Article by the legal counsel of Epsilon Team Real Estate, Paraskevas Liartis.
Buying property in Greece for Airbnb sounds simple, find a nice apartment in Athens, list it, collect the income. But there is one document that can quietly stop that plan before it starts, the building regulation. In July 2026, an Athens first instance court ordered the owner of an apartment to stop renting it out on Airbnb, with a fine of 1,000 euros for every future violation. The story made headlines, but here is what matters more for you as a buyer, the rule behind that decision is not new. It has been part of Greek co-ownership law since 1929. If you are shopping for an investment apartment in Attica, this is worth reading before you sign anything.
Why one Athens court decision should change how you shop
According to press reports, the manager of an apartment building in Athens, who also owns a unit in the same building, took a fellow co-owner to court over her use of her apartment for short term rentals through platforms such as Airbnb and Booking.com. The argument was that this use breached the building’s regulation, which restricted units to residential use only. The court agreed, treating the rotation of tourists staying for a few days at a time as effectively hotel style use, ordered the owner to stop, and attached a 1,000 euro penalty for every future breach.
The two documents behind every Greek apartment building
Every Greek apartment building with separately owned units rests on a constitutive deed of horizontal ownership, the legal act that carves the building into distinct properties, apartments, storage rooms, parking spaces, shops. Without it, the building is one single, undivided property. The building regulation is a separate document. It sets out how those individual units and the shared areas of the building can actually be used. Not every building has one, some older properties only have the constitutive deed.
What happens if there is no building regulation
When a building has only a constitutive deed and no regulation, general legal provisions apply instead. In practice, each co-owner can use their unit and the common areas fairly freely, as long as they do not interfere with the other owners or put their safety at risk, and as long as they still comply with other applicable rules, such as health and safety licensing or fire regulations. In these buildings, Airbnb is usually not an issue.
Once a regulation exists, it functions as the building’s own law
Where a regulation does exist, it becomes binding for that specific building. Whatever it prohibits is absolutely prohibited, and cannot be overridden in any way, not even by a vote of the general assembly of owners. Clauses covering shared and jointly owned parts of the building can only be changed with unanimous agreement. This is probably the single most important point for anyone considering an apartment purchase with short term rental income in mind, a building regulation is not a polite suggestion, it is a binding rule.
Why Airbnb often falls foul of residential use clauses
Problems tend to arise from fairly general clauses, a ban on noise or disturbance to other residents, or a ban on large numbers of visitors coming and going. Short term letting through Airbnb sits squarely inside this category. Where a regulation restricts units to residential use only, or explicitly bans hotel type use, courts have treated Airbnb style letting as falling within that ban, since functionally it resembles a small hotel more than a home. Earlier rulings, including one from the Athens Court of Appeal, had already reached the same conclusion. The decision reported in July 2026 did not introduce a new principle, it reinforced an existing line of case law.
Buying property in Greece for Airbnb, what smart buyers check before they sign
If you are planning to buy and operate a property for short term rentals, legal due diligence before the purchase should always include a full read of both the constitutive deed and the building regulation, where one exists. Two alternative property types significantly reduce the risk, a unit in a building zoned for purely commercial use, or a ground floor shop converted into guest accommodation. In both cases there is usually no conflict, either because no regulation restricts the use, or because there are no residential neighbours to disturb.
A bigger legal shake up is coming
In July 2026 the Greek Ministry of Justice presented the outline of a wider reform of co-ownership law, aimed at a single Property Code to replace the scattered legislation built around the 1929 law. A drafting committee is expected to finish its work in autumn 2026, with the goal of passing the new code by the end of the year. The reform is mainly about management, decision making within the general assembly, and unlocking the use of properties, not specifically about Airbnb, but it is worth watching, since any change to how building regulations work will affect this issue indirectly.
Common questions about Airbnb and building regulations in Greece
Can a Greek building regulation legally ban Airbnb?
Yes. Where the regulation restricts units to residential use only, or explicitly bans hotel type use, that restriction is binding on every co-owner and cannot be overridden, even by a vote of the general assembly.
What if the building I am buying into has no regulation at all?
General legal provisions apply instead. Each co-owner can generally use their unit as they wish, as long as they do not disturb the other owners and comply with other applicable rules, such as licensing and safety requirements.
How do I check this before I buy?
Through legal due diligence carried out before the purchase, which should include a full read of the constitutive deed of horizontal ownership and the building regulation, where one exists.
Are commercial units a safer bet for short term rental income?
Often, yes. A unit in a building zoned for commercial use, or a shop converted into guest accommodation, usually avoids both the residential use restriction and the risk of disturbing residential neighbours.
The bottom line for buyers and investors
None of this means Airbnb income and Greek property do not mix, they very much can. It means the building regulation deserves the same attention as the price per square metre. If you are looking at an apartment in Attica with short term rental income in mind, checking the regulation before you buy can save you fines, legal disputes with neighbours, and a plan that quietly falls apart after closing. The Epsilon Team can help you find properties that fit an income focused strategy from the outset, and guide you through this part of the due diligence. Visit www.epsilonteam.gr to get started.
Sources
- Law 3741/1929, on ownership by floors, Government Gazette, Government Gazette A’ 4/9.1.1929, as currently in force
- National Printing House, Government Gazette search, http://www.et.gr/
- Ministry of Justice, presentation of the legislative initiative to modernise co-ownership law, https://ministryofjustice.gr/?p=16772
Edited by Evita Eleftheroudaki
real estate agent | real estate appraiser
co founder
EPSILON TEAM real estate
evita@epsilonteam.gr
