Marion County's consolidated city-county short-term rental program (Code of Ordinances Chapter 852, adopted by City-County General Ordinance 25, 2024) does not impose an annual cap on the number of nights a property may be rented. Indiana Code Sec. 36-1-24 preempts local bans on owner-occupied STRs, and Indianapolis instead regulates through a permit, a two-night minimum stay, and operational standards.
Indianapolis-Marion County's UniGov consolidated government adopted City-County General Ordinance 25, 2024 in August 2024, codified as Chapter 852 (Short-Term Rental Permit Program) of the Code of Ordinances and effective January 1, 2025. The chapter requires every operator of a residential dwelling rented for fewer than 30 consecutive days to obtain a Short-Term Rental Permit from the Department of Business and Neighborhood Services before listing on Airbnb, Vrbo, or any platform. Chapter 852 does not impose any annual night cap, calendar-day cap, or maximum-rental-days limit on permitted STRs, whether owner-occupied or non-owner-occupied. Indiana Code Sec. 36-1-24-8 makes an owner-occupied short-term rental a permitted residential use in any district that allows residential use, and Sec. 36-1-24-13 caps the local permit fee at $150, both of which constrain how restrictive Marion County may be. Chapter 852 instead relies on operational standards: a two-night minimum stay, an occupancy limit generally calculated as two guests per bedroom plus two additional persons (capped at 10 guests), a 24/7 local contact requirement, prominent display of the permit number in every online listing, and compliance with the Indianapolis nuisance, noise, parking, and trash codes. The state 7 percent sales tax and the 10 percent Marion County innkeeper's tax both still apply.
Operating an unpermitted STR or violating Chapter 852 standards is enforced by the Department of Business and Neighborhood Services. The Director may revoke the permit after three documented violations within a permit year, and continued unpermitted operation is enforceable through Marion County's ordinance violation process and Indianapolis-Marion County Environmental Court.
See how Indianapolis's night caps rules stack up against other locations.
Help us keep this page accurate. If you notice an error or outdated information, let us know.