The commercial triangle of Athens, Koukaki, Neos Kosmos and Piraeus appears to be the most popular areas to accommodate short-term rental accommodation, judging by the strong upward trend in supply in these points, both by compared to last year than compared to 2019. According to data compiled by short-term rental data analytics firm, AirDNA (www.airdna.co),
on behalf of “K”, the number of dwellings used for short-term rental recorded a yearly increase of 15% in the trading triangle, while compared to 2019 (i.e. before the outbreak of the pandemic), the increase reached 28%.
Taking into account that the area has a very high concentration of housing with 1,938 listings in April this year (20% of all listings in central Athens), it is clear that a significant shift of investors towards buying and operating homes in the wider historic area is recorded central Athens. The commercial triangle includes districts such as Psirri, Acropolis, Monastiraki and Plaka, which are a magnet for foreign visitors, in terms of accommodation. The trend is also strongly on the rise in the other working-class districts of the center. In Koukaki, 949 ads are found, which is 29% more than last year and 7% compared to 2019, while in Neo Kosmos the increase is 33% compared to last year and 11% compared to 2019.
In other areas of the center, however, the picture is mixed. So while there is a significant increase from last year, housing numbers are still lagging behind 2019. This means that many landlords have come to realize that short-term rentals are not not necessarily the “goose that lays the golden egg” and that all locations are equally profitable, especially taking into account that now also long-term leases allow satisfactory returns on houses. So, eg. in the Exarchia domain, advertisements now stand at 649, compared to 724 in 2019, a deficit of 10%. On an annual basis, of course, there is a 27% increase. Thus, in Attica Square, the annual increase in housing reaches 41% (407 housing units), but remains 2% lower than in 2019. In total, in the center of Athens, there are currently 9,625 housing units in short-term rentals, only 1% more than in 2019, but also 26% more than last year.
However, the trends regarding the accommodation offer in other regions of Attica are also interesting. As data from AirDNA shows, there is a clear tendency to increase supply in the southern suburbs, especially in areas close to the seafront and offering a particularly attractive (for foreign visitors) combination of the sea and proximity to Athens. So, eg. the Saronic region, home to areas such as Saronida and Anavyssos, saw an 18% increase in accommodation this year to 552, although compared to 2019 there were 21% fewer listings. Thus, in the region of Spata and Artemisa (Loutsa) an increase of 30% is recorded since last year, while in Markopoulos of 21%. These areas have been favored by the increase in demand and by digital nomads who are interested in longer leases, in the order of 2-3 months, which can also be done through digital short-term rental platforms. duration.
In southern suburban areas, such as Kallithea, Paleo Faliro and Glyfada, the trend is also on the rise this year. Specifically, in Kallithea there is an increase of 24% over last year and 7% over 2019 at 289 units, while the performance of 2019 is exceeded (albeit only by 3%) by Paleo Faliro, since 312 ads are registered, a size 47% larger than last year. In Glyfada, the results are mixed, since there is an annual increase of 28%, but compared to 2019, housing is 17% less.
The big harbor
However, the most impressive performance is recorded by Piraeus, which is expected to become one of the future hotspots in the short-term rental market, thanks to the significant increase in investment activity that is expected to occur, thanks to investors from the third country seeking to obtain a residence permit under the “golden visa” program. Short-term rental accommodation increased by 28% compared to last year to reach 369, but also by 21% compared to 2019. Piraeus was exempted from the change in the institutional framework voted a few months ago and in under which the minimum investment limit will be doubled from 250,000 to 500,000 euros. Thus, investor interest in real estate investments in the area has already begun to increase, particularly those located near the city center and offering access to fixed telephony means.
In the municipality of Saronikos, the average price for a night exceeds 350 euros
Although the supply is increasing, it seems that the rate of increase in demand from abroad is even higher, which translates into an increase in the average price per night. In fact, because something similar happened in 2022, but also in 2021, where there were even fewer properties available compared to last year, prices compared to 2019 literally “took off”, allowing also a better return for the owners.
For example, in this month of April, the average price in the center of Athens is currently 97.3 euros/night, up 18% compared to last year, but also 53% compared to corresponding month of 2019. In the most popular area, in the triangle shops (Acropolis, Monastiraki, Plaka) the average price is 115 euros, 39% higher than in 2019 and 22% compared to last year. Thus, in the Exarchia area, the increase has reached 59% since 2019, now reaching 75.5 euros, compared to 48 euros before the pandemic.
Even more impressive increases are recorded in the southern suburbs, where, after all, to a large extent the housing stock is insufficient compared to 2019. For example, in the area of the municipality of Saronikos, the average price has increased rises to 352.6 euros. , 135% more than the corresponding month of 2019. Of course, in addition to the reduction in supply compared to demand, an important role in this price increase was also played by the vertical improvement in the quality specifications of the properties on offer, which are clearly more luxurious and larger than in 2019, which is also reflected in the price.
According to data from AirDNA, the number of bookings for the summer season in Greece is already on the rise (50% more bookings). However, it should also be noted the trend this year for many visitors to book earlier than in previous years, in order to secure the accommodation of their choice. Therefore, a clearer picture will emerge in the near future.
Another novelty concerns the fact that many choose for their holidays in Greece in September. According to AirDNA’s latest monthly survey, released a few weeks ago, Greece recorded the third highest increase in bookings for the month of Pan-European September, with 96% more overnight stays compared to the same period l last year. The increase in demand observed this year for the month of September is an international trend, as significant increases are recorded in many destinations, such as in Croatia with 129.1%, Poland with 161.5% and Austria with 76.4%.
According to AirDNA’s analysis, “Booking trends this year demonstrate a shift in traveler behavior, both in terms of when bookings are made and the extension of the high demand period. Historically, September was considered the end of the summer tourist season in Europe. But based on today’s bookings, it looks like this month will be a lot more mobile, and hosts may charge higher prices for those making last-minute bookings in the most popular destinations. »