Savannah draws visitors year-round for its squares, River Street, SCAD events and St. Patrick's Day, and Tybee Island adds a summer beach market twenty minutes away. But Savannah regulates short-term vacation rentals closely, and the address decides almost everything. Two houses a few blocks apart can have completely different answers.
In short: LendingStreet offers short-term rental DSCR loans for investor-owned homes in Savannah and on Tybee Island where a short-term vacation rental certificate or permit is available, with loans from $150,000, LLC borrowers standard and qualification on projected short-term revenue on some programs. Savannah allows non-owner-occupied rentals only in certain zones, caps them by ward in the downtown historic district, and generally does not allow them in many residential neighborhoods. Check the specific address with the city before you buy, and if it does not qualify, we can size the loan on long-term rent instead, or look at Tybee Island where registration is available.
Savannah requires a short-term vacation rental certificate for every property rented for stays under 30 days, and it treats owner-occupied and non-owner-occupied rentals differently. Investor-owned rentals are allowed only in certain zoning districts.
In the downtown Landmark Historic District, non-owner-occupied rentals are capped at a share of the residential units in each ward, so some wards have openings and others have waiting lists. In many residential neighborhoods outside downtown, including much of Midtown and the Southside, non-owner-occupied rentals are generally not allowed.
Certificates generally do not transfer automatically with a sale. Buying a property that operates as an STR today does not mean you can keep running it. Ask the city's short-term rental office about the specific parcel, the ward's cap and how a new owner applies before you make an offer.
Tybee Island is the region's main beach rental market. The city requires rental registration and has debated limits on new short-term rentals in some residential areas, so confirm current rules for the address. Unincorporated Chatham County areas such as Wilmington Island and Isle of Hope follow county rules, and Hilton Head Island and Bluffton across the South Carolina line have their own permit systems.
| Area | Typical property | What to check |
|---|---|---|
| Downtown Savannah historic district | Townhouses, carriage houses, condos | Ward cap, zoning, historic review, HOA rules |
| Victorian District and Thomas Square | Older homes, duplexes | Zoning district; many areas restrict investor STRs |
| Tybee Island | Beach cottages, raised homes, condos | City registration, flood zone, parking and occupancy rules |
| Wilmington Island and Whitemarsh | Marsh-front homes | County rules, flood zone, HOA covenants |
| Hilton Head and Bluffton, SC | Resort homes and villas | South Carolina town or county permits and taxes |
Savannah's busiest stretch runs from March through May, with St. Patrick's Day weekend the single biggest event of the year, followed by fall festivals and the holidays. Summer heat slows downtown somewhat while Tybee peaks. SCAD graduations, weddings and medical visits add demand in otherwise slower weeks.
Revenue projections for downtown Savannah usually show a strong spring and fall with a dip in late summer. Tybee projections show the reverse: a big summer and a quiet winter.
Downtown properties also compete with a large hotel inventory and many existing permitted rentals, so pricing, design and reviews matter. A projection built on the best-performing listings nearby may overstate what a new listing earns in its first year.
Savannah short-term rentals collect hotel-motel tax and Georgia sales tax on stays, and Tybee has its own hotel-motel tax. Hosting platforms collect some taxes, but owners are responsible for registration and for what platforms do not cover.
Georgia assesses property at 40% of fair market value, and Chatham County, the city and the school system each levy taxes on that assessed value. Investors do not get homestead exemptions. Values are updated annually, and a sale price often becomes the new market value.
On some programs, an STR can qualify on a third-party revenue projection instead of a long-term lease. Underwriters compare the projection with similar nearby listings and may adjust it for seasonality and costs. For a refinance, booking history usually carries more weight.
Because Savannah's rules depend on the exact location, we will ask for the certificate or proof that one is available before sizing a loan on short-term revenue.
This example is illustrative and not a quote. Here, an investor buys a raised three-bedroom cottage on Tybee Island where rental registration is available. Taxes are estimated at about 1.2% of the price a year, and wind, flood and liability insurance at $700 a month.
At 75% of the price, the loan is $517,500. Estimated principal and interest is about $3,530 a month, and the total with taxes and insurance is about $4,920. Projected revenue of $72,000 a year averages $6,000 a month, for a DSCR of about 1.22x. Raised construction helps here, because flood insurance on an elevated home is usually lower.
| Item | Amount |
|---|---|
| Purchase price | $690,000 |
| Loan amount (75%) | $517,500 |
| Projected annual revenue | $72,000 |
| Average monthly revenue | $6,000 |
| Estimated principal and interest | $3,530 |
| Property taxes (monthly) | $690 |
| Wind, flood and liability insurance (monthly) | $700 |
| Total monthly payment | $4,920 |
| DSCR | 1.22x |
Downtown properties sit in historic districts where exterior changes need review, and many are over a century old with older systems. On Tybee and the islands, flood zones and storm surge risk drive insurance. Hurricanes Matthew in 2016 and Irma in 2017 both flooded parts of Tybee and the islands.
STR DSCR loans start at $150,000 with no stated maximum. Purchases go up to 80% LTV and cash-out up to 75% LTV on some programs, though STR programs can carry lower maximum leverage, varies by program. The minimum credit score is 620, 30-year terms are available, and LLC borrowers are standard; you sign for the loan personally.
Send the address, certificate status, a revenue projection or booking history and insurance quotes. Call (877) 298-1001 or use the form below to get a quote.
No. Investor-owned STRs are allowed only in certain zones, capped by ward downtown and generally not allowed in many residential neighborhoods.
In the downtown historic district, non-owner-occupied rentals are limited to a share of residential units in each ward. Some wards have openings and others have waiting lists.
Generally not automatically. Ask the city how a new owner applies before you close.
Yes, with city registration, though Tybee has debated limits in some residential areas. Confirm the address's status.
Hotel-motel tax and Georgia sales tax on stays. Tybee has its own hotel-motel tax.
On some programs, yes, with a third-party projection, once the certificate question is answered.
We can size the loan on long-term rent with a standard DSCR loan. Savannah's rental demand from students, hospital staff and port workers means well-located homes usually lease quickly.
No. Our investor loans are business-purpose loans on non-owner-occupied property.
2-3 competing quotes from 30+ capital sources. No credit pull. No commitment.
By clicking, you provide express written consent to be contacted by LendingStreet (NMLS #1734316) via SMS, phone, or email, possibly using automated technology, regarding your loan inquiry. Reply STOP to opt out. Consent is not required to obtain services. See our Privacy Policy and Terms.