The Airbnb market has changed significantly in the past years. As a Greek homeowner, you need to be up to date on the latest changes to the market if you are renting short-term. What are the biggest changes to take advantage of in 2023?
1. Greece is more popular than ever
Based on research by AIRDNA, after researching Airbnb rentals, it was found that 11.5 million nights were spent in Greece in short-term housing, which is a 50% increase from the numbers in 2021.
The biggest change was noticed in Santorini, Athens, and Corfu. Compared to 2021, in the summer of 2022, bookings increased 552% in Santorini, 429% in Athens, and 317% in Corfu.
Why are travelers flocking to Greece (besides the sun and laid-back lifestyle)? Some studies show that Greece has some of the highest quality scores, with 80 percent of stays receiving a 5-star review – the highest rating available.
Based on AirDNA’s “Europe Market Review”, shown below, Greece was among only six countries that saw demand for stays grow from 2019 (pre-pandemic) levels. It lags only slightly behind France and Germany.
Greek Airbnbs aren’t just more popular, they are also going for higher rates. Airbnb guests visiting Greece paid 35% more in 2022 than in 2019.
2. Long-term stays are more popular than ever
A long-term stay is considered 28 days or longer, and these kinds of stays made up 21% of Airbnb’s nights booked in the 4th quarter of 2022. These types of stays became more popular with the outset of the pandemic, since workers found new flexibility of working remotely and could move to locations outside of the city.
3. Shift towards urban area bookings
As leisure travelers become more comfortable entering big cities and threats of the coronavirus continue to wane, gross nights booked in cities are increasing. It is now the strongest part of Airbnb’s business and increased 22% in the fourth quarter of 2022. To couple with this trend, Airbnb also saw travel across borders increase compared to one year ago.
In Athens alone, short-term summer bookings increased 429% between 2021 and 2022, according to AirDNA.
4. It’s easier than ever to list houses
Hosts are joining the site at a record pace. Excluding China, Airbnb ended 2022 with almost 7 million active listings, up 900,000 compared to the end of 2021. This boost comes not only from an increase in demand, but also from updates that make it easier for hosts to list their homes on the site.
In Greece, data from the Greek Property Managers Association shows that in 2022, the number of short-term rental properties available boosted from 136,000 to 145,000 between 2019 and 2022.
The leading islands in Greece for short-term listings are Mykonos, Santorini, and Corfu, unsurprisingly. These first 2 islands have some of the most pretty white houses in Greece. A staggering 1 in 3 houses in Mykonos are available for short-term rental in peak season, while in Santorini it is 1 in 4. Compare this to a city like Athens, where the corresponding proportion is 1 in 50.
5. Growth Of Alternative Accommodations
Hotels and motels are not travelers’ only options as they used to be in decades past. The growth of Airbnb’s stock this year outpaced both Expedia and Booking Holdings, Inc. Shares rallied 57% in 2022, and the outlook for 2023 is also positive.
Part of the reason for a boosted interest in Airbnb is the increase of unique, one-of-a-kind lodging. For example, in 2022, Airbnb gave away $10 million to hosts who offered the most unique, unexpected properties for short-term rentals.
6. Increased Emphasis On Sustainability
Travelers are becoming more sensitive to environmental responsibility, and as a result, we expect short-term rentals to reflect this trend. According to Booking’s latest sustainability research, 81% of travelers claim that they want to stay in sustainable lodging.
Property owners are likely to follow this trend in order to meet demand, introducing energy-efficient appliances, recycling systems, composting programs, and solar panels. In Greece, the EPC rating system measures the energy efficiency of homes and can be a guide for owners on the best ways to update their homes accordingly.
Key Takeaways
Even as a possible recession looms, Oxford Economics foresees that accommodation will be one of the least-affected industries. Demand remains high for short-term property rentals in Greece, and travelers are looking for one-of-a-kind experiences more than ever.
Considering an investment in property in Greece? For a consultation with our team of experts, you can reach us here.
