Savannah STVR Certificate Rules: Type 1 vs Type 2 Permits

Savannah's Short-Term Vacation Rental (STVR) ordinance, adopted in 2017, was one of the South's earlier formal STR frameworks. The system splits permits into Type 1 (owner-occupied/owner-on-property) and Type 2 (non-owner-occupied investor STRs). Type 2 is capped at 20% of dwelling units in the city's tourism-heavy National Historic Landmark District and certain adjacent historic neighborhoods, creating real scarcity in the most desirable submarkets.

Licensing & Registration

STVR application requires: proof of property tax payment current, life-safety inspection (smoke/CO/egress/extinguisher), liability insurance ($1M minimum), local-contact-within-1-hour designation, and annual fee. Type 1 and Type 2 share the same fee structure but Type 2 is gated by the 20% neighborhood cap. As of late 2025, multiple historic-district sub-areas have hit the cap and have multi-year waitlists.

Lodging & Occupancy Taxes

Georgia state sales tax 4% + Chatham County local options 3% = 7% combined sales tax. Savannah hotel-motel tax 6%. Effective STR lodging tax: 13%. State hotel-motel fee $5/night also applies to stays under 30 days. Airbnb and Vrbo collect Georgia state taxes; local hotel-motel collection depends on platform agreement.

Penalties & Enforcement

Operating without an STVR certificate: civil penalty of up to $1,000 per offense, plus potential injunctive relief. Failure to display the STVR number on listings is itself fineable. Repeated violations result in a 12-month ban on future STVR applications for the property.

Recent Changes

2024 City Council expanded the Type 2 cap from 20% to consider a sliding scale by neighborhood, but the proposal was tabled. The waitlist for Type 2 in capped neighborhoods remains the binding constraint. Type 1 (owner-occupied) remains uncapped citywide.

Tax Strategy for Compliant Investors

Even where Savannah's rules constrain inventory, properly-licensed STR investors retain the full federal tax stack. Cost segregation accelerates depreciation, and the STR loophole can let losses offset W-2 income for materially-participating owners. See cost segregation for Airbnb properties for the playbook.

Frequently asked questions