The golden age of short-term rentals in Europe is not over, despite regulatory headwinds, changing guest behavior, increased competition and other factors.
If anything, it’s evolving, according to executives from Airbnb and HomeToGo who discussed the pressures on the segment and the growth opportunities during a session at Phocuswright Europe 2025.
Emmanuel Marill, Airbnb's regional director of Europe, Middle East and Africa, said the company reported strong growth in the first quarter of 2025 and sees "impressive potential" for further growth, particularly outside major cities, with more than 55% of its bookings now coming from rural areas.
He also said the company is extending its reach through investment in services and experiences to enhance guest stays.
Bodo Thielmann, chief investment director of HomeToGo, which enables consumers to search and book properties and provides technology services to help hosts, also discussed the ongoing professionalization of the industry and the convergence of the hotel and rentals categories.
The conversation touched on the regulatory environment for rentals, with the executives stressing the need for simple, consistent rules across Europe that don’t confuse homeowners. An "equal playing field" would also help both the hotel and rentals categories, Thielmann said.
Additionally, the executives discussed some of the potential challenges going forward, such as quality listings, that will shape the segment over the next few years.
See below for the full session moderated by Walter Buschta, Phocuswright's senior vice president of marketing:
Executive Panel: Rooms, Rules & Rivalries