The short-term property lease sector that utilizes online platforms such as Airbnb and HomeAway has created a new investment market in central Athens as well as in areas of interest to visitors around the country.
The momentum has led to a considerable increase in transactions concerning residential property in the center of the capital that until recently was considered downgraded, along with a major rise in prices, according to the Bank of Greece’s Monetary Policy report issued on Monday.
“It is estimated the higher returns secured through short-term rentals will gradually lead to the redrawing of the price map in the broader area of Athens and other cities with similar investment interest,” BoG notes.
Nevertheless, it points out that construction of both residential and commercial properties continues to be dogged by low growth rates, as for now investments are mainly aimed at upgrading the existing stock as opposed to building new properties.
The 0.2 percent decline rate in housing prices in the first quarter will remain the same for the entire year, the report argues.