Greece Tightens Short-Term Rental Rules in Sweeping New Reform Bill

Greece’s new tourism spatial-planning framework introduces the possibility of suspending the use of newly built homes on islands for short-term rentals.

Greece’s Finance Ministry is preparing to launch public consultation on a sweeping omnibus bill that combines tougher rules on short-term rentals with a broad package of social and debt-relief measures aimed at families, pensioners, public-sector workers and farmers.

The legislation incorporates an 800 million euros support package, with most measures expected to take effect in June. At the heart of the bill is a stricter regulatory framework for Airbnb-style rentals in Thessaloniki, where authorities plan to halt the issuance of new short-term rental licenses in the city center.

The government argues the move is necessary to ease mounting pressure on the housing market, as the rapid expansion of short-term rentals has sharply reduced the availability of long-term housing and driven rents higher, particularly in the historic core of the city. The restriction is expected to come into force immediately after the law is passed.

At the same time, Greece’s new tourism spatial-planning framework introduces the possibility of suspending the use of newly built homes on islands for short-term rentals. The framework allows authorities to impose restrictions — including outright bans in specific zones — depending on the tourism intensity and carrying capacity of an area.

Short-term rental beds will also be counted when assessing a region’s tourism burden, although these provisions will not be implemented immediately.

The bill also includes a range of support measures:

• A one-off 150 euros payment per child for nearly one million families at the end of June.
• An increase in pensioner support from 250 to 300 euros for those over 60, alongside broader income and property eligibility criteria.
• Higher income thresholds for rent refunds, including expanded support for single-parent households.
• An extension of fertilizer subsidies through August, covering 15% of costs for around 250,000 farmers.
• Easier debt restructuring rules, including the lifting of bank account seizures once 25% of a debt is repaid.
• Expansion of the out-of-court settlement mechanism to include debts between 5,000 euros and 10,000 euros.
• A new 72-installment repayment scheme for older unpaid tax debts.

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