A major shift in Greek tourism from all-inclusive resorts to local home stays is redirecting tourist spending into neighborhood economies, benefiting small businesses like bakeries and tavernas, according to recent studies.
Unlike the traditional resort model, travelers staying in short-term rentals (STRs) spend the majority of their money in the local community.
A study by Oxford Economics found that 65% of STR visitor spending takes place outside of their accommodation.
This trend is boosting Greece's overall tourism revenue, which rose 10.4% to 4.35 billion euros in the first five months of 2025, according to the Bank of Greece.
In Athens, a study by the Greek Tourism Confederation found that STR guests spend more per day in local shops and restaurants than hotel guests.
While the rise of short-term rentals has sparked a debate over rising housing costs, another recent study from the Athens University of Economics and Business suggests the impact is limited, blaming poor housing policy instead.
Experts say the consensus is growing that the issue is not STRs themselves, but the need for clear regulation.