Home Tours Italy, France, Spain, And Portugal Prepare For Powerful Airbnb Crackdowns To Tackle Overtourism And End Housing Crises Across Europe’s Iconic Destinations

Italy, France, Spain, And Portugal Prepare For Powerful Airbnb Crackdowns To Tackle Overtourism And End Housing Crises Across Europe’s Iconic Destinations

by Travelplace
Italy, France, Spain, And Portugal Prepare For Powerful Airbnb Crackdowns To Tackle Overtourism And End Housing Crises Across Europe’s Iconic Destinations

Thursday, July 10, 2025

Italy, France, Spain, and Portugal are preparing for powerful crackdowns on Airbnb and other short-term rental platforms in response to the growing issues of overtourism and housing crises that have increasingly plagued their most iconic destinations. These countries are taking a stand to curb the rapid growth of short-term rentals, which have contributed to the rising cost of housing and overcrowding in popular tourist areas. By implementing stringent regulations, they aim to restore balance to their housing markets and reduce the negative impacts of mass tourism. The impending crackdowns reflect a major shift in European tourism policy, with these nations prioritizing the needs of local residents while still maintaining their appeal as prime travel destinations.

The Italian government is currently embroiled in legal battles over regulating short-term lets, including efforts to ban certain types of rental listings in key tourist areas. In addition, protests against the rising number of tourists relying on short-term rentals have gained momentum in major Italian cities, with locals expressing concerns about the negative impact on their communities and housing markets.

Districts like Florence, where over 30% of flats are listed on Airbnb, and Rome, which received a staggering 35 million visitors just two years ago, are seeing increasingly more properties are being converted to short-term rentals. It’s had widespread resident displacement, as people are no longer able to afford to live in their longtime family neighborhoods. As increasingly more of the accommodation marketplace shifts towards tourism, residents are becoming increasingly openly hostile towards short-term rentals.

Now, however, things are coming to a head in Italy, with widespread speculation that Spain will shortly lead the way and bring in its own regulations on short-term rentals. Other key European resorts, including France, Portugal, and the Balearic Islands, have also considered clamping down on holiday lets. Ministers are increasingly urged to take action, prompted by the twin imperatives of overtourism and increases in accommodation expense, both of which have turned short-term rentals into a politically toxic topic.

For hosts who operate via Airbnb, regulatory changes hold both threat and potential. Though Airbnb continues to be a force to reckon in the tourism sector, enjoying high demand for short-term rentals, there are indications that the era of “easy money” for hosts could reach its conclusion. Real estate investors who have all their eggs in one basket when it comes to sources of revenue, depending on short-term rentals only, are advised to redefine their ways and look at diversifying their revenue sources.

If Italy were to emulate Spain, there are projections that thousands of Airbnb properties will fall off the market. This will not only deter property owners’ revenues but also make it more difficult for tourists to locate cheap lodgings. It will make rentals more expensive for visitors and residents because fewer rental properties will become available. Consequently, property owners who have based their business on Airbnb need to anticipate a trend in the market.

Regulatory pressure on short-term rentals extends beyond Italy. Spain’s crackdown had raised concern about a wider “domino effect” throughout Europe, and other nations are likely to follow. As cities look to respond to widespread dismay about overtourism and affordability, short-term rentals have proved convenient targets for politicians facing public pressure to act.

While Italy’s laws are not currently as stringent as Spain’s, which recently prompted Airbnb to remove 66,000 listings, Italy will have new regulations in place at some point in the near future. France also looks likely to copy Spain’s action in bolstering its own laws on short-term rentals, which will have much broader implications for both property owners and the tourism sector.

Italy, France, Spain, and Portugal are preparing powerful crackdowns on Airbnb to combat overtourism and housing shortages in their most iconic destinations, aiming to protect local residents and restore balance to the tourism market.

As the short-term rental sector continues to expand throughout Europe, regulatory matters are becoming more complicated. Property owners and Airbnb hosts will need to remain abreast of likely law changes, since regulations could have a drastic effect upon their operations. Increasing regulatory attention will result in escalating compliance expenses for property owners, in addition to more uncertainty amongst tourists seeking budget-friendly and versatile accommodation solutions. Overall, while online rental sites such as Airbnb have revolutionized the tourism sector, growing regulatory pressure throughout Europe is redefining the marketplace. As Spain and Italy, for example, struggle with overtourism and affordability, property owners will have to contend with new regulations that can affect their potential to make money off of short-term rentals. As Spain’s lead will likely be followed by other nations, Airbnb’s future and that of other sites could look much different just a few years down the line.

Tags: Airbnb, european destinations, france, housing shortages, Italy, overtourism, Portugal, Short-term Rentals, spain, tourism regulations, Travel News

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