Rental Prices Surge in February with the Largest Increase in Over Three Years

The announcement by ELSTAT regarding February’s inflation revealed a bleak reality concerning housing costs: rents increased by 9.9% during the specified period. In fact, this increase in rental prices is the largest since at least October 2021—not because there was a higher increase back then (it was merely 0.3%) but because prior to that period, ELSTAT reports did not include such measurements. However, the cost of housing burdening citizens extends beyond general rent levels and includes overall adjustments. The ‘accuracy’ in this area is also reflected in rent adjustments, where according to the latest ELSTAT data, the percentage increase for March 2025 was set at 1.9% of the paid rent, for all cases of rentals with annual adjustments defined by law at 75% of the change in the general price index. It should be noted that rent adjustment refers to the process by which the rent amount increases during the lease term, either due to rent hikes or inflation and market changes in real estate. Rent reductions are observed during economic crises or periods of low demand for housing rentals. Alongside these trends, services related to housing have also seen increases. In February, there was a 4.5% rise in home repair and maintenance costs. At the same time, general services related to homes increased precisely by 1.6%. Now, citizens and the real estate market await measures from the government’s housing policy to boost supply and reduce overall costs. The success of the My Home 2 program, with its massive applications, proves how dire the situation in the housing market has become.