Greece’s attempt to tackle the problems coming from its ever-growing tourism industry, with wide-ranging taxes and laws aimed at holiday homes, appears to have failed. In 2024 alone the number of residential properties increased by almost 10 per cent, in spite of huge fines and extra fees slapped on them by the government.
In fact, there were 14 million overnight stays from foreign visitors using short-term lets like Airbnb for their holiday accommodation in 2024, according to AirDNA data. This is an additional 2 million from 2023, before Greece started to implement policies to tackle problems caused by overtourism, like soaring rents and crumbling public services.
Greece’s Prime Minister Kyriakos Mitsotakis, facing record numbers of visitors for yet another year (35 million in 2024), implemented new laws forcing the owners of these rental properties to register with the government, or face huge fines of up to €20,000. However, despite concerns that this could cause popular properties to disappear from Airbnb, the numbers of holiday rentals are now believed to number 1 million.
But while beleaguered locals in popular destinations like Athens and the smaller Greek islands continue to see rental properties converted into holiday homes, the landlords of these properties are making more money off travellers than ever before. Tax revenues from these short-term landlords jumped to €870 million, up from €750 million the year before.
While politicians in Greece are ploughing ahead with further actions to crack down on local homes and spaces being converted for tourist use, with a one-year ban on new short-term rentals now in effect in Athens’ most popular areas, such as Kolonaki, Koukaki, and Exarchia. This ban was passed into law after it emerged that holiday rentals now outnumber hotels two-to-one in the capital city, while in the wider country holiday lets are evenly split.
Legislation is also being drafted to prevent the loss of former business or industrial properties, such as warehouses and basements, to foreign visitors.
Tourism Minister Olga Kefalogianni told Greek broadcasters before introducing the bill: “Basements will no longer be allowed for use. Rental spaces must serve as primary residential use areas, with natural light, ventilation and air conditioning.
“We are introducing minimum operational and safety standards because this is a tourism product,” she said. “Our goal is the long-term, sustainable, and high-quality development of Greek tourism, not just breaking records every year.”
Holidaymakers choosing Greece as their destination will also face higher fees this year as part of the Greek government’s move to protect residents from the growing waves of tourists. Visitors will now pay €2 per day in tax when visiting in the off season and €8 between April and October – a quadrupling of the previous rate.
Worst affected are some cruise passengers, who authorities will be slapping with a €20 fee to get off in some of Greece’s most popular spots, like the blue-capped picture-perfect Santorini. Authorities believe they could raise as much as €400 million from this move, more than double the take in 2024.