The article drafted by Tasos Koletsas & Mara Vasileiou, for Lexology on 26 May 2026
Short-term rentals have evolved into one of the most dynamic forms of real estate exploitation, with increasing economic and tax significance. This development has led to the gradual establishment of a stricter legislative framework, which is not limited solely to the tax treatment of rental activity, but also extends to issues of supervision, operational standards, and enforcement mechanisms. Within this context, the legislator seeks to establish clear limits and rules, shaping a more organized and regulated operating environment for the short-term rental market.
The Revised Framework for Short-Term Rentals
The concept of short-term rental is expressly defined in Article 111 of Law 4446/2016, as amended by Article 28 of Law 5073/2023. In particular, according to the above legislative provision, a short-term rental is defined as the lease or sublease of a property, regardless of whether it is listed on a digital platform within the sharing economy or not, and regardless of whether the agreement is concluded through a digital platform, for a specific period of less than sixty (60) days, provided that no services are offered other than accommodation and the provision of bed linens. Based on the literal interpretation of the above provision two key conditions ultimately determine whether a property lease falls within the “law of short-term rentals.” These conditions concern the agreed duration of the lease and the range of services provided by the lessor. Specifically, for a lease to be considered “short-term,” thereby falling under the provisions of the amended Article 111 of Law 4446/2016 and the relevant tax regulations, the agreed duration must be less than sixty days and, in the event that services are provided by the lessor to the lessee, such services must be limited exclusively to the provision of bed linens. For the sake of clarity, it is not required that both the use of the property for a specific period and the provision of bed linen services coexist cumulatively. It is sufficient for the property to be leased for a period of less than 60 days, provided that no other services are offered apart from the aforementioned. No additional conditions are required for a property lease to ultimately fall under this special regime of short-term rentals.
For a better understanding of the new legislative framework governing short-term rentals, it should be noted that prior to the amendment of Article 111 of Law 4446/2016 by Article 28 of Law 5073/2023, short-term rentals were considered exclusively those concluded through a digital platform (e.g., Airbnb, Booking, Vrbo) with a duration of less than one year. Under the current regime, however, a lease does not need to be concluded through an online platform in order to fall under the above special framework, nor does the property need to have been advertised or made available through such platforms.
As previously analyzed, the criteria examined in order to classify a lease as a short-term rental under Article 111 of Law 4446/2016 are: a) the granting of the use of the property by the lessor to the lessee for a period shorter than 60 days, and b) the absence of additional services provided by the lessor to the lessee, apart from the provision of bed linens.
The conclusion of short-term rental agreements through digital platforms within the sharing economy is still permitted under the new legislative framework, subject to the following conditions. The property manager[1] must be registered in the “Short-Term Accommodation Property Registry” maintained by the Independent Authority for Public Revenue (IAPR), and the registration number in the Registry must mandatorily accompany the property listing in a visible location on digital platforms and in every promotional medium.
You can read the full article on Lexology here: Short-Term Rentals: Stricter Regulatory Framework – New Obligations – Lexology