Venice, with its unique beauty and rich history, attracts millions of tourists from all over the world every year. However, this popularity has a significant impact on the short rental market, making the city an important case study for understanding the dynamics of the industry.
In this article, we will take a closer look at the costs of short rentals in Venice, recent market trends, and the implications for the city's urban fabric.
Venice short term rentals: Rising costs
According to the most recent data provided by AirDna, Venice is confirmed as the most expensive city in Italy for short rentals. In 2023, the average cost for one night in the lagoon city was 209.7 euros, registering a 51 percent increase over 2019.
This significantly exceeds the rates in other Italian tourist destinations, such as Florence, Rome and Milan.
Venice short term rentals: Changes in prices
Despite a 27 percent reduction in listings compared to 2019, short rental prices continue to show an upward trend.
Currently, there is a significant variation in rates, ranging from around 30 euros per night for accommodations in the suburbs to over 300 euros per night for those in the heart of the historic center.
This variation can be attributed to a combination of factors, including the location, size and characteristics of the accommodations.
Venice short ents: Geographic concentration
Most listings for short rentals are concentrated in Venice's historic center and main islands.
This geographic concentration makes it difficult to compare Venice's market trends with those of other tourist destinations, where the distribution of accommodations is more uniform.
Short-term rentals Venice: Impact on the urban fabric
With about 37,000 extra-hotel beds in the historic center, short rentals have a significant impact on the urban fabric of Venice.
As of December 2023, tourist beds exceeded the number of residents in the historic center, raising questions regarding the sustainability and authenticity of the city.
Venice short term rentals: Future trends
Despite new regulations introduced by the government in 2023, including a 26 percent increase in the flat-rate tax coupon for landlords renting more than one property and the introduction of a national identification code, short rental prices continue to show an upward trend.
However, the long-term impact of these regulations on the short rental market remains to be seen and will be subject to further observation.
Venice short term rentals: Conclusions
Venice remains a unique case study in the short-term rental market, with high costs and a significant geographic concentration of listings.
As the city continues to navigate the challenges of managing mass tourism, it is essential to closely monitor market trends and consider innovative solutions to ensure the sustainability and balance of the urban fabric.