May 4, 2025

Government Cracks Down on Unlicensed Short-Term Rentals

The Deputy Ministry of Tourism has issued a strict warning to property owners that operating short-term rentals without the requisite registration permit constitutes a punishable offence. With the tourist season now in full swing, the Ministry stressed that any villa, apartment, or holiday home offered for stays of fewer than 30 days must first be registered and display its registration number in every advertisement, listing, or guest communication.

Under the “Regulation of the Establishment and Operation of Hotels and Tourist Accommodations Law,” self-catering accommodation units may only be marketed or rented once they have successfully completed the online application process on the Ministry’s website. Applicants must submit detailed property information—such as address, size, amenities—and certify compliance with health and safety regulations. Upon approval, the Ministry issues a unique registration number that remains valid for two years and must be renewed thereafter.

Failure to secure or prominently display a valid permit exposes owners to severe penalties. Convicted operators face fines up to €5,000, imprisonment for up to one year, or both. If an unlicensed rental continues after conviction, courts may impose additional daily fines of up to €200 until the property is brought into compliance. In particularly flagrant cases, authorities can demand immediate removal of listings from all platforms.

The crackdown is part of an ongoing initiative to bring Cyprus’s booming short-term rental sector into full regulatory compliance. Traditional hoteliers have long voiced concerns about unfair competition from unregulated rentals, arguing that those without proper permits undercut rates and dodge safety inspections. By enforcing strict registration requirements and conducting spot checks, the government aims to ensure a level playing field for all accommodation providers.

According to the latest figures presented to parliament, as of February 28, 2025, there are 8,248 officially registered short-term rental properties on the island, with 1,275 applications awaiting review. Tourism industry analysts predict that registrations will surge as the summer season progresses, estimating that at least 3,000 additional units will join the registry by early autumn.

Property owners are urged to initiate the registration process immediately to avoid heavy fines or criminal charges. The Deputy Ministry’s online portal remains open for applications, renewals, and status inquiries, ensuring that every legal operator can participate in Cyprus’s vibrant tourism market without risk.

Text based on materials from www.cyprus-mail.com, photo pixabay.com