The maximum amount of people who can live in this place is five, which is fine most of the time since my husband lives in a separate household. However, when he comes and visits, it gets uncomfortable to know that you have too many people living in a home and run the risk of getting reported for too many people living in one place.
What would be the consequences for being reported on?
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It depends on who reports what to who.
The rules state that properties can be inhabited by 2 people per room, plus one extra person. I'm not sure if it's a law or guideline or exactly what.
I do know that if your neighbors complain to your HOA - who are not lawmakers, but rule enforcers, that there are too many people in your unit, you can face fines or even eviction - even if you own the property.
As far as children are concerned, too many people in the home make your children technically homeless - and if a spiteful neighbor calls Child Protection Services or such - you may have problems that way.
From my personal experience, this is very rare. Unless you are a complete nuisance people leave you alone. I however didn't want to take my chances.