The short-term rental sector in the EU exceeded the 2019 figures
For 2022, analysts noted the good dynamics of the European real estate market. The short-term rental sector showed excellent results. During this period, tourists spent 547 million days in this housing category. The calculation of objects was made through the service reservations for overnight stays.
Compared to 2021, the increase in rentals was 50%, indicating the sector’s recovery. At the same time, the figure for 2022 was 7% higher than the results of pre-pandemic 2019.
Sweden was the leader in the EU regarding growth in demand for short-term rentals. The number of overnight stays booked here increased by 33% compared to 2019. In second place is France with 31%, followed by Belgium, where rentals increased by 23%.
At the same time, experts note that among the 31 countries of the European Union in 14 states, the sector has not yet recovered from the effects of the pandemic. We are talking about Hungary, Ireland, the Czech Republic, and Estonia.
Regulating the short-term rental sector in Europe
It should be noted that there have been discussions in Europe about regulating the short-term rental sector since last year. The European Parliament raised the issue of online platforms for booking accommodation, including Airbnb. The authorities wanted the services to share their data on users and rental properties, but there is no unambiguous decision.
Meanwhile, in Switzerland, they decided to limit the work of platforms at the local level. For example, in the city of Lucerne, there is a limit on renting accommodation through Airbnb. The property owner is not allowed to rent an apartment or house for more than 90 days a year. Thus, local authorities want to increase the number of properties in the long-term rental sector. In recent years, city residents have faced a severe housing shortage. Finding a good option for long-term rentals is extremely difficult, as owners prefer to rent to tourists for a limited period.
The new law was criticized by members of the short-term rental sector and tourism industry employees. The main argument, in this case, is that the restriction of the offer and terms of the lease may have a negative impact on tourism. Fears are justified since Lucerne is considered one of the most popular holiday destinations for visitors to the country and its citizens.
France has also made changes to the regulation of the local sector. The government has obliged property owners to fill out a declaration on how exactly they use their homes. For example, the object is used for your own residence, recreation, or lease. So the government wants to tighten control over the payment of property taxes.