Greece is overhauling its short-term rental market with new regulations designed to enhance safety, address overtourism, and protect local communities. Effective October 1, 2025, stricter safety standards and limitations on rental properties will come into force, alongside increased taxes and a registration freeze in popular Athens neighborhoods.
Enhanced Safety Measures for Rentals:
New regulations mandate stricter safety standards for short-term rentals, including:
- Adequate natural light, ventilation, and air conditioning.
- Mandatory smoke detectors, fire extinguishers, escape signs, and electrical safety certification.
- Civil liability insurance, pest control certificates, first aid kits, and emergency contact guides.
These measures aim to provide a safer and more reliable experience for tourists, aligning with Tourism Minister Olga Kefalogianni’s vision of “reliable, safe, and quality hospitality services.” Furthermore, basements and semi-basements lacking sufficient natural light will be prohibited as short-term rentals, though industrial spaces and warehouses meeting safety standards will still be permitted. A robust inspection system with fines of €5,000 (€10,000 for repeat offenses) will ensure compliance.
Addressing Overtourism and Housing Shortages:
To combat the negative impacts of overtourism, particularly on local housing markets, Greece has implemented the following measures:
- Registration Freeze: A one-year freeze on new short-term rental registrations is in effect in central Athens neighborhoods like Kolonaki, Koukaki, and Exarchia, where affordable housing has become scarce. Violations will incur a €20,000 fine.
- Increased Taxes: Daily taxes on short-term rentals and hotels will increase from €1.50 to €8 during peak season (April-October) and from €0.50 to €2 during the off-season. This measure aims to curb overtourism in popular destinations like Mykonos and Santorini, complementing the increased taxes on cruise ship visitors implemented in December.
Mixed Reactions and Wider Implications:
While major tourism organizations largely support the changes, the Greek Property Managers Association (PASIDA) has criticized the law’s constitutionality and raised concerns about the practicality of inspections in properties also used as family homes.
These new regulations will likely lead to increased rental prices as hosts pass on the costs of compliance. While benefiting tourists seeking safe and reliable accommodation, the changes could negatively impact long-term visitors like digital nomads reliant on affordable housing.
Furthermore, these regulations, coupled with the upcoming European Travel Information and Authorization System (ETIAS) launching in 2026, reflect broader EU efforts to manage tourism sustainably and potentially influence migration patterns. Stricter housing rules could impact low-income migrants’ access to popular areas, while stabilizing housing markets may ease tensions between residents and migrants.
Greece’s Path Forward:
Greece’s reforms represent a significant shift in its approach to tourism, prioritizing sustainability, local communities, and the quality of visitor experiences. While challenges remain, these measures demonstrate a commitment to balancing economic growth with the well-being of both residents and visitors, setting a potential precedent for other EU countries grappling with similar issues.