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Greenwood, IN Short-Term Rentals: Occupancy Limits (2026)

Some Restrictions
Compiled from the official code textEditor Martyn O'NeillLast verified September 2026

Key Facts

Adult guest cap
6 guests over age 18
Zones covered
RL, RM, RA
Companion rule
40-day max stay
Safety gear
extinguisher, smoke + CO detectors
Enforcement
warning ticket, then $50-$100 fines

Summary

In Greenwood's RL, RM, and RA residential zones, Sec. 10-03-16(G)(2) of the Unified Development Ordinance limits short-term rental guests over age 18 to six per property, part of a package of use standards covering host residency, safety equipment, and a 40-day stay ceiling.

G. Short-Term Rental Residences. ... 2. Within the RL, RM, and RA zones, guests over the age of 18 shall be limited to six (6) for any single property;

Full Breakdown

Short-Term Rental Residences are addressed as a specific use under Sec. 10-03-16(G) of Greenwood's Unified Development Ordinance, adopted by Ord. 20-29, Sec. 2 (9-21-2020) and amended by Ord. 21-44, Sec. 1 (10-4-2021). Within the RL, RM, and RA zones, subsection (G)(2) caps adult guests, those over 18, at six per single property for any stay, alongside the companion rules in the same subsection: the proprietor must maintain a primary residence on site (G)(1), the unit must carry operational fire extinguishers, smoke detectors, and carbon monoxide detectors (G)(3), and no guest stay may exceed 40 days (G)(4). Community Development Services reviews short-term rental compliance as part of its zoning function, and a property exceeding the six-adult limit is treated the same as any other zoning noncompliance under Sec. 10-04-09: a warning ticket is issued first, giving the host a chance to correct occupancy before a citation and fine follow.

Violations & Fines

Exceeding the six-adult guest cap triggers a warning ticket under Sec. 10-04-09(B)(2) before any fine. A continuing or repeat violation draws a $50 civil zoning citation, $75 for a second citation, and $100 for each one after that, with every additional day of noncompliance counted as a separate offense. The host can petition for a variance or appeal to the Board of Zoning Appeals within 10 working days to stay the fine.

Frequently Asked Questions

How many guests can a Greenwood short-term rental host at once?
In the RL, RM, and RA zones, guests over age 18 are capped at six per property under Sec. 10-03-16(G)(2) of the Unified Development Ordinance, on top of the host's own on-site primary residence requirement.
Does the six-guest cap apply everywhere in Greenwood?
The ordinance text specifically addresses the RL, RM, and RA residential zones; that is where the short-term rental use standards, including the guest cap, are written into the code.
What happens if a Greenwood short-term rental exceeds the guest limit?
Community Development Services can issue a warning ticket first, then a $50 civil zoning citation, rising to $75 and $100 for repeat citations, under the general zoning violation procedure in Sec. 10-04-09.

Sources & Official References

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