Published on
September 6, 2025
In the coming years, Athens will undergo a significant transformation due to the sharp increase in tourism, which is expected to see a massive surge by 2025. Projections indicate that the city will welcome over 10 million visitors, a considerable jump from the 8 million who visited in 2024. While such growth is typically seen as a positive sign for any city’s tourism sector, it has raised serious concerns about how Athens will manage the increasing pressure on its public infrastructure, housing market, and overall livability. To address these issues, local authorities have announced a series of new regulations set to come into effect in October 2025, particularly aimed at managing short-term rentals and safeguarding the city’s core resources. These measures are expected to resonate across the global travel industry, offering valuable lessons on how to cope with overtourism while maintaining sustainable growth.
A Surge in Visitors: Straining Athens’ Resources
Athens, renowned for its rich history and iconic landmarks such as the Acropolis, is now grappling with an overwhelming rise in tourist numbers. By 2025, it is estimated that the city will host over 10 million visitors, which marks a notable increase from 8 million in the previous year. While the situation has not yet reached the levels seen in cities like Barcelona, where tourism has significantly disrupted local life, the pressure on Athens’ public services, transport systems, and housing sector is becoming more pronounced. Local officials are already taking proactive steps to ensure that the city can accommodate this influx without sacrificing the needs of its residents or the city’s unique cultural identity. Athens is working to find ways to balance the demands of tourism with the livability of its neighborhoods, aiming to preserve its charm while ensuring that locals do not feel displaced by the rise in visitors.
Pressure on Housing Market and New Restrictions on Short-Term Rentals
A central issue caused by the surge in tourism is the housing crisis, which has been exacerbated by the growth of short-term rental properties. These rentals, primarily booked through global platforms, have flooded popular neighborhoods in Athens, such as Kolonaki, Koukaki, and Exarchia. The rapid expansion of this sector has resulted in a critical shortage of affordable housing for long-term residents. In fact, short-term rentals have now overtaken traditional hotel rooms, contributing to a sharp rise in rental prices and making it increasingly difficult for locals to secure permanent residences.
To tackle this growing issue, Athens authorities have introduced a freeze on new short-term rental registrations in its most popular neighborhoods, starting in January 2025. This freeze aims to protect long-standing residents from further displacement and to help restore balance to the housing market. By halting new short-term rentals in certain areas, the city hopes to preserve the availability of housing for those who live and work in Athens while still catering to tourists. This decision is designed to limit the distortion caused by rapid tourism growth, allowing Athens to manage both its tourism appeal and the needs of its residents effectively.
Implementation of New Health and Safety Standards for Rentals
As short-term rentals have become a larger part of Athens’ tourism landscape, the city has recognized the need for stricter regulations to ensure the quality and safety of these properties. Beginning on October 1, 2025, all short-term rental properties will be required to meet new health and safety standards, a move aimed at ensuring the well-being of tourists and property owners alike. These standards include several important provisions to enhance the quality of accommodation:
Mandatory natural lighting, adequate ventilation, and air conditioning systems.Property owners must show proof of civil liability insurance to cover potential incidents.A licensed electrician will need to inspect properties to ensure electrical safety.Fire safety measures such as smoke detectors, fire extinguishers, and emergency exits will be required.Each rental must provide a first-aid kit, pest control certification, and an emergency contact list.Windowless properties, like basements, will no longer be allowed to operate as short-term rentals.
These regulations aim to ensure that rentals are not only safe and habitable but also comply with the evolving needs of Athens’ tourism sector. By instituting these new guidelines, Athens is working to raise the standard for short-term rentals, ensuring both residents and tourists benefit from higher-quality accommodations.
Stricter Penalties for Non-Compliance
Athens has made it clear that failure to comply with the new regulations will not go unpunished. In an effort to enforce the standards and maintain a high level of safety and regulation, the city has implemented a system of escalating penalties for non-compliant property owners:
A fine of €5,000 for the first violation.A €10,000 fine for a second violation within the same year.A fine of €20,000 or more for subsequent violations.
These penalties are designed to encourage compliance and ensure that property owners prioritize meeting the new safety standards. Regular inspections by Athens’ tourism and public revenue authorities will be conducted to monitor compliance. Property owners who fail to adhere to these rules will face significant financial consequences. The goal is to ensure that only those properties that meet the required standards remain available for rent, thereby improving the overall quality of short-term accommodations in Athens.
Managing Overcrowding and Tourist Distribution
One of the most pressing challenges faced by Athens as tourism grows is the potential for overcrowding in certain neighborhoods. To address this, the city has developed a Sustainable Tourism Observatory, a real-time monitoring system designed to track the distribution of short-term rental properties in relation to the local population in various neighborhoods. If a neighborhood reaches its capacity, it is flagged as entering the “red zone”.
Once overcrowding is detected, the Sustainable Tourism Observatory will work with short-term rental platforms to redirect tourists to less congested areas. If certain areas continue to experience overcrowding, Athens may impose further regulations, such as tourist caps or even a complete ban on new short-term rentals in those regions. The observatory aims to preserve the character of the city’s most visited neighborhoods while ensuring that Athens’ resources are not overextended. This system could serve as a model for other cities dealing with similar challenges related to overtourism.
Tax Increases and Levies: Supporting Sustainable Tourism
As part of its strategy to fund infrastructure and environmental resilience efforts, Athens has raised taxes on short-term rentals. Starting in April 2025, tourists who stay in these accommodations will be subject to a higher daily tax, with rates rising to €8 per night from April to October, and €2 per night during the off-season. These new taxes are designed to help cover the costs associated with maintaining public services and promoting sustainable tourism. Additionally, cruise passengers will now be subject to a levy, with those visiting Santorini and Mykonos paying a €20 fee per person, while those visiting other regions will pay €5.
These taxes and levies will contribute to Athens’ efforts to mitigate the environmental and social pressures caused by mass tourism, ensuring that the city’s infrastructure remains robust and capable of handling the increasing number of visitors. Funds raised will be used to support public services, enhance climate resilience, and fund sustainable development projects across the city.
Implications for the Global Travel Industry
The regulatory changes being implemented in Athens are likely to have significant repercussions for the global tourism industry. As more cities grapple with the issue of overtourism, the decisions made in Athens may provide valuable insights into how other destinations can balance the growth of the tourism sector with the well-being of residents.
Several key trends may emerge as a result of these changes:
Increased Costs: With the rise in taxes and regulatory costs, property owners and tourism platforms may pass these added expenses onto travelers. As a result, tourists may face higher accommodation rates and increased travel costs.Shifting Travel Preferences: Stricter regulations in popular destinations like Athens could prompt tourists to seek out less-regulated areas where costs are lower and restrictions are fewer. This shift could lead to a redistribution of tourism activity, with some cities benefiting from a new wave of travelers.Greater Focus on Safety: As cities adopt more stringent health and safety regulations, tourists may place greater value on booking safe, compliant accommodations. This increased focus on safety could become a significant factor in future travel decisions.Adapting to New Regulations: Short-term rental platforms may need to adapt to the new regulations, adjusting their business models and ensuring compliance with local laws. This may result in changes to how properties are listed and operated in cities with strict regulations.Sustainable Growth: Athens’ approach to managing its tourism sector could be seen as a model for other cities dealing with similar challenges. By introducing smart, sustainable policies, Athens is demonstrating how cities can thrive by embracing both tourism and sustainability.
A Model for Sustainable Tourism Management
As Athens prepares for the continued influx of visitors, the city’s efforts to tackle overtourism through careful regulation and innovation may set an important precedent for other urban destinations worldwide. The city’s focus on balancing the demands of tourism with the needs of its residents will shape the future of sustainable tourism. Athens’ efforts to protect local housing markets, improve health and safety standards, and manage tourist distribution will likely inspire other cities to adopt similar policies to handle the growing pressures of mass tourism. In the coming years, Athens may become a benchmark for cities worldwide that are looking to address the challenges of tourism growth without sacrificing the quality of life for their residents or the cultural integrity of their destinations.
