A TOPIC OF MUCH DEBATE
The explosion of short-term rental properties has steadily increased on the island in recent years. The main reason for this is that most visitors are now seeking value for money acommodation that are easy-to-let. This new model of short-term letting however, is prompting much debate with fears being raised regarding its sustainability. The Cypriot Government, seeking to balance tourism growth with housing affordability and legal compliance, hs also raised concerns. Â
A YEAR ON YEAR RISE
In total, 4.8 million stays were recorded for this type of accommodation in 2024. This marks a 15% rise for similar properties during the previous year. These figures indicate that the short-term rental sector is experiencing significant growth year on year. Just over 8,000 licenses have been issued or renewed for 2025, providing a total of just over 35,000 beds. The district of Paphos leads with the highest number of units. This is followed by the districts of Famagusta, Larnaca, Limassol, and Nicosia in that order.Â
A BOOST TO LOCAL ECONOMIES
As this concept becomes more and more widespread, concerns are being raised about the wider implications for residents and future visitors to the island. Privately owned short-term rentals are thought to help drive tourism. They also create jobs that boost local economies on the island. However, with the number of short-term rentals surging, several analysts are now warning of a greater long-term negative economic impact. Some analysts are suggesting that this model has already created a shortage of long-term rental accommodation, pushing up rental costs for residents. This has prompting some to call on a ban on short-term rentals altogether!
