Economy
September 16, 2024
Border
Less than
1
min read

Greece to Ban New Short-Term Rentals in Athens for at Least a Year

Greece will implement a one-year ban on new short-term rental licenses in central Athens starting January 1, 2025, due to housing shortages and rising rents fueled by platforms like Airbnb. The government is also raising taxes on short-term lets during peak seasons.
Greece to Ban New Short-Term Rentals in Athens for at Least a Year
Josiah Smith - Pexels

The Greek government announced a one-year ban on new short-term rental licenses in three central Athens districts, effective from January 1, 2025. This measure aims to tackle the housing shortage exacerbated by the rise of holiday rental platforms like Airbnb. Greece, like other European tourism hotspots, faces the challenge of balancing a booming tourism industry with the housing needs of its residents.

Tourism Minister Olga Kefalogianni confirmed that the ban could be extended beyond its initial one-year period, citing pressure on the local housing market as a key driver. "Short-term rentals are operating almost like hotels, putting a lot of pressure on society," she explained.

In addition to the ban, Greece will raise the tax on short-term rentals to €8 per day during the high season (April to October), up from the current €1.5. The tax will also rise in the winter months, from €0.5 to €2 per day. The increased revenue will be used to address the impact of climate change-related natural disasters.

Greece anticipates record tourism revenues of €22 billion in 2024, surpassing last year's €20.6 billion. While the country's pristine beaches and cultural sites continue to draw millions of visitors, the influx has led to concerns over "over-tourism."

To address this, the government previously introduced a €20 levy for cruise ship visitors to the popular islands of Santorini and Mykonos during peak summer months. These measures aim to control visitor numbers while mitigating the strain on local infrastructure.

Close Icon