It depends on your occupancy status. In East Baton Rouge Parish, owner-occupied STRs where the host lives on-site and holds a Homestead Exemption require no permit. However, whole-home rentals where the owner lives off-site require a $100 permit from the Permits and Inspections Division, a parking plan submission, and local tax registration. The combined STR tax rate sits at approximately 16.5%. Sellers should document their current permit compliance before listing to avoid buyer due-diligence delays and price renegotiations.

Largely no, for traditional residential neighborhoods. Lafayette Consolidated Government ordinances that took effect in October 2024 prohibit STRs in Residential Single-Family (RS) zoning districts, which cover approximately 75% of Lafayette's residential footprint. STRs are only permitted in commercially zoned or mixed-use areas, requiring an annual LCG license. Investors and sellers in Lafayette's Saint Streets and similar RS-zoned neighborhoods should position properties on long-term rental income metrics rather than STR income projections, as the legal landscape remains actively contested in federal court.

St. Tammany Parish bans STRs in all single-family residential zones under a parish-wide ordinance effective February 2022. Only commercially zoned or mixed-use properties may legally operate STRs, and the compliance requirements are among the state's most stringent: $500,000 in dedicated STR liability insurance, a local contact available 24/7 who can physically respond within 60 minutes, and mandatory criminal background checks through the St. Tammany Parish Sheriff's Office. These cost layers suppress STR capitalization rates and reduce buyer premiums for residential homes previously marketed as rental investments on the Northshore.

St. George applies stricter uniformity. Under Ordinance No. 2025-051, which amended Title 7 of the St. George Unified Development Code, all STRs require a non-transferable annual permit regardless of whether the owner is on-site or off-site. Critically, this permit does not convey to a new buyer upon a property sale; each new owner must apply independently. This non-transferability is a material disclosure point for St. George sellers, as it eliminates the "turnkey STR" marketing premium that some properties in unincorporated East Baton Rouge Parish can still command.

Directly and significantly. In parishes where STRs are heavily restricted or banned, the pool of investment buyers willing to pay a premium for short-term rental income potential shrinks substantially, suppressing offer prices for properties previously valued on STR cash flow. In East Baton Rouge Parish, properties with clean whole-home permit documentation and a demonstrated STR income history can still command investor premiums. To maximize net proceeds, sellers should work with a local REALTOR who understands parish-by-parish STR zoning, can properly frame the property's income potential within legal parameters, and can target the correct buyer demographic for each specific location.