diff --git a/builder/openstack/builder.go b/builder/openstack/builder.go
index 2e7f00e7f..1d444cc84 100644
--- a/builder/openstack/builder.go
+++ b/builder/openstack/builder.go
@@ -108,7 +108,8 @@ func (b *Builder) Run(ui packer.Ui, hook packer.Hook, cache packer.Cache) (packe
 				computeClient,
 				b.config.SSHInterface,
 				b.config.SSHIPVersion),
-			SSHConfig: SSHConfig(b.config.RunConfig.Comm.SSHUsername),
+			SSHConfig: SSHConfig(b.config.RunConfig.Comm.SSHUsername,
+				b.config.RunConfig.Comm.SSHPassword),
 		},
 		&common.StepProvision{},
 		&StepStopServer{},
diff --git a/builder/openstack/ssh.go b/builder/openstack/ssh.go
index f7fb2d5a9..99f8e6669 100644
--- a/builder/openstack/ssh.go
+++ b/builder/openstack/ssh.go
@@ -7,6 +7,7 @@ import (
 	"time"
 
 	"github.com/mitchellh/multistep"
+	packerssh "github.com/mitchellh/packer/communicator/ssh"
 	"github.com/rackspace/gophercloud"
 	"github.com/rackspace/gophercloud/openstack/compute/v2/extensions/floatingip"
 	"github.com/rackspace/gophercloud/openstack/compute/v2/servers"
@@ -60,23 +61,37 @@ func CommHost(
 }
 
 // SSHConfig returns a function that can be used for the SSH communicator
-// config for connecting to the instance created over SSH using the generated
-// private key.
-func SSHConfig(username string) func(multistep.StateBag) (*ssh.ClientConfig, error) {
+// config for connecting to the instance created over SSH using a private key
+// or a password.
+func SSHConfig(username, password string) func(multistep.StateBag) (*ssh.ClientConfig, error) {
 	return func(state multistep.StateBag) (*ssh.ClientConfig, error) {
-		privateKey := state.Get("privateKey").(string)
 
-		signer, err := ssh.ParsePrivateKey([]byte(privateKey))
-		if err != nil {
-			return nil, fmt.Errorf("Error setting up SSH config: %s", err)
+		privateKey, hasKey := state.GetOk("privateKey")
+
+		if hasKey {
+
+			signer, err := ssh.ParsePrivateKey([]byte(privateKey.(string)))
+			if err != nil {
+				return nil, fmt.Errorf("Error setting up SSH config: %s", err)
+			}
+
+			return &ssh.ClientConfig{
+				User: username,
+				Auth: []ssh.AuthMethod{
+					ssh.PublicKeys(signer),
+				},
+			}, nil
+
+		} else {
+
+			return &ssh.ClientConfig{
+				User: username,
+				Auth: []ssh.AuthMethod{
+					ssh.Password(password),
+					ssh.KeyboardInteractive(
+						packerssh.PasswordKeyboardInteractive(password)),
+				}}, nil
 		}
-
-		return &ssh.ClientConfig{
-			User: username,
-			Auth: []ssh.AuthMethod{
-				ssh.PublicKeys(signer),
-			},
-		}, nil
 	}
 }
 
diff --git a/builder/openstack/step_key_pair.go b/builder/openstack/step_key_pair.go
index 2fcb8bc51..906f11cee 100644
--- a/builder/openstack/step_key_pair.go
+++ b/builder/openstack/step_key_pair.go
@@ -42,6 +42,11 @@ func (s *StepKeyPair) Run(state multistep.StateBag) multistep.StepAction {
 	config := state.Get("config").(Config)
 	ui := state.Get("ui").(packer.Ui)
 
+	if config.Comm.Type == "ssh" && config.Comm.SSHPassword != "" {
+		ui.Say("Not creating temporary keypair when using password.")
+		return multistep.ActionContinue
+	}
+
 	// We need the v2 compute client
 	computeClient, err := config.computeV2Client()
 	if err != nil {
diff --git a/builder/openstack/step_run_source_server.go b/builder/openstack/step_run_source_server.go
index c0fabb212..afe3af8ff 100644
--- a/builder/openstack/step_run_source_server.go
+++ b/builder/openstack/step_run_source_server.go
@@ -27,7 +27,6 @@ type StepRunSourceServer struct {
 func (s *StepRunSourceServer) Run(state multistep.StateBag) multistep.StepAction {
 	config := state.Get("config").(Config)
 	flavor := state.Get("flavor_id").(string)
-	keyName := state.Get("keyPair").(string)
 	ui := state.Get("ui").(packer.Ui)
 
 	// We need the v2 compute client
@@ -54,21 +53,31 @@ func (s *StepRunSourceServer) Run(state multistep.StateBag) multistep.StepAction
 	}
 
 	ui.Say("Launching server...")
-	s.server, err = servers.Create(computeClient, keypairs.CreateOptsExt{
-		CreateOptsBuilder: servers.CreateOpts{
-			Name:             s.Name,
-			ImageRef:         s.SourceImage,
-			ImageName:        s.SourceImageName,
-			FlavorRef:        flavor,
-			SecurityGroups:   s.SecurityGroups,
-			Networks:         networks,
-			AvailabilityZone: s.AvailabilityZone,
-			UserData:         userData,
-			ConfigDrive:      s.ConfigDrive,
-		},
 
-		KeyName: keyName,
-	}).Extract()
+	serverOpts := servers.CreateOpts{
+		Name:             s.Name,
+		ImageRef:         s.SourceImage,
+		ImageName:        s.SourceImageName,
+		FlavorRef:        flavor,
+		SecurityGroups:   s.SecurityGroups,
+		Networks:         networks,
+		AvailabilityZone: s.AvailabilityZone,
+		UserData:         userData,
+		ConfigDrive:      s.ConfigDrive,
+	}
+
+	var serverOptsExt servers.CreateOptsBuilder
+	keyName, hasKey := state.GetOk("keyPair")
+	if hasKey {
+		serverOptsExt = keypairs.CreateOptsExt{
+			CreateOptsBuilder: serverOpts,
+			KeyName:           keyName.(string),
+		}
+	} else {
+		serverOptsExt = serverOpts
+	}
+
+	s.server, err = servers.Create(computeClient, serverOptsExt).Extract()
 	if err != nil {
 		err := fmt.Errorf("Error launching source server: %s", err)
 		state.Put("error", err)