Why Is Greece So Expensive Right Now? (And How to Travel Smarter in 2026)
If you’ve been to Greece lately or are planning a trip, you might be wondering why your budget isn’t going as far as it used to. From groceries to hotel stays, prices are climbing. In July 2025, Greece recorded one of the highest inflation rates in the Eurozone at 3.7%. Even though prices dipped slightly month-on-month, the broader trend is up, and travellers are feeling it.
Food and alcohol are leading the charge. According to official figures, costs in this category have risen 3.3% since last year. Everyday items like bottled water, iced coffee, and bakery snacks are noticeably more expensive in tourist-heavy areas. If you’ve tried to book accommodation or ferry tickets recently, you’ve likely seen a jump there too.
Quick reality check (before you spiral)
This doesn’t mean Greece is “ruined”
It does mean peak summer travel needs more strategy than it used to
The most overhyped islands are where prices hurt the most
If you’re planning the full trip from home, start here: Travelling to Greece from Australia.
Why Are Prices Rising?
Several factors are contributing.
Tourism demand: Greece remains one of Europe’s most popular summer destinations, especially with Australians and Americans. High demand equals higher prices.
Energy and supply chain costs: These continue to impact transport, food and accommodation.
Local wages and rent increases: Businesses are adjusting prices to stay afloat, especially in big cities and popular islands.
There’s also a fourth factor that nobody puts on a cute infographic.
Some places have moved beyond “cost increases” and into tourist pricing theatre, where the price reflects the vibe they’re selling, not the product.
What Does This Mean for Travellers?
It doesn’t mean you should avoid Greece in 2026. But it does mean travelling with a bit more intention.
In plain terms.
Choose your islands with care
Don’t assume every beach club is “worth it”
Spend your money where it improves the trip, not where it simply drains your wallet
How to Travel Smart During High-Inflation Season
1. Skip the obvious and overdone
Mykonos, Santorini and central Athens see the biggest markups. Consider Paros over Mykonos, Naxos over Santorini, or even a lesser-known gem like Syros or Tinos.
If you want island picks beyond the Instagram circuit, save this: Your 2026 Guide to the Greek Islands (Beyond the Obvious).
2. Travel outside peak weeks
Late May, early June and September are still warm, but accommodation and dining prices are softer.
If you want the month-by-month cheat sheet, this helps: Best Time to Visit Greece.
3. Eat where locals do
Avoid restaurants with QR codes and generic menus in five languages. Taverna food is still affordable and generous in neighbourhood spots and smaller villages.
A good rule.
If the menu is laminated, the tzatziki is cold, and a yiayia is walking plates out from the kitchen, you’re in the right place.
4. Take public transport or carpool
Car hire and taxis have surged in price. Use ferries, buses or ride-share options where possible.
Athens metro wins almost every time.
On islands, local buses are underrated. They’re not luxury, but they get you there.
5. Book direct
Avoid third-party platforms for hotels or experiences. Going direct often gets you a better deal or extra perks.
Even when it doesn’t save money, it usually saves headaches.
Accommodation, Wages and the Housing Crunch
One of the biggest jumps travellers are noticing is in accommodation. Hotel prices have risen sharply in popular destinations, and even basic short-term rentals can feel inflated. But the ripple effects go beyond tourism. In many parts of Greece, especially the islands, locals are struggling to find affordable housing.
The rise of platforms like Airbnb has contributed to the gentrification of traditional neighbourhoods. And while prices are rising for visitors, they are rising faster than the average local income. As of 2025, the average monthly wage in Greece sits around €1,100 to €1,200.
In tourist-heavy regions, even modest housing can cost locals upwards of €500 to €700 a month, not including utilities. When landlords realise they can earn that in a week from short-stay guests, it creates enormous pressure on the rental market and everyday life.
Homes once rented long-term to locals are now turned into seasonal listings aimed at tourists. This reduces housing supply, inflates rents, and pushes young people and families out of their communities.
The tension is real. Locals in places like Paros, Naxos, Corfu and Crete are raising concerns about being priced out of their own towns. Some municipalities are starting to push back with restrictions on short-term rentals, but it’s a slow process.
As a traveller, one way to support balance is to choose locally owned hotels or guesthouses, avoid international chains, and be mindful of where your money flows.
If you’re choosing an Athens base, this guide makes it simple: Where to Stay in Athens.
Mykonos Isn’t the Blueprint
There’s a difference between inflation and opportunism.
Some of what you’re seeing in places like Mykonos isn’t just rising costs, it’s price gouging. When you’re being charged €25 for a coffee or €100 for a sunbed, the issue isn’t inflation. It’s exploitation. It’s about the assumption that tourists will pay anything.
That’s not what all of Greece is like. Most islands and villages still offer fair value and hospitality that’s warm, not transactional.
Don’t let a handful of overhyped spots shape your view of the whole country.
Step off the brochure trail and you’ll find something much richer and far more human.
Real Greece Isn’t Always Expensive
There’s still so much that doesn’t cost a thing.
Moonlit swims.
Homemade fig spoon sweets.
Late-night walks through Cycladic alleys.
A shared bottle of wine on the beach.
These are the parts of Greece you remember anyway, like a local food festival in Lesvos.
Prices might rise, but meaning doesn’t have to.
With a little planning and a willingness to look beyond the obvious, Greece can still be one of the most fulfilling and soul-stirring places to travel in 2025.
FAQs
Is Greece expensive right now?
Greece can feel expensive in peak season and in the most famous destinations, especially for accommodation. Food and day-to-day costs can still be reasonable once you step away from the tourist strip.
What’s costing the most in Greece?
Accommodation is usually the biggest hit, followed by transport if you’re island hopping a lot.
How do I travel Greece on a tighter budget?
Travel in shoulder season, pick one base island, eat at local tavernas, and avoid beach clubs with big minimum spends.
Is Athens expensive compared to the islands?
Athens can be better value than the islands, and it’s easier to find affordable food and transport. Where you stay makes a big difference.
What’s one thing Aussies get stung by in Greece?
ATMs and card machines offering to charge you in AUD. Always choose euros.
Also, read this before your first hotel bathroom surprise: Can You Flush Toilet Paper in Greece?.
