Short-term rentals reshaping Europe’s tourism landscape

As hotel growth stalls, short-term rentals are reshaping tourism—tightening housing markets and straining local resources across Europe

Tourism in Europe is being rapidly reshaped by short-term rental platforms like Airbnb, Booking, and Expedia. While hotel stays have stalled, platform bookings are booming—reshaping travel patterns, disrupting local life, and straining resources. A new CORRECTIV.Europe analysis maps out where these impacts are most severe, often far from the usual tourist hotspots.

Key takeaways

• Platform tourism is booming: Guest nights via platforms rose 67% since 2019, while traditional hotels remain stagnant—signaling a major shift in how Europeans travel.
• Smaller destinations feel the greatest pressure: Tourism intensity is highest in less urbanized areas, especially in Greece and Croatia. On Santorini, bookings reach 46 guest nights per resident.
• Local housing and infrastructure are strained: Rising rents, water shortages, and tourist-first policies are making life harder for locals, particularly in areas already facing climate stress.
• Overtourism is becoming unmanageable: Public services are stretched, prices inflated, and cities like Barcelona are responding with rental bans and tougher regulations.
• Better data helps—but isn’t enough: New EU rules require platforms to share data, but gaps remain around pricing, neighborhood-level impact, and types of hosts.
• Experts urge a new model for tourism: Sustainable travel must become more mindful and less extractive. Some regions are already testing taxes, limits, and policy reforms.

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