Short-Term Rental Laws in Hot Springs, Arkansas

Hot Springs operates a two-type STR framework: Type 1 (Owner-Occupied / Hosted) STRs are permitted in all residential zones via registration; Type 2 (Non-Owner-Occupied / Unhosted) STRs require a conditional use permit in single-family residential zones (R-1, R-2) and are subject to a density cap (no more than ~1 Type 2 STR per ~10 residential parcels per neighborhood). Commercial / resort overlay zones permit Type 2 STRs by right. The 2022 ordinance was the subject of significant pushback — verify current density cap status with Hot Springs Planning.

Type 1 (owner-occupied / hosted): permitted in all R-1, R-2, R-3, RM-12, RM-24 zones with registration. Type 2 (non-owner-occupied / unhosted): conditional use permit in R-1 and R-2 (single-family) subject to density cap; by right in C-1, C-2, C-3 (commercial), RM-24 (high-density multi-family), and resort overlay districts. The historic Bathhouse Row + downtown Hot Springs National Park corridor is the highest-demand zone. Verify density-cap saturation for your target neighborhood before any offer.

Operators must hold a short-term rental permit before listing. See the official permit portal.

Hot Springs Planning + Code Enforcement administer the STR program. Annual $200 permit fee. Application requires designated 24/7 local responsible-party, life-safety inspection, parking plan, insurance, and (Type 2) the conditional-use process through Planning Commission with public hearing. Operating without permit: $500+ per violation + back-tax + A&P assessment + permit revocation. Garland County also has its own STR registration for unincorporated areas around Lake Hamilton.

Combined short-term lodging tax in Hot Springs is approximately 13.500% of gross nightly revenue (state sales + state TRT + local TRT + applicable resort/city options).

Arkansas State sales 6.5% + Garland County 1.5% + Hot Springs city sales 1.5% + Hot Springs A&P (advertising & promotion) tax 3% + supplemental lodging tax 1% — combined ~13.5% on transient lodging

Verify the current combined rate via the Utah State Tax Commission before remitting — rates drift quarterly.