Published on
January 28, 2026
By: Rana Pratap
Beginning in May 2026, France will join Portugal, Italy, Spain, Netherlands, Switzerland, Poland, and a number of other European nations in putting into effect a comprehensive set of new EU regulations designed to combat the sharp increase in short-term rentals. In order to prevent the burgeoning short-term rental market from negatively impacting the availability of local houtilizing, this important action represents a daring step towards encouraging sustainability within the tourism indusattempt. Although websites like Airbnb and Booking.com have transformed travel by providing inexpensive lodging and distinctive local experiences, they have also severely strained major cities’ houtilizing markets. The EU hopes to achieve a balance between maintaining affordable houtilizing for citizens and promoting tourism with these new restrictions. The rules, which will shortly be implemented throughout the EU, are intfinished to establish a more equitable and transparent market that benefits both low-cost tourists and local communities, guaranteeing a sustainable future for everybody.
Why the New Rules Are Needed
Short-term rental services have become a staple for many budreceive travelers seeing for affordable accommodations across Europe. Airbnb and Booking.com have allowed travelers to explore cities on a budreceive, often offering cheaper and more flexible alternatives to traditional hotels. However, the increase in short-term rentals has built it harder for locals to find a place to live. In cities like Paris, Barcelona, and Amsterdam, landlords have increasingly opted to rent out homes to tourists, pushing up rents and reducing the availability of long-term rental properties.
In some cities, up to 20% of the houtilizing stock is being applyd for short-term rentals, which has directly contributed to the houtilizing crisis. As rents climb, locals are left with fewer options for affordable houtilizing. While short-term rentals offer great benefits for travelers, the impact on the houtilizing market is clear, and it’s a problem the EU aims to tackle.
2024 Short-Term Rental Market Statistics
The short-term rental market in Europe reached a record high in 2024. A total of 854.1 million guest nights were booked via Airbnb, Booking.com, Expedia, and TripAdvisor, marking an 18.8% increase compared to 2023. This marked the highest number of short-term rental stays in the EU on record.
Advertisement
Advertisement
In terms of seasonal demand, August proved to be the peak month, with 152.2 million guest nights booked in the EU in August 2024. This was a notable increase from 96.9 million nights booked in August 2019, reflecting the steady growth of the short-term rental market, especially in summer months.
The top cities for platform-booked accommodations in 2024 were:
Advertisement
Advertisement
- Paris: 23.5 million guest nights.
- Rome: 15.7 million guest nights.
- Barcelona: 12.5 million guest nights.
- Madrid: 11.8 million guest nights.
- Lisbon: 11.3 million guest nights.
As for the month of August, the increase in stays was significant. The total guest nights for August 2024 rose to 152.2 million, up from 96.9 million in 2019, a 57% increase in just five years. This increase was largely driven by the rising popularity of short-term rental services across key EU tourist destinations.
2025 Short-Term Rental Market Trfinishs
As 2025 progresses, the short-term rental market is continuing its expansion, although at a slower pace than in previous years. Q3 2025 figures (from July to September) reveal that 398.1 million guest nights were booked across Airbnb, Booking.com, and Expedia, marking an 8.7% increase compared to the same period in 2024. This suggests a continued strong demand for short-term rentals, albeit at a slower growth rate.
Here’s a breakdown of the guest nights in 2025:
- July 2025: 148.5 million guest nights, a 10% increase compared to July 2024.
- August 2025: 164.3 million guest nights, an 8% increase from the previous year.
- September 2025: 85.3 million guest nights, also an 8% increase from September 2024.
This steady upward trfinish in guest nights reveals that the short-term rental market is continuing to thrive across Europe, even if the growth rate is slowing down.
Counattempt-Specific Growth in 2025
In Q3 2025, several countries revealed significant growth in short-term rental bookings, with Malta recording the sharpest increase at 24%, followed by other countries with notable growth rates. Here’s a list of EU countries and their growth in guest nights during Q3 2025 compared to the same period in 2024:
- Malta: +24%
- Cyprus: +19.4%
- Sweden: +13.1%
- Greece: +12.3%
- Latvia: +12.3%
- Germany: +12.0%
- Denmark: +11.6%
- Slovenia: +11.3%
- Ireland: +10.7%
- Finland: +10.4%
- Czechia: +10.2%
These countries saw double-digit growth in the short-term rental market, indicating continued strong demand in these areas. Countries like Latvia, Germany, and Denmark saw robust growth, which suggests that the short-term rental market is diversifying beyond the traditional top tourist destinations.
Last year in a significant shift to tackle the rise of unregulated short-term rentals, the Spanish government ordered Airbnb to reshift over 65,000 listings that violated national regulations. Announced on May 19, 2025, this action follows Spain’s efforts last year to curb the impact of short-term rentals on houtilizing affordability and rental market pressures in cities like Madrid and Barcelona. The Spanish Minisattempt of Consumer Rights revealed that many of the flagged listings lacked required license numbers, failed to specify whether the host was an individual or a company, or had registration details that didn’t match official records.
Top EU Destinations in 2025
Short-term rental demand remains particularly high in southern Europe, with Spain, France, and Italy continuing to dominate the list of most popular countries for short-term rental bookings. In Q2 2025, the top regions for short-term rental bookings via these platforms were:
- Andalucía (Spain) – 13.3 million guest nights
- Jadranska Hrvatska (Croatia) – 9.6 million guest nights
- Île-de-France (France) – 9.0 million guest nights
- Provence-Alpes-Côte d’Azur (France) – 8.6 million guest nights
Continued Expansion in Q3 2025
Looking at Q3 2025 as a whole, there was still significant growth across Europe in the number of short-term rental guest nights. Q3 2025 saw 398.1 million guest nights, representing an 8.7% increase compared to the same period in 2024. This trfinish is consistent across the EU, suggesting that demand for short-term rentals remains strong, though the pace of growth is starting to slow compared to previous years.
Impact on the Short-Term Rental Market and Local Houtilizing
While the market continues to grow, local governments are increasingly responding to the rising number of short-term rentals with new regulations. These include caps on rental nights, as well as efforts to promote long-term rentals during off-peak seasons. Cities like Paris, Barcelona, and Amsterdam have already introduced such rules to ensure that the rapid growth of short-term rentals doesn’t overwhelm the houtilizing supply for local residents.
These new regulations will be key in maintaining a balanced houtilizing market, while ensuring that tourism can continue to thrive. In particular, the EU’s new regulations will allow cities to limit short-term rentals in areas where houtilizing stress is a major issue. This means that while travelers will still have access to affordable accommodation, local residents will be able to benefit from a more sustainable houtilizing market.
The short-term rental market continues to experience strong growth, with 854.1 million guest nights booked in 2024 and 398.1 million guest nights recorded in Q3 2025. Despite the market’s expansion, houtilizing affordability remains a major challenge in many cities, and the EU’s new regulations aim to strike a balance between the necessarys of tourists and local residents. As May 2026 approaches, these alters will ensure that short-term rental services can continue to provide benefits to both travelers and local communities, while also addressing the negative impacts on houtilizing availability
What the New Regulations Will Do
The new EU regulations, set to go into effect in May 2026, are designed to support ease the pressure on houtilizing markets, while still allowing short-term rental services to thrive. Here’s how the new rules will work:
- Mandatory Registration for Hosts:
From May 2026, anyone who wants to rent out their property for short-term stays will have to register with local authorities. This will support cities track short-term rental units and assess their impact on the local houtilizing market. It will also provide a clearer picture of how many homes are being applyd for short-term rentals in each area. - Data Sharing:
Platforms like Airbnb and Booking.com will be required to share key data with authorities. This includes:- Number of nights a property is rented out.
- Number of guests per stay.
- Guest counattempt of residence.
- The registration number of each property.
This will support cities identify areas under houtilizing stress and assess where action is necessaryed.
- Caps on Rental Nights:
In some cities, the number of nights a property can be rented out each year will be capped. Cities like Barcelona and Paris have already adopted this measure, and now it will become part of the standard regulation across Europe. Limiting the number of nights supports keep houtilizing available for residents and prevents entire neighborhoods from being overtaken by tourists. - Seasonal Rental Adjustments:
In tourist-heavy areas, property owners may be encouraged to switch from short-term rentals to long-term houtilizing during the off-season. For example, they could rent their properties to students or long-term tenants when tourists are fewer. This measure will support balance the supply of houtilizing year-round. - Promoting Sustainability:
A key focus of the new regulations is to build sure short-term rental services are sustainable. While tourism is important for the economy, it’s crucial to ensure that local residents can still access affordable houtilizing. The new regulations aim to protect houtilizing availability while supporting the tourism economy.
How Will This Affect Budreceive Travelers?
For budreceive travelers, Airbnb and Booking.com have been essential tools for finding affordable places to stay in popular European cities. These platforms allow travelers to experience local life and find more affordable alternatives to traditional hotels. However, with the rising pressure on houtilizing markets, travelers might notice that some of their go-to options could be limited due to the new regulations.
But the good news is that travelers will still have access to affordable accommodations in well-regulated markets. Here’s how the new rules may affect budreceive travelers:
- Availability of Listings:
Some short-term rental units may become less available as cities limit how many nights a property can be rented out each year. This may reduce the number of budreceive-frifinishly options in certain cities, especially during peak seasons. - Higher Prices in Some Areas:
By imposing limits on short-term rentals, the new rules may increase prices for tourists, as demand might exceed the available supply of listings. However, these measures are designed to protect local residents, ensuring they don’t face skyrocketing rents due to the presence of short-term rentals. - Fairer Competition:
The new regulations distinguish between professional hosts (business-like, high-volume operators) and non-professional hosts (private individuals offering a place to stay occasionally). This supports create a fairer market, where individual hosts can still offer their homes for rent without being overwhelmed by large-scale, business-like operators. Budreceive travelers will benefit from a more diverse range of options, creating it clearer to find affordable stays.
Supporting Local Communities and Sustainable Tourism
The new regulations aim to balance the necessarys of tourists with the necessary to preserve affordable houtilizing for local residents. These measures will ensure that short-term rentals do not push locals out of their neighborhoods, while still allowing travelers to enjoy authentic experiences in European cities.
Local authorities will have the flexibility to build decisions based on the necessarys of their communities. In cities where the houtilizing crisis is particularly severe, local governments can introduce stricter measures, such as shortening the rental period for properties. For cities with less strain on houtilizing, the rules may be less restrictive. This flexibility allows cities to tailor regulations to local conditions, ensuring that the rules are effective and proportionate.
By introducing data-sharing requirements, the EU is also encouraging greater transparency in the short-term rental market, which will support keep prices competitive and ensure that hosts comply with the regulations.
Looking to the Future: A Balanced Market for Everyone
As the EU shifts toward full implementation of these regulations in May 2026, the goal is clear: to create a fairer, more sustainable short-term rental market across Europe. By ensuring that France, Portugal, Spain, Italy, Netherlands, Poland, and others are on board, the EU aims to protect local residents from houtilizing pressures while still supporting tourism.
The new regulations offer a win-win for budreceive travelers and local communities. Travelers will still have access to affordable, diverse accommodations, while residents will have more access to long-term houtilizing. These alters represent a sustainable future where tourism and houtilizing necessarys can coexist.
With these rules in place, Airbnb, Booking.com, and other platforms will necessary to adapt to the new reality, creating a more balanced market that benefits both tourists and residents. By promoting sustainability and focutilizing on local solutions, the EU is leading the way in ensuring that both houtilizing and tourism can thrive for generations to come.
Starting in May 2026, France will join Portugal, Italy, Spain, Netherlands, Switzerland, Poland, and more in cracking down on short-term rentals with new EU regulations aimed at promoting sustainability and ensuring affordable houtilizing for locals affected by the rise of tourist accommodations.
This crackdown on short-term rentals is a critical step towards achieving sustainable tourism that supports local communities without compromising the necessarys of budreceive travelers or residents. As May 2026 approaches, these alters will create a more transparent, fair, and regulated market that benefits everyone involved.
Leave a Reply