- Low Wages
Greece remains toward the bottom of the list of EU wages with an average of 840 euros per month. To put that in prospective,the monthly pay per month in France, Germany and Engand on average is 2262 euros. nearly 3 times as much…
- High prices
Low wages aren’t always a bad thing, not if the cost of living is less than elsewhere. However, Greek supermarkets sell basic items such as milk, pasta and bread at the same if not higher rates than most EU countries, including the UK, Spain and Italy!
- Need 4 extra income
Due to the above, an overall need for improvement as well as economic growth became and remains a priority for locals.
- Oversupply of properties
Greece remains 26th GLOBALLY in home ownership statistics. This ratio also means people have more than 1 house per person. Just for clearance, roughly 15%more people have a house here than in the UK.
AirBnB emerges offering extra cash to those who have an extra house or space… Sounds pretty ideal for people in need of money with plenty of room to spare. whether an inherited village house, sea front villa, or in town apartment.
- Oversupply on AirBnB
It didn’t take long before Chania alone had over 5000 listings on AirbnB.
- No long term availability
With more and more people looking for the AirBnB model of short term lettings, fewer people were able to find long term accommodation, including – nurses, students, doctors and teachers. Sleeping on a mate’s sofa for 6 months to a year was a normal thing to hear… While searching for a place to live.
- AirBnB failure
An oversupply of properties in Chania happened fast with supply winning V demand. Clients were spoiled with choice spreading reservations too thin for profitable outcomes. This led many during the summer of 2018 with 2-3 reservations max at discounted rates. AirbnB was no longer an option!
- Long term balance return
Following on and with properties still available to let, people returned their attention to the students, doctors, nurses & teachers mentioned before, giving the long term rental market a stream of new supply.
- Price inflation
But there’s a catch! the amounts asked were no longer at the same level but a compromise between “tourism prices” and what was previously the norm. Meaning 300 euros monthly became 450 euros+ due to the “potential” AirBnB estimated.
- Low wages
Now availability is back up, along with the prices while wages remain at exactly the same levels…