Greece tightens rules on Airbnb to boost housing supply levels
Greece’s short-term rentals (STRs) market is changing for all property owners as part of government plans to tackle the housing crisis and boost the number of homes available for long-term rent.
With the number of properties in the country offered on platforms such as Airbnb exceeding the 200,000 mark, controls on STRs are seen as being crucial to boosting housing supply levels.
In Greece, restrictions are being implemented on a gradual basis for all property owners, regardless of whether they are Greek or foreigners. This is a step being adopted in most European countries, including Spain, Portugal, and Italy.
As of last year, homes in central Athens areas cannot be added to STR platforms. This means that new Property Registry Numbers (Αριθμοί Μητρώου Ακινήτου) needed to rent homes for short term stays are no longer issued for properties in these neighbourhoods.
Broader changes are also affecting Greek Golden Visa holders with property assets in the country.
Note: As of 2024, the law does not allow these assets to be offered on a short term basis. Specifically, all Golden Visa properties are prohibited from being rented out short-term in the context of the sharing economy, even by third parties under sublease agreements.
Golden Visa properties under the conversion scheme (from commercial to residential) are also prohibited from being used as a Company Registered Seat.
In the event of non-compliance with the above provisions, the residence permit is revoked, and an independent administrative fine of 50,000 euros is imposed on the property owners.
Where Airbnb restrictions apply
The three central Athens areas where the restrictions apply relate to:
-Municipal district 1 – Koukaki, Plaka, Kolonaki, Syntagma, Omonia, Monastiraki, Exarchia, Ilisia, Neapoli.
-Municipal district 2 – Mets, Neos Kosmos, Agios Artemios, Pangrati.
-Municipal district 3 – Votanikos, Metaxourgeio, Gazi, Petralona, Rouf, Thisio.
Now limits on new homes being added to the platform are being extended to the northern Greek city of Thessaloniki, as announced recently by Prime Minister Kyriakos Mitsotakis. This change is expected to take effect as of March.
There is also talk of new restrictions being introduced in more parts of the country, including several islands. Official announcements on this are expected in coming months.
Meanwhile, at a European level, more changes are in the pipeline.
EU prepares legislative initiative
In the Affordable Housing Plan recently published by the European Commissioner for Energy and Housing, Dan Jørgensen, a new legislative initiative is proposed on short-term rentals to mitigate their impact on local housing affordability, maintaining a balance with tourism benefits.
The step-by-step action plan in Brussels is still being put together though a key part of EU policy is seen as curbing STRs across the region.
Short-term stays are a sector which has seen rapid growth of almost 93% between 2018-2024, according to the Plan, which notes that in very popular destinations STRs can represent as much as 20% of the housing stock,
“Complementing the existing regulation, the Commission will propose a legislative act addressing short-term rentals and establishing a coherent, data-driven, clear and predictable EU legal framework to enable and support local authorities in taking targeted and proportionate action particularly in areas of housing stress and supporting sustainable tourism,” says the report.
Please contact our team for any inquiries about the Greek Golden Visa and how you can start your process.
