Short-term Rental Accommodations Rise in Downtown Athens

Photo source: Airbnb

The area known as the “Commercial Triangle” in central Athens serves as a hub for short-term rentals listed on platforms like Airbnb, according to data from Airbnb, released by the E-real Estates – Panhellenic Network of Real Estate, concerning the metropolitan area of the Greek capital.

As of September 2024, the number of registered accommodations in downtown Athens has reached 2,426, marking an increase of 9.87 percent from 2,208 in February 2024. Notably, the neighborhoods of Koukaki and Makrygianni have experienced the most significant growth, now accounting for 1,232 properties—an increase of 19.03 percent from 1,035 in February.

In terms of percentage increases, the area around the Acropolis saw a remarkable jump of 24.55 percent, growing from 334 accommodations in February 2024 to 416 in September. This was followed by Neos Kosmos, which experienced a 19.30 percent increase, Thissio at 17.79 percent, and Pagrati at 11.46 percent.

For the broader metropolitan area of Athens, the total number of registered accommodations in September 2024 amounted to 8,972, reflecting an increase of 13.45 percent from 7,750 in February of the same year. Notably, this is a 24.56 percent increase compared to February 2023, when 6,222 properties were registered on short-term rental platforms.

Greek government incentives to alleviate rental prices

Athens, Greece.

Starting January 1, 2025, the Greek government will freeze the issuance of new short-term rental permits in specific neighborhoods of central Athens, including downtown, Pagrati, and Neos Kosmos, for at least one year, with a potential extension. The aim is to lower rental prices in the city.

Additionally, incentives will be provided for homeowners to reintroduce their properties to the regular rental market. Owners who comply will have their rentals exempted from taxation for three years. However, this measure applies only to properties owned by individuals, excluding legal entities. It is estimated that the Greek state will incur a tax revenue loss of approximately 3 million euros in 2025 and 13 million euros annually from 2026 to 2028 due to this incentive for homeowners.