Carmel, IN Short-Term Rentals: Registration Rules (2026)

Carmel adopted a Residential Rental Dwelling Registration Program through Ordinance D-2770-25, effective February 1, 2026. That program covers single-family dwellings and attached townhomes rented to someone other than the owner for 30 consecutive days or more; condominiums and short-term rentals are not regulated under it. Registration opened December 1, 2025, with a January 31, 2026 deadline for existing 'legacy' rentals. Because the long-term program excludes short-term rentals, STRs were instead governed by Carmel's Unified Development Ordinance (Z-629-17), which required a Special Exception from a Board of Zoning Appeals hearing officer and limited eligibility to a host's primary residence. Indiana House Enrolled Act 1210 (2026) retroactively excluded short-term rentals from local bed-and-breakfast definitions, voiding Carmel's UDO-based STR registration approach. State law preserves a city's authority to maintain registration, inspection, safety, and occupancy rules so long as they do not function as a de facto ban or cap. Given the 2026 changes, hosts should confirm directly with Carmel's Department of Community Services whether any short-term-specific registration currently applies, and should separately register with the Indiana Department of Revenue to remit applicable lodging taxes.