Short-Term Rental Regulations
in Franklin, IN

Airbnbs are effectively legal in Franklin, IN because there are no specific short-term rental regulations on the books. The City of Franklin does not currently impose specific zoning caps, residency requirements, or occupancy limits for short-term rentals. However, Johnson County imposes a 5% Innkeeper’s Tax on all lodgings rented for periods of less than 30 days. Operators should still verify HOA rules, state-level requirements, and any tax-collection obligations. See the official source linked on this page for full requirements. Last verified 2026-05-14.

The City of Franklin does not currently impose specific zoning caps, residency requirements, or occupancy limits for short-term rentals. However, Johnson County imposes a 5% Innkeeper’s Tax on all lodgings rented for periods of less than 30 days.

No permit is currently required to operate a short-term rental in Franklin.

Vrbo is effectively legal in Franklin, IN for the same reason Airbnb is: there are no short-term-rental-specific regulations on the books. Operators should still check HOA, state, and tax obligations before listing. Last verified 2026-05-14.

Short-term rental hosts in Franklin are typically responsible for lodging, occupancy, and applicable sales taxes — these usually apply even where hosting is allowed without a permit. Rates and remittance rules vary by jurisdiction (state, county, and city can each levy a share); confirm the current rates with the official source linked on this page. Platforms such as Airbnb and Vrbo collect some taxes automatically, but the host remains liable for any not collected on their behalf.

We are not currently tracking any recent short-term rental ordinance changes for Franklin. STR rules change frequently — verify the current requirements with the city or county before listing, using the official source linked on this page.