Greece wants more homes built for long-term renters, and it is offering developers more space to build them. On 6 October 2026, Prime Minister Kyriakos Mitsotakis proposed a planning bonus of one or two extra floors for buildings let exclusively on long-term leases.
The proposal adds to an existing build to rent Greece programme, legislated in June 2026, that already exempts qualifying rental income from tax. Together, they show where the government wants new housing to go: to long-term tenants, not to short-term rentals.
What did the Prime Minister propose?
Mitsotakis proposed giving developers extra building rights — potentially one or two additional floors — if they build housing exclusively for long-term rental.
He made the proposal at the “Dialogues for Athens” conference. “We need more supply,” he said. His argument was simple: give builders a small incentive in extra square metres, and more rental homes reach the market. He described build-to-rent as a new product for the private sector.
This is a proposal, not law. No bill, building rules or eligibility criteria have been published.
What is the existing build to rent Greece programme?
Greece’s “Build – Rent” programme (Κατασκευάζω – Νοικιάζω) exempts rental income from income tax for companies that build or convert homes and let them exclusively on long-term leases of at least ten years at a pre-set rent.
The government legislated the programme in June 2026, in the same housing package that froze new short-term rental registrations in central Thessaloniki. It covers both new construction and the conversion of non-residential buildings into homes.
Build to rent in Greece: what exists and what is proposed
| Element | Status | Details |
|---|---|---|
| Income tax exemption on rental income | Law since June 2026 | Companies only; long-term leases of at least 10 years; rent set by ministerial decision |
| Covers new builds and conversions | Law since June 2026 | New homes and buildings converted from other uses |
| Extra building rights of one or two floors | Proposal, October 2026 | No published rules yet |
Who can use it?
Companies, not individuals. The tax exemption targets legal entities working in construction or property management. A private owner with one apartment cannot join the programme under the current rules.
Rents follow the programme’s rules, and landlords also take on maintenance obligations. A joint ministerial decision sets the rent level.
Why does this matter to short-term rental owners?
Because it shows the direction of Greek housing policy. Every recent measure pushes new homes towards long-term tenants and away from short-term rentals.
The pattern is consistent. Central Athens and Thessaloniki block new short-term rental registrations until the end of 2027. Buildings converted to housing through the fast-track change-of-use route cannot host short-term rentals for five years. Owners who switch from short-term to long-term rental receive a three-year income tax exemption. And now developers may get extra floors — but only for long-term rental.
None of this restricts existing short-term rentals. It does mean that new supply will increasingly carry long-term conditions, and that existing registered short-term rentals become relatively scarcer.
Will build-to-rent lower rents?
Not quickly. Build-to-rent needs capital, scale and years of construction before it adds meaningful supply. Its supporters argue that a steady pipeline of rental-only buildings eases rents over time, as it has in other European markets. The effect depends on how many projects developers actually start.
What should owners consider?
Owners weighing long-term against short-term letting now face clearer trade-offs. Long-term letting brings tax incentives and policy support. Short-term letting brings higher income per night but rising regulation and costs.
For owners who stay in short-term rental, spreading bookings across more channels reduces dependence on any one platform. Holidu, for example, publishes a lower commission than the largest platforms — you can list your property on Holidu here.
Brothers Consulting manages bookings, pricing and guests for short-term rental owners anywhere in Greece, while owners keep their property, listing, cleaning and keys. See the management page for what an active property earns in your area.
Frequently asked questions
What is build to rent in Greece?
Build to rent means building homes specifically for long-term rental rather than sale. Greece’s “Build – Rent” programme exempts rental income from tax for companies that let such homes on leases of at least ten years.
What did Mitsotakis propose for build to rent?
On 6 October 2026, he proposed extra building rights of one or two floors for buildings let exclusively on long-term leases.
Is the extra-floors bonus law?
No. It is a proposal. The government has not published a bill or eligibility rules.
Can individuals join the build to rent programme?
Not under current rules. The tax exemption applies to companies in construction or property management.
Can build-to-rent homes be used for Airbnb?
No. The programme requires exclusive long-term leases of at least ten years.
About this article
This article is based on Greek press reporting from June and October 2026 on the “Build – Rent” programme and the Prime Minister’s proposal of 6 October 2026. Details of the proposed planning bonus had not been published at the time of writing.
Disclosure: the Holidu link in this article is a referral link. Owners who sign up through it receive 50% off the activation fee, and Greek BnB Data may receive a reward if the property is published.
Related: Greek Airbnb Law Explained, Greece Raises Property Transfer Tax to 15%, Airbnb, Booking.com and Vrbo Fee Changes.
Greek BnB Data provides insights for property owners and investors across Greece. Brothers Consulting manages short-term rental properties in Porto Heli, Ermionida, Argolida and Thessaloniki, Greece.