Explore the spectrum of short-term rental costs across Europe with insights for both hosts looking to optimize earnings and travelers seeking the best deals. This guide delves into the most expensive and cheapest destinations, providing strategic tips for maximizing profitability as a host and uncovering budget-friendly stays as a guest.

The Cheapest and Most Expensive Countries in Europe to Visit in 2024

Iceland, Monaco, the UK, Greece, and Spain are Europe’s most expensive countries for vacation rentals.

The cheapest countries to visit in Europe are Eastern European destinations like Kosovo, Belarus, Moldova, North Macedonia, and Serbia.

Uncover affordable stays in traditionally expensive countries by exploring specific markets that offer lower rates than their national averages.

The European market offers endless opportunities for growth and adventure for short-term rental hosts and travelers alike. With so many destinations to choose from, each with its own unique charm and economic factors, where do you start?

AirDNA has analyzed the vacation rental landscape across the continent to help you make the most of your European hosting or travel experience. We've looked at key metrics including average daily rates, booking lead times, and seasonality patterns of the most expensive countries in Europe and the cheapest. 

In this guide, hosts can uncover top-performing markets and learn how to maximize their earning potential in even the cheapest countries in Europe. If you're planning your own European getaway, you'll find insider tips on scoring the best deals on Airbnb stays, no matter your destination.

 Plan your STR strategy based on real booking activity and trends—plus, see how things change year over year.

We've created an interactive map displaying the average daily rates (ADRs) for summer stays across the continent to give travelers a comprehensive overview of the European vacation rental landscape. This map is based on ADR pacing data from June to August 2024, i.e.  the nightly rate at which reservations are being made for a particular date in the future. The dashboard below showcases the wide range of prices travelers can expect when booking accommodations in different European countries. 

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The Top 5 Most Expensive Countries to Visit in Europe

Europe is home to some of the world's most sought-after travel destinations. That popularity comes with a higher price tag!

However, savvy travelers can still find opportunities to experience these incredible destinations without breaking the bank. Hosts, meanwhile, can capitalize on the high demand in these markets by offering competitively priced rentals that still provide a taste of luxury.

AirDNA has broken down the most expensive countries in Europe to visit, highlighting their overall costs while exploring hidden gems where travelers can find more budget-friendly options. We'll also explore what makes these markets so lucrative for short-term rental hosts and offer insights to help maximize Airbnb owner earnings.

Iceland's rugged beauty and natural wonders make it a top choice for adventurous travelers. The highest-performing market in Iceland is Keflavík. Keflavík’s high market score of 99 and its €180.50  average daily rate (ADR) indicates strong demand and revenue potential for short-term rental hosts.

However, budget-conscious travelers can still find relatively affordable options in Iceland. The three markets with the cheapest ADRs and at least 10 listings to choose from are:

While these rates may seem high compared to other European destinations, they offer a more accessible entry point for experiencing Iceland's natural wonders.

Monaco, the glamorous principality on the French Riviera, is unsurprisingly one of Europe's most expensive destinations. With 396 short-term rental listings, Monaco offers a range of luxurious accommodations for well-heeled travelers.

The majority of listings are on Airbnb (87%), with 6% on Vrbo, and another 6% listed on both platforms. This distribution suggests that Airbnb is the preferred platform for hosts and guests in Monaco's high-end market.

Travelers planning a trip to Monaco should book well in advance, as the average booking lead time is 62 days. However, this varies throughout the year. September stays require an average lead time of 90 days, while February stays have a shorter average lead time of 26 days.

AirDNA data indicates that a 4-day stay might just be the sweet spot for travelers to the area. Guests average a 4-day reservation, just the right amount of time to fully immerse themselves in the principality's luxurious lifestyle and events, such as the iconic Monaco Grand Prix.

The United Kingdom, with its rich history, iconic landmarks, and vibrant cities, is a top destination for travelers worldwide. However, the cost of accommodation in the UK can be steep, particularly in popular tourist hotspots like London. The highest-performing market in the UK is the Lake District, with a market score of 98. The £205.10 nightly rate in that area represents a boon for hosts on one hand, and perhaps a hindrance to budget-conscious guests on the other.

For travelers seeking more affordable options, the three markets with the cheapest ADRs in the UK are:

These cities offer a wealth of cultural experiences, dining options, and attractions at a more budget-friendly price point. Hosts in these markets can attract cost-conscious travelers while still enjoying a steady stream of bookings.

Greece is a country of contrasts, with its mix of ancient history, stunning islands, and white-washed cities. While it's known for its luxurious resorts and high-end experiences, Greece also offers a range of affordable options for travelers.

The highest-performing markets in Greece are Marousi, Agia Paraskevi, and Egaleo, all boasting a perfect market score of 100. Located near Athens, these destinations offer a blend of urban amenities and proximity to cultural attractions, making them appealing to a wide range of travelers. These Grecian markets aren’t only appealing to short-term rental hosts based on their market score—they’re also affordable for guests at less than €100 per night!

For budget-conscious visitors, the three markets with 10 or more listings and the cheapest ADRs are:

These hidden gems provide an opportunity to experience Greece's charm and hospitality without the high costs associated with more popular destinations. Out of the 277 markets in Greece, 119 have average ADRs of €100 or less. This means that travelers have plenty of budget-friendly choices when exploring this beautiful country.

However, on the other end of the spectrum, 16 of Greece's submarkets have ADRs of €250 or higher, catering to luxury travelers seeking premium experiences. Mykonos, in particular, stands out with an astonishing average ADR of €754.39, cementing its reputation as a high-end destination. It’s destinations like Mykonos that put Greece on the map as one of the most expensive countries in Europe.

For hosts, the dual nature of Greece's short-term rental market presents an opportunity to target different segments of travelers. Hosts can attract budget-conscious guests by offering competitively priced accommodations in the more affordable markets. On the other end of the spectrum, STR hosts with properties in the luxury submarkets can capitalize on the high-end demand.

Spain is a country that offers something for everyone, from its walkable cities and rich cultural heritage to its stunning beaches and picturesque villages. It boasts an impressive number of top-performing markets that cater to a range of travelers.

Spain stands out for its high number of top-performing markets, with 15 submarkets achieving perfect 100 market scores. The top-performing list includes Sant Just Desvern, Tres Cantos, El Sauzal, San Juan de la Rambla, and Agaete. The 15 top-performing Spanish STR markets have nightly rates that range from €50 to over €200. 

While Spain is on the list of the most expensive countries in Europe to visit for a reason, it also offers distinctly budget-friendly options for cost-conscious travelers. The three cheapest markets in Spain, based on ADR and considering markets with 10 or more listings, are:

Whether you're a traveler seeking a high-end experience, an explorer pinching pennies, or a host looking to attract a steady stream of guests, Spain has something to offer.

The Top 5 Cheapest Countries in Europe for Travel 

Eastern Europe emerges as a treasure trove of affordable destinations for budget-conscious travelers seeking to explore Europe without burning through their wallets. This region has lower living costs and less tourist saturation compared to their Western counterparts. The countries on this list offer unique cultural experiences, stunning natural beauty, and rich history at a fraction of the cost. 

For hosts, these markets present a chance to attract cost-conscious travelers. Airbnb operators can tap into the growing demand for unique and immersive travel experiences in these lesser-known destinations by offering affordable, high-quality accommodations and local insights. 

Moreover, the lower seasonality in these markets allows hosts to maintain consistent pricing and occupancy rates throughout the year. This translates into more predictable income and a more stable and sustainable short-term rental business.

Kosovo, a hidden gem in the Balkans, offers travelers an affordable and authentic cultural experience. The highest-performing market in Kosovo is Rajoni Prishtines. Rajoni Prishtines has a market score of 94 and a modest ADR of just €43.60, making it the cheapest market in the country.

The most expensive market in Kosovo is Rajoni Ferizajit, with an ADR of €112.90. Even at its priciest, Kosovo remains an affordable destination compared to many other European countries.

Belarus, a country that has yet to be discovered by the masses, offers travelers a unique blend of Soviet-era architecture, lush forests, and friendly locals. With only two markets, Minsk and Bresk, and a total of 73 STR listings, Belarus presents an opportunity for adventurous travelers and hosts alike to explore an untapped market.

Moldova, a small country nestled between Romania and Ukraine, is known for its rolling hills, picturesque monasteries, and delicious wine. With 4 markets and 2,000 STR listings, Moldova offers budget-friendly options for travelers.

North Macedonia, a country rich in history and natural beauty, offers travelers an affordable and memorable experience. With 3 markets and 3,600 STR listings, North Macedonia offers enough variety for potential STR investors, hosts, and visiting guests to work with.

Serbia, a country offering traditional festivals, unique cuisine  and warm hospitality, rounds out our list of the top 5 cheapest countries in Europe for travel. The top-performing market in Serbia is Belgrade, which has an impressive market score of 96 and an average ADR of €69.30. Belgrade's popularity among travelers is evident, as the second-highest market score in the country is just 58 for Novi Sad.

With a total of 6 markets and a range of affordable ADRs, Serbia offers budget-conscious travelers a chance to experience its lively cities, stunning monasteries, and delicious cuisine without breaking the bank.

Don't Let National Averages Fool You: Cheap Stays in Pricey Destinations

While national ADRs provide a general overview of a country's pricing, it's crucial to understand that these averages don't tell the whole story. Even within the most expensive countries, savvy travelers can find affordable options by exploring specific markets that deviate from the national average.

Spain and Greece, for example, have high national ADRs, placing them among the most expensive destinations in Europe. However, diving deeper into the data, we discover that some of their cheapest markets offer surprisingly budget-friendly options for travelers. If you're dreaming of visiting a country known for its high prices, you don't have to break the bank to make it happen. 

How can hosts that are welcoming guests in affordable markets within more expensive countries make the most of their position? Attract cost-conscious travelers by offering competitive rates. Use the accessibility of your destination as a foundation for your marketing efforts.

Understanding Seasonality: When to Travel for the Best Rates

Seasonality plays a crucial role in determining vacation rental rates across European destinations. In the short-term rental industry, seasonality refers to the fluctuation of bookings and prices throughout the year. Reservation rates and ADR are often influenced by factors such as weather, holidays, and local events. As a host, understanding seasonality patterns can help you adjust your nightly rates in response to fluctuating demand. As a guest, taking into account high and low seasons can help you make informed decisions about when to travel and where to find the best rates.

AirDNA's seasonality score measures how much seasonality affects a particular market, with a high score indicating low seasonality and consistent bookings throughout the year. Markets with low seasonality tend to have more stable ADRs, meaning you can expect similar rates regardless of when you visit. These destinations are often popular with travelers year-round, either because they offer a range of activities suitable for different seasons or because their climate is a lesser determining factor compared to ski or beach destinations.

Let's take a closer look at Monaco to illustrate the impact of seasonality:

Monaco has a seasonality score of 31, indicating notable seasonal variation in short-term rental demand. Looking at averages across 2022 and 2023, Monaco's rates peaked in May (€359) and September (€329) and were lowest in February (€160). You can see on the chart that February 2024 defied the norm, with a €249 ADR that was significantly higher than historical trends. 

The number of active listings in Monaco also fluctuates throughout the year. In February 2024, there were only 105 active listings, which more than doubled to 241 by May. This limited supply of short-term rentals in February likely gave hosts pricing power to increase their nightly rates, as there were fewer lodging options available to meet demand.

For more insights on the European vacation rental market, check out our latest European market review, which gets published monthly, and our guides to understanding Europe’s seasonality (including ski season!). 

AirDNA’s powerful yet easy-to-use tools make hosting and investing a breeze. This means having every insight you need, all in one place, always up-to-date.

Dreaming of a European getaway? Discover the cheapest and most expensive destinations for 2024 with our insider guide on where to save and where to splurge.

The Cheapest and Most Expensive Countries in Europe to Visit in 2024

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