ECONOMY

Revenue from short-term realty leasing to drop, study finds

revenue-from-short-term-realty-leasing-to-drop-study-finds

Greece’s short-term property leasing market is in a fluid state, according to a study by ICAP, whose analysts forecast a decline in revenues during this year, a rebound in 2020 and another contraction in 2021, albeit without any major fluctuations.

“Short-term leasing is in a transitional stage and continuous developments are bringing rapid changes to this business activity,” the ICAP study says.

The obligatory declaration and registration of properties and the taxation of revenues stemming from this activity will play a key role in the course of future revenues for owners/managers. Both of these factors are expected to contain part of the activity’s momentum.

ICAP also notes that players in the sector are calling for amendments to the legal and tax framework in a way that would safeguard the momentum of short-term rentals, without damaging other key sectors of the Greek economy.

Over the last three years the average annual increase of incomes from short-term property leasing amounted to 9 percent, the ICAP survey added.