Short-term rental boom in Greece: number of properties exceeds one million at the end of 2025

Short-term rentals in Greece continue to grow rapidly, cementing their dominant position in the tourism sector. According to ΙΝΣΕΤΕonly in the last quarter 2025 the number of offers and available accommodation exceeded 1 millionconfirming the steady trend of market expansion.

The short-term rental sector is accelerating, continuing the momentum recorded in the previous year. The expansion of the base of objects is explained by high demand, investor interest and a shift in tourist preferences towards hybrid forms of accommodation.

At the same time, representatives hotel industry express serious concern. Hoteliers talk about growing anti-competitive pressurelack of equal operating conditions and lack of funding for infrastructure modernization, which increases the imbalance between traditional hotels and the short-term rental market.

Sources say the government is preparing new regulatory framework solutionincluding a register of facilities, mechanisms for monitoring compliance with standards and a system of fines. We would like to remind you that mandatory regulations came into force in January 2025. technical and safety standards for short-term accommodation facilities.

Average length of stay declined in the first quarter of 2025, but then stabilized and increased in subsequent months. At the same time, the share of foreign visitorswhich supported the overall demand.

Thus, short-term rentals in 2025 remain one of the most dynamic segments of the tourism economy, creating new conditions of competition and stimulating discussion about the need for a balance between private offers and the hotel sector.

The dark side of short-term rentals

Along with the growth of short-term rentals, its “dark side” is also emerging. The massive transition of properties from the long-term market to the short-term rental segment has led to a significant reduction in affordable housing for permanent residence. As a result, a number of regions of the country are experiencing rapid growth in rental rates, which increases social tension.

According to analysts, landlords are converting properties into short-term rentals due to higher returns. However, society bears the consequences of such a shift: the cost of long-term rentals has doubled over the past 6 yearsand families and young professionals are increasingly faced with a situation where they have to give up to half of earnings to pay for housing.

Against this backdrop, citizen dissatisfaction is intensifying. In major cities, especially Athens and Thessaloniki, complaints about the lack of affordable housing are growing, and NGOs are calling for the government to better regulate the short-term rental market. The authorities recognize the problem and are considering additional measures to limit the “leakage” of objects from the long-term sector.

Source link