If an STR-2 property changes hands, the zoning reverts, according to Planning Director Jamie Collins. A buyer can't simply inherit someone else's entitlement and start hosting the next week.

Required Documents for Little Rock Short Term Rentals

Since none of those fees come back if your application gets denied, it's worth getting the paperwork right the first time. If you're applying as STR-1, owner-occupied status has to be confirmed by at least two documents from different categories, and the address on those documents has to match the deed on file at the Pulaski County Clerk's Office:

• An Arkansas driver's license or Arkansas State ID card
• A Pulaski County voter registration card
• An IRS W-2 form
• A utility bill dated within the last 60 days
• A bank statement dated within the last 60 days

Beyond proving you live there, both permit types need a scaled floor plan. It has to mark every rentable room along with its windows, doors and smoke detectors. A parking plan gets filed with the same application. The city wants one paved off-street space per guest room plus one more for the residence, though it will accept on-street parking instead, as long as it's within 330 feet of the property and your plan addresses the neighborhood impact.

You'll also need proof of homeowner's, fire, hazard and liability insurance, with liability coverage of at least $1,000,000 per occurrence. That's a hard minimum, not a suggestion. Once your Special Use Permit or PZD is granted, the last document is the Business License application itself, filed online through Treasury.

Little Rock Short Term Rental Taxes

Assuming you get through all that and are able to open your calendar, there's still tax to deal with. Little Rock stacks it in five separate layers. The ordinance itself makes every permit holder responsible for collecting and remitting all applicable room, occupancy, Advertising & Promotion, and Sales and Gross Receipts taxes required by state law or city code. This isn't paperwork you can skip because a platform handles the booking.

Tax	Rate	Collected by
State gross receipts (sales) tax	6.5%	Arkansas Department of Finance and Administration
State tourism tax	2.0%	Arkansas Department of Finance and Administration
Pulaski County sales tax	1.0%	Arkansas Department of Finance and Administration
City of Little Rock sales tax	1.125%	Arkansas Department of Finance and Administration
Little Rock Advertising & Promotion (lodging) tax	4.0%	Little Rock Advertising and Promotion Commission
Combined	14.625%	split across the agencies above

That last line, the 4% Advertising & Promotion tax on short-term lodging, is easy to miss if you're only thinking in general sales-tax terms. Little Rock's own tax page names it out specifically as applying to hotels, motels and "Airbnb, etc."

The good news: you don't have to chase all five layers by hand. Airbnb's own help page confirms, as of July 2026, that it collects and remits Little Rock's 4% Advertising & Promotion tax automatically on every reservation of 29 nights or fewer, alongside the statewide 6.5% and 2% taxes and local sales tax. A host booking exclusively through Airbnb is largely covered on the collection side.

Where things get genuinely fuzzy is whether you still need your own state sales-tax permit even when a platform already collects for you. Some secondary guides claim marketplace-only hosts skip Arkansas Department of Finance and Administration registration entirely, but I couldn't confirm that on a primary DFA page. Do check with the state directly before you assume you're covered, especially if you ever take a direct booking outside a platform. Our Arkansas statewide guide covers that state-level registration question in more depth.

Little Rock Short Term Rental Operating Rules

Taxes are an ongoing obligation, but they're not the only one. The ordinance's development standards govern how you actually run the place day to day. Little Rock's rules cover:

• No private parties, weddings, receptions or similar events on the property
• No paid tours offered to anyone other than the paying occupant
• Meal service limited to what's included in the occupancy fee, with no separate meal service allowed
• Signage limited to what's permitted under the Single-Family Residential Standard
• Smoke detectors in every sleeping area and along the path of egress, on every story including basements, with two ways out of each sleeping area, one of which can be an operable window
• Carbon monoxide detectors where the unit has fuel-fired appliances or an attached garage
• A mounted, readily accessible 5-pound ABC-type fire extinguisher
• No recreational vehicles, buses or trailers visible on the street or property
• A principal renter who is at least 18 years old
• Maximum occupancy set by the Arkansas Fire Prevention Code, not by the host
• No simultaneous rental to more than one party under separate contracts
• No rentals for less than a full one-day period

On top of the physical rules, every STR-1 or STR-2 needs a designated Responsible Party. That person has to be reachable 24 hours a day, seven days a week, and respond to a city complaint about noise, conduct or a violation within 60 minutes.

It doesn't stop there. They also have to hand their contact information to every adjacent resident before the rental starts operating, and post a notice near the front door listing the property address, emergency contacts, maximum occupancy, and a fire-department-approved exit diagram during every stay. Miss that 60-minute window and it counts as its own violation, separate from whatever the original complaint was about.

Does Little Rock Strictly Enforce STR Rules?

That 60-minute clock matters because Little Rock's whole enforcement model runs on complaints, not routine patrol. The ordinance backs it with real teeth, too. Three or more confirmed violations in a calendar year lets the Director of Planning and Development revoke your business license outright, though you can appeal to the Board of Adjustment within 10 days of getting written notice. A revoked license bars you from reapplying for that same property for a full year. Operating or even listing a property before your license is issued makes you ineligible to apply for up to a year as well.

Whether that framework gets enforced consistently is a fair question, and the honest answer is mixed. The path to it wasn't quick or quiet, either. The Board deferred a vote on this ordinance ten separate times between September 2022 and June 2023, citing state legislative changes and the need for more community input, before finally passing it. Once it passed, hosts pushed back hard. Airbnb Superhost Mia Foreman told a local news crew she was calling attorneys over the new fees, and felt hosts had been shut out of the decision entirely.

A year later, criticism started coming from inside the building. At a June 2024 board meeting, Vice Mayor Kathy Webb publicly criticized the city's own enforcement of the short-term rental ordinance as falling short. I wasn't able to read the full article behind that report, since it sits behind a paywall even in an archived copy, so I can't tell you exactly which enforcement gap she pointed to. But a sitting vice mayor saying it out loud at a public meeting is a real signal on its own.

What I can confirm is that the entitlement process hasn't gone dormant. Planning Commission staff reports for individual STR-1 and STR-2 applications were still being filed and heard into January and March 2026. The city is clearly still processing new permits under this same framework, even if enforcement against existing noncompliant listings lags behind approvals of new ones.

How to Start a Short Term Rental Business in Little Rock

Given all of that, working through the steps in order saves you from redoing paperwork or paying a fee twice.

1. Decide which permit applies to you. If you'll live on the property or within 1,500 feet of it, you're STR-1. Otherwise, you're STR-2, and you should expect a slower, more expensive rezoning process.
2. Call Planning and Development before you spend anything, to check whether the city's 500-unit cap still has room and confirm your specific zoning district is eligible.
3. Gather your occupancy documents if you're filing STR-1: two items from different categories, matching the deed on record at the Pulaski County Clerk's Office.
4. Line up insurance, with at least $1,000,000 in liability coverage per occurrence, plus homeowner's, fire and hazard coverage.
5. Draft your floor plan and parking plan, marking every rentable room, its windows, doors and smoke detectors, and how guests will park.
6. File the Special Use Permit ($175 flat) with the Planning Commission, or the Planned Zoning District application (from roughly $200) headed to the Board of Directors.
7. Once you're entitled, apply for the Business License through Treasury's online Rental Registration form ($35 a year) and pay the annual inspection fee: up to $500 for STR-1, a flat $500 for STR-2.
8. Post the required in-unit notice and designate a Responsible Party who can genuinely answer calls 24/7 and respond within 60 minutes.
9. Set up tax collection. Confirm your platform handles the 4% Advertising & Promotion tax, and check with the state on whether you still need your own DFA sales-tax permit.
10. Wait for the license before you list anywhere. Listing early is a violation on its own, separate from anything that happens once you're open.

Who to Contact in Little Rock about Short Term Rental Regulations and Zoning

You'll hit a point somewhere in that list where you need an actual person on the phone, not another page of ordinance text. Here's who owns each piece.

Zoning, permits and Special Use Permits or PZDs

The Planning and Development Department handles zoning eligibility, Special Use Permit and PZD applications, and general zoning questions or complaints.

• Address: 723 West Markham Street, Little Rock, AR 72201
• General line: (501) 371-4790
• Zoning information, verification and complaints: (501) 371-4844, [email protected]
• Building Permit Desk: (501) 371-4832, [email protected]

Life-safety inspections

The Little Rock Fire Department handles the fire-code and life-safety side of an STR inspection, including smoke detector, egress and extinguisher requirements.

• Address: 624 S. Chester St., Little Rock, AR 72201
• Phone: (501) 918-3700
• Email: [email protected]

Business license and the annual inspection fee

The Treasury Management Division issues the Rental Registration Business License and handles the annual filings tied to it.

• Address: 500 W. Markham St., Ste 100, Little Rock, AR 72201
• General line: (501) 371-4567
• Rental registration questions: (501) 371-4568
• Reporting forms: (501) 371-4570

The 4% lodging tax

The Little Rock Advertising and Promotion Commission, which oversees the Little Rock Convention & Visitors Bureau, administers the Advertising & Promotion tax on short-term lodging.

• Address: Markham and Broadway, Little Rock, AR 72201
• General line: (501) 376-4781
• Tax Revenue Division: (501) 370-3204

Everything else

For general city questions that don't fit neatly into one of the above, Little Rock City Hall is the fallback.

• Address: 500 West Markham Street, Little Rock, AR 72201
• Phone: (501) 371-4510
• Email: [email protected]

What do Airbnb Hosts in Little Rock Think About the New Regulations?

Whichever office actually picks up, hosts who've already been through this process have plenty of opinions, and they don't fully agree with each other. The loudest complaint, going back to the ordinance's passage in 2023, is the fee structure itself. Superhost Mia Foreman argued the rules were written without meaningful host input, and that the added cost could push smaller operators out of the business entirely. Other hosts echoed her, calling the $500 annual inspection fee steep for a single property.

City officials, for their part, have defended the framework as a genuine compromise rather than a ban. Board director Ken Richardson, defending the June 2023 vote, pointed out the board had already deferred the decision ten times, and described the ordinance as "not set in stone," open to amendment once the city saw how it played out.

That flexibility cuts both ways, though. Vice Mayor Kathy Webb's own June 2024 criticism of lackluster enforcement suggests city leadership isn't fully satisfied with how the ordinance works in practice, even a year after passage.

What's clear from the city's own records is that the program is still active, not shelved. New Special Use Permit and PZD applications kept moving through the Planning Commission and Board of Directors into early 2026. Hosts are still choosing to go through the process rather than treat Little Rock as closed. If you're weighing Little Rock against a neighboring Arkansas market, our guides to Fayetteville and Fort Smith cover two of the state's other regulated cities. Once the compliance picture is straight, BNBCalc's Little Rock market page is worth a look too, since that's where the actual revenue numbers live.

Frequently Asked Questions

Can you legally run an Airbnb in Little Rock in 2026?

Yes, but only with a permit, and only while the city has room under its 500-unit citywide cap. Little Rock requires a Special Use Permit for owner-occupied rentals (STR-1) or a full Planned Zoning District approval for non-owner-occupied rentals (STR-2), followed by an annual Business License and inspection fee. Operating or listing a property before that license is issued is itself a violation, so the legal path exists, but it isn't a same-week process.

How much does a Little Rock short-term rental permit cost?

A Special Use Permit for an owner-occupied STR-1 costs $175 to file. A Planned Zoning District for a non-owner-occupied STR-2 starts around $200 and scales with parcel size. After approval, add a $35 annual Business License and an annual inspection fee: up to $500 for STR-1, calculated at $100 per bedroom, or a flat $500 for STR-2. None of these fees are refundable if your application is denied.

What's the difference between STR-1 and STR-2 in Little Rock?

STR-1 is owner-occupied: you live in the property, or within 1,500 feet of it, and it goes through a relatively fast Special Use Permit from the Planning Commission. STR-2 is non-owner-occupied and requires a full Planned Zoning District ordinance approved by the Board of Directors, effectively a rezoning of the property. STR-2's zoning classification also reverts if the property is sold, so a buyer can't simply inherit the entitlement.

How much tax do you pay on a Little Rock Airbnb?

Combined, five layers add up to roughly 14.6%: 6.5% state gross receipts tax, 2% state tourism tax, 1.0% Pulaski County sales tax, 1.125% City of Little Rock sales tax, and 4% City of Little Rock Advertising & Promotion tax on lodging. Airbnb collects and remits all five automatically on bookings of 29 nights or fewer, though you should confirm your own state tax registration status directly with the Arkansas Department of Finance and Administration.

What happens if you operate an unlicensed short-term rental in Little Rock?

Three or more confirmed violations in a calendar year can get your business license revoked, appealable to the Board of Adjustment within 10 days. Operating or listing a property before a business license is issued makes you ineligible to apply for a license on that property for up to one year. A revoked license carries the same one-year bar, so a single bad year can shut the property out of the legal market the following year.

Last verified: July 2026. Every ordinance, tax rate, state law, and contact detail in this guide links to or comes from its official source.