In a major step to address the country’s housing shortage, Greece is banning thousands of short-term rental properties from platforms like Airbnb by imposing stricter listing rules.
The new legislation, presented to parliament on January 8 by the Greek Ministry of Tourism, prohibits the listing of properties that were originally warehouses, storage rooms, industrial spaces, or old basements converted into tourist accommodations. Additionally, any property not registered as a primary residence under Greek law, or whose owners did not register them as such by July 2011, will also be excluded from short-term rental platforms.
This affects thousands of properties currently available for tourist rentals, impacting property owners who invested in renovations to operate as short-term rentals.
The legislation also introduces stricter standards for rental properties, covering lighting, ventilation, certifications, and sanitation requirements. Compliance will be monitored by the Ministry of Tourism and Greece’s tax authorities, with violators facing fines of thousands of euros.
Temporary Ban on New Airbnbs in Central Athens
To curb the surge in short-term rentals, Greece has temporarily halted the issuance of Airbnb licenses in several downtown Athens districts for at least one year, starting January 1. The rise of Airbnb-type rentals has been linked to increased housing costs and reduced availability for long-term residents.
Many properties were acquired by Golden Visa holders, who took advantage of the €250,000 ($270,272) qualifying threshold, often using them for short-term rentals.
Prime Minister Kyriakos Mitsotakis announced at the Thessaloniki International Fair 2024 plans to incentivize property owners to convert units into long-term rentals. He emphasized the need to control the growth of short-term rentals without demonizing the sector.
In addition, the government has increased the climate crisis resilience fee for hotels, accommodations, and short-term rentals, which applies from April to October. Fees, currently up to €10 per night, will fund local communities to enhance infrastructure to cope with the summer tourist influx.
Source: greekreporter Edited by Bernie