Athens limits short-term rentals for one year in bid to alleviate housing shortage
Quick-term leases in Greece surged in 2024, with the variety of obtainable beds within the rental items overtaking the variety of beds on the nation’s accommodations.
A one-year ban on registering new flats for short-term leases got here into impact on Wednesday within the Greek capital of Athens, as authorities search to search out options to a housing scarcity for everlasting residents.
In 2024, the variety of obtainable beds in short-term rental items reached 1,022 million within the months as much as August — overtaking the 887,740 beds within the nation’s accommodations for the primary time in line with native newspaper Ekathimerini.
However the surge of short-term leases has not come with out criticism from the nation’s resort sector who argue that corporations corresponding to Airbnb are taking away enterprise.
Everlasting residents have stated that short-term leases exacerbate a housing disaster and the inflow of vacationers into native neighbourhoods has raised costs for these dwelling there — significantly in working-class neighbourhoods.
The regulation which has taken impact on Wednesday units a one-year ban on registering new flats in a number of Athenian districts together with in-demand areas corresponding to Kolonaki, Koukaki, Pangrati and Exarchia.
The laws, which was accredited in November, gave owners within the areas till 31 December to declare their properties and likewise provides tax breaks to property house owners who change from quick to long-term leases.
It isn’t the primary time Greek authorities have tried to clamp down on short-term leases. In 2024, Athens launched a collection of rules together with necessary skilled licensing for people renting out greater than two properties and strict well being and security necessities for these renting.
Properties should additionally meet varied air flow and legal responsibility insurance coverage requirements, with critics arguing that the rules are ineffective long-term.
Greek Prime Minister Kyriakos Mitsotakis justified the measures at a speech in Thessaloniki in September, saying his authorities had no real interest in demonising the short-term rental enterprise however the measures have been designed to “ease hire pressures and enhance housing availability.”
He acknowledged that short-term leases have been a major income for property house owners and a driver of tourism within the nation which is one among its greatest and most worthwhile industries.
“The character of our districts should not be altered, nor ought to the suitable to revenue of 1 individual forestall the suitable to housing of one other,” Mitsotakis stated.
“Many cities and nations are fighting how you can regulate the short-term rental market. We’re taking some necessary first steps in that course. If we predict extra are wanted, we is not going to hesitate to do them.”
