Walk through District V on any given weekday morning and you’ll see two worlds overlapping: locals grabbing coffee before work, and visitors rolling suitcases past century-old buildings. For years, short-term apartment rentals have been part of that mix, adding energy, income and global appeal. Now, the municipality is signalling a shift. Rather than announcing a sudden ban, District V is preparing a targeted tightening of short-term rental rules, aimed at protecting residential life while keeping the district economically vibrant. The details matter, because they show how the market may change, not just that it will.
Here’s what’s actually being considered, based on the district’s own planning documentation, and why it matters for owners, renters and buyers.
1. Area-by-area rules, not a blanket approach
One of the clearest signals in the planning document is the move toward territorially differentiated regulation.
The district states that rules should reflect “whether residential functions are still dominant, or whether tourism has become the primary driver.” In practical terms, that means certain streets or micro-areas could face tighter controls than others.
For property owners, this introduces a new reality: location within the district will matter more than ever, sometimes down to the individual block.
2. New “resident-protection zones” and streets
To support this area-based approach, the municipality plans to introduce new regulatory concepts, including “resident-protection zones” and “resident-protection streets.”
The document explains that these tools are intended to “preserve areas where permanent residential use is still significant,” especially where pressure from tourism is accelerating.
This signals a policy priority shift from managing tourism volume to actively safeguarding everyday neighbourhood life.
3. A stricter interpretation of the existing 5% cap
District V already operates one of the strictest concentration limits in the inner city: a 5% cap on accommodation use within certain zoning categories.
What’s changing isn’t the number, it’s how firmly and broadly it’s applied.
The planning document notes that the 5% rule should apply “to every building” in specific institutional-dominant mixed zones, meaning the combined share of private accommodation and other accommodation types may not exceed 5% of units per building.
This clarification closes loopholes and removes ambiguity a key signal for investors who previously relied on flexible interpretations.
4. No new hostels or community accommodation
The municipality is also explicit about stopping the creation of new community accommodation, such as hostel-type operations.
The document lists this as a concrete objective, aimed at preventing further intensification of tourism-only uses in already pressured areas.
For the market, this limits future supply growth, particularly for high-turnover accommodation formats and reinforces the district’s residential focus.
5. Halting the spread of pensions (panziók)
Alongside hostels, the district also plans to curb the expansion of pensions.
This is framed as part of a broader effort to prevent “mono-functional” tourism zones, where services, buildings and daily life are shaped almost exclusively around visitors rather than residents.
From a property perspective, this reduces the likelihood of neighbouring residential buildings gradually transforming into quasi-hotel clusters.
6. Tighter oversight of private accommodation
Finally, the document calls for stricter monitoring and control of private accommodation.
While no new numerical limits are specified, the intent is clear: more consistent enforcement, clearer classification, and closer supervision of short-term rental activity.
In a tightening regulatory environment, compliance is no longer optional, it’s a value driver.
What this means for the property market
For owners, the message is subtle but firm: short-term rental income is not disappearing overnight, but it is becoming more location-specific, more regulated, and less speculative.
For buyers, pricing logic is shifting. Properties once valued for short-stay yield alone are increasingly assessed on long-term rental fundamentals layout, building rules, and liveability.
For renters, these measures may slowly ease pressure on supply, particularly in streets where residential use is being actively protected.
And for the district itself, the strategy reflects a long-term vision: keeping the inner city liveable, walkable and genuinely residential not just visitable.
Quick Q&A
1) Is short-term renting being banned in District V?
No. The district is proposing targeted restrictions, not a blanket ban.
2) What’s the most important change?
The clarified and stricter application of the 5% cap, combined with area-specific rules.
3) Will this affect all buildings equally?
No. Rules may vary by zone, street and building classification.
4) Are new Airbnb licences being issued?
New registrations are already restricted at city level; the district’s focus is on use, concentration and enforcement.
5) What should buyers prioritise now?
Flexibility, compliance and strong long-term rental appeal not just short-stay potential.