Mount Gretna, Pennsylvania Short Term Rental Regulations Guide for Airbnb hosts

Overview: Are Short-Term Rentals Allowed in Mount Gretna, PA?

YES — Short-term rentals are allowed in Mount Gretna, PA, but they are subject to strict regulations and licensing requirements at both the borough level and within the Mount Gretna Campmeeting community. The borough maintains a hard cap of 18 short-term rental licenses, with 17 currently issued as of June 2025. Properties renting for fewer than 30 days without proper licensing constitute a violation of borough ordinance.

What do Airbnb hosts actually earn in Mount Gretna?

Mount Gretna hosts earn a median $30,806/year with $247 ADR and 56% occupancy.

Top performers pull in $52,152+ per year.

See the full Mount Gretna market breakdown

How to Start a Short-Term Rental Business in Mount Gretna

Step 1: Determine Your Property Location

Mount Gretna operates under a dual jurisdiction system:

Borough of Mount Gretna: Governs all borough properties
Mount Gretna Campmeeting Association (MGCA): Governs properties within the Campmeeting community boundaries

Step 2: Apply for Required Permits

For Borough Properties:

Submit a rental license application to the Borough of Mount Gretna
Applications processed in order of receipt until the cap of 18 is reached
License must be displayed prominently at the property

For Campmeeting Properties:

Obtain MGCA Home Rental Permit ($75 fee)
Submit application to MGCA office
Property must comply with MGCA Rule 20 and rental policy
Permit renewal required annually

Step 3: Comply with All Posting Requirements

Post the STR Notice prominently on or adjacent to the inside of the front door
Include all required information (occupancy limits, contact information, parking permits)

Required Documents, Permits, Licenses, and Guidelines

Borough-Level Requirements:

Short-Term Rental License from Borough of Mount Gretna
STR Notice Posting (mandatory display requirements)
Parking Permits (2 permits provided with license)
Annual Property Statement indicating intended use

Campmeeting Requirements (if applicable):

MGCA Home Rental Permit ($75 annual fee)
Certificate of Resale (for property transfers)
Property Transfer Form
Compliance with MGCA Charter & Bylaws
Compliance with MGCA Rules & Regulations

Application Documents:

Completed rental permit application forms
Payment for applicable fees
Proof of property ownership
Property representative contact information

Specific Regulations for Short-Term Rentals

Borough of Mount Gretna Regulations:

Occupancy Limits:

Maximum overnight occupancy based on property specifications
Maximum day-time visitors (between 7:00 AM - 10:00 PM only)
All occupancy limits must be posted prominently

Parking Requirements:

On-street parking by permit only
Two parking permits provided per rental unit
Additional on-street parking subject to citation and fine by Cornwall Borough Police

Waste Management:

Trash, refuse, and recyclable containers placed at street only within 24 hours of pickup date
All containers must be removed within 24 hours after pickup
Trash/refuse containers: leak-proof plastic or metal with secured lid required
Recyclable containers: plastic or metal container, preferably with secured lid
PROHIBITED: Storage of trash, refuse, and recyclables in plastic bags

Conduct and Nuisance Rules:

Occupants, owners, and guests may be cited for creating nuisance or disturbance
Violations of Borough Ordinances and Pennsylvania state laws subject to citation and fine
All fireworks prohibited on premises and within Borough
Open flame outdoor burning prohibited except in approved grills for cooking

Inspection Requirements:

Rental occupants required to make unit available for inspection by Enforcement Officer
Inspections conducted per borough ordinance provisions

MGCA-Specific Regulations:

Rental Cap System:

Total rental units capped at 30% of total residential structures (72 units maximum)
When applications exceed cap, preference given to:
1. Long-term rentals
2. Existing rental units with permits

Permit Administration:

Permits administered jointly by MGCA Executive Committee and Property Ownership Committee
Annual renewal required
Permits not transferable with property sale (but transferable through inheritance)
Permit must be displayed on front side of house

Application Timeline:

Applications accepted June 21 through August 19 annually
Preference given to existing rental operations and long-term rentals

Community Standards:

Compliance with MGCA Rules & Regulations required
Property owners must submit annual statement indicating intended property use
Tenant orientation materials provided by MGCA

Contact Information for Local Authorities

Borough of Mount Gretna:

Address: 101 Chautauqua Drive, PO Box 61, Mount Gretna, PA 17064
Phone: 717.964.3270
Fax: 717.964.3054
Email: [email protected]
Office Hours: 8:00 AM to 4:00 PM, Monday through Friday
Note: Various responsibilities may take staff out of the office

Mount Gretna Campmeeting Association (MGCA):

Address: P.O. Box 428, Mount Gretna, PA 17064-0428
Phone: 717-964-3040
Email: Office@MtGretnaCampmeeting.org
Rental-Specific Email: cottagerentals@mtgretnacampmeeting.org (Subject: "RENTALS")

Enforcement Contacts:

Cornwall Borough Police (Borough-level enforcement):
Daytime (M-F 8:00am to 4:00pm): 717-274-2071
After Hours Non-Emergency: 717-272-5054
Emergency: 911

Current Licensed Properties (Borough Level)

As of June 2025, the following 17 properties hold borough short-term rental licenses:

122 Columbia Avenue
216 Harvard Avenue
304 Lafayette Avenue
312 Lafayette Avenue
114 Lancaster Avenue
402 Lancaster Avenue
1 Muhlenberg Avenue
5 Muhlenberg Avenue
7 Muhlenberg Avenue
8 Muhlenberg Avenue
210 Pennsylvania Avenue
216 Pennsylvania Avenue
310 Pennsylvania Avenue
316 Pennsylvania Avenue
118 Princeton Avenue
417 Yale Avenue
418 Yale Avenue

Links to Source Pages

Borough Resources:

Campmeeting Resources:

Supporting Documentation:

STR Notice Posting Template

News Coverage:

Lebanon Daily News - Board limits number of Mount Gretna Campmeeting rental units

Investment Considerations

Market Dynamics:

Scarce Availability: With only 1 remaining license available under the borough cap, new entrants face significant barriers to entry
Dual Jurisdiction: Properties may be subject to both borough and MGCA regulations, requiring dual compliance
Established Community: Strong community governance through both borough and MGCA creates predictable regulatory environment

Compliance Risks:

Immediate Enforcement: Properties renting without proper licensing face immediate violation notices
Community Standards: MGCA maintains strict community character standards that may limit property modifications or rental practices
Annual Renewal: All permits require annual renewal with ongoing compliance verification

Success Factors:

Early Application: Given the cap, prospective investors should apply immediately when licenses become available
Community Integration: Successful operators often participate actively in both borough and MGCA communities
Property Quality: The limited market rewards high-quality properties that meet community standards and guest expectations

Important Note: This guide reflects regulations current as of 2025. Investors should verify current requirements with local authorities, as regulations and caps may change through legislative action or community votes.

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Ask the AI Advisor about Mount Gretna

Mount Gretna is a tiny, storybook borough tucked into the rolling, wooded hills of southern Lebanon County, Pennsylvania, with a year-round population of only around 200 residents. The community has the feel of a Victorian summer enclave, with narrow lanes, quaint cottages, and a leafy canopy that feels a world away from busy interstates. Best known as a historic chautauqua and arts colony founded in the 1880s by iron magnate Robert Coleman, Mount Gretna still functions as a cultural retreat and a gateway to the larger Pennsylvania Dutch Country and state game lands surrounding it. It sits roughly ninety miles west of Philadelphia, about thirty miles east of Harrisburg, and only a short drive south of Lancaster, making it a surprisingly central base for exploring a wide swath of south-central Pennsylvania.

Just a few minutes from the heart of the borough, Mount Gretna Lake and Beach is a small but beloved summer escape with a sandy swimming beach, paddleboats, and picnic areas shaded by old oaks. The lake draws families from across the region on warm weekends, and its calm, spring-fed waters and casual concessions give the area a nostalgic resort atmosphere that has barely changed in a century.

A short drive to the east lies the Cornwall Iron Furnace, once the largest iron furnace in the American colonies and now preserved as a National Historic Landmark. Visitors can tour the restored stack, the charcoal house, and the worker cottages, getting a tangible sense of the industry that put this corner of Pennsylvania on the colonial map. It is one of the most important industrial-heritage sites in the state and an easy half-day excursion from Mount Gretna.

To the south, the rolling farmland and covered bridges of Lancaster County unfold in every direction, with the genteel streets of Lititz, the markets of Lancaster City, and the working Amish farms of Bird-in-Hand all reachable in roughly thirty to forty-five minutes. In the opposite direction, the more rugged ridges of the Lebanon Valley and the Tuscarora State Forest offer hiking, trout fishing, and quiet country roads that feel far removed from the densely settled parts of the Mid-Atlantic.

For short-term-rental owners, Mount Gretna is a quietly compelling market. Its compact footprint, strong summer cultural calendar, and proximity to three very different visitor economies — the Pennsylvania Dutch Country, the Hershey-area attractions to the north, and the state forests and game lands on its doorstep — give it an unusually broad draw. Rentals here tend to appeal to guests seeking a slower, more nostalgic pace, which translates into a loyal repeat-visitor base and steady shoulder-season interest in the arts and outdoor recreation that define the borough.