Is Greece a Good Place for Holiday Home Rental Income? A Complete Guide for 2025

Greece has long been a popular vacation destination, attracting millions of tourists each year to its beautiful islands, rich history, and stunning landscapes. For property investors, this makes Greece an appealing location for holiday home rental income. But is it a good investment? What should you expect in terms of rental income, and what are the key factors that can impact your success?

In this guide, we’ll explore the potential for holiday home rental income in Greece, covering everything from the most lucrative locations to the legal and financial considerations you need to keep in mind. Whether you’re interested in investing in an island villa, a city apartment, or a beachfront property, this article will help you make an informed decision.

Why Greece is a Popular Holiday Home Rental Destination

Before we dive into the specifics of holiday home rental income, let’s first understand why Greece is such a popular vacation destination:

• Year-Round Appeal: While Greece is best known for its summer tourism, the country also sees a significant influx of visitors in the shoulder seasons (spring and autumn). This offers the potential for year-round rental income, especially in major cities and islands with extended tourist seasons.

• Diverse Locations: Greece offers a wide variety of rental opportunities, from luxurious villas on Mykonos to cozy apartments in Athens. No matter your budget or the type of property you own, there is likely a strong demand for holiday homes in your chosen location.

• High Tourism Rates: Greece consistently ranks as one of the top tourist destinations in Europe, with millions of visitors from around the world coming to explore its islands, beaches, and historic sites.

With a constant influx of tourists, the demand for short-term rentals remains high, making it an attractive market for holiday home rental investors.

Top Locations in Greece for Holiday Home Rental Income

Not all areas in Greece offer the same rental potential. While some locations are hotspots with high rental demand, others may have less consistent interest. Here are some of the most lucrative areas for holiday home rental income:

1. The Greek Islands (Mykonos, Santorini, Crete)

• Mykonos: Known for its luxurious lifestyle and vibrant nightlife, Mykonos is one of Greece’s top destinations for high-end vacation rentals. Properties here can command premium rental rates, especially during the peak summer months.

• Santorini: Famous for its stunning sunsets, white-washed buildings, and luxury accommodations, Santorini remains a favorite among tourists. Rental properties in popular towns like Oia and Fira tend to generate high demand and can provide strong returns on investment.

• Crete: As Greece’s largest island, Crete offers a mix of tourism, history, and natural beauty. Popular areas like Chania and Rethymnon provide excellent rental opportunities, with more affordable options compared to Mykonos or Santorini.

2. Athens

Athens, the capital of Greece, has seen a rise in vacation rentals in recent years. With its ancient history, vibrant culture, and increasing popularity as a city break destination, Athens presents a solid market for short-term rentals. Areas near key tourist sites such as the Acropolis or Plaka offer prime rental locations, and there’s growing demand for modern apartments in the city center.

3. Corfu and Ionian Islands

The Ionian Islands, particularly Corfu, have a loyal following of international visitors, especially from the UK, Italy, and Germany. With its lush landscapes, stunning beaches, and charming towns, Corfu is a great location for holiday home rentals. Its appeal lies in its mix of luxury villas and affordable apartments, offering opportunities for a wide range of budgets.

How Much Can You Earn from Holiday Home Rentals in Greece?

The income potential from holiday home rentals in Greece can vary depending on several factors, including the location, size, and type of property. Here’s an overview of what you can expect:

High-Demand Locations

• Luxury Villas (Mykonos, Santorini): These properties can generate significant rental income, with weekly rental rates ranging from €2,000 to €10,000 (or more) depending on the season and the property’s exclusivity.

• Standard Apartments (Athens, Corfu): In less expensive areas, such as Athens or Corfu, you can expect rental rates to range from €70 to €200 per night for a 1-2 bedroom apartment during peak season. In the off-season, rates may decrease, but you can still earn a steady income.

Seasonality

Keep in mind that the rental income will fluctuate based on the season. Summer (June to September) is peak season for most destinations, and properties can command higher rental rates. However, some locations, such as Crete, have a longer tourist season, meaning you could generate rental income from spring through autumn.

Annual Rental Income

• Luxury Homes: You can expect annual rental income ranging from €30,000 to €100,000 or more in high-demand areas like Mykonos and Santorini.

• Mid-range Properties: In areas like Corfu or Athens, annual rental income can range from €10,000 to €30,000 for a well-located, well-maintained property.

Key Considerations When Renting Out Your Property in Greece

While the rental income potential is high, there are several important factors to keep in mind before diving into the holiday home rental market in Greece.

1. Legal and Tax Implications

As a property owner, you’ll need to comply with Greek tax laws related to rental income. Greece taxes short-term rental income at a rate of 15% for non-residents. Additionally, you must register your property with the Greek tax office (EFA), obtain a short-term rental license, and ensure compliance with local regulations.

It’s advisable to work with a local lawyer or accountant to understand the full tax implications and legal requirements before renting out your property.

2. Property Management

If you’re not living in Greece full-time, hiring a property management company is essential for the smooth operation of your rental business. A property management company can handle everything from guest bookings and cleaning to maintenance and key exchanges. This is especially important for ensuring your property remains in good condition and offers a high standard of service.

3. Competition

The popularity of short-term rentals in Greece means there’s a lot of competition. To stand out, focus on offering exceptional amenities, high-quality photographs, and an inviting atmosphere. Guests are looking for unique experiences, so if your property offers something special—such as a private pool, stunning views, or a central location—you can command a premium rate.

4. Seasonal Demand and Maintenance Costs

In addition to fluctuating rental income, it’s essential to factor in maintenance costs. From regular cleaning and property upkeep to potential repairs, you’ll need to budget for these expenses. During the off-season, property maintenance costs may rise due to fewer guests, but the steady rental income during peak months should help offset these costs.

Conclusion

Greece offers fantastic potential for holiday home rental income, especially in high-demand locations like Mykonos, Santorini, Athens, and Corfu. With the right property, a well-executed rental strategy, and the support of local professionals, you can turn your vacation home into a profitable investment. While the market is competitive, the appeal of Greece as a top-tier vacation destination ensures that demand for short-term rentals remains strong.

If you’re ready to explore property investment in Corfu or other Greek locations, contact Chase Real Estate Corfu for expert guidance and assistance in navigating the Greek rental market.