How to Rent Out Property in Albania as a Foreigner

Albania has become a very popular country for buying or renting out property. However, like with anything else that involves laws, it’s important to know what to expect in advance, in order to avoid any unpleasant surprises later on.

The first thing to consider before renting out property in Albania is whether it’ll be for a short or long-term period. That one choice makes a big difference: rental yields, taxes, and even the type of tenant you attract all depend on the rental period you choose.

For example, a lot of expats and digital nomads who haven’t made up their mind yet about fully relocating to Albania usually prefer renting apartments for a long-term period to see whether the country fits what they’re looking for.

On the other hand, tourists who visit for a few days or weeks prefer booking short-term accommodation, such as apartments, or hotel stays/hostels.

New law: Short-term Rentals in Albania

Starting from January 1, 2026, those who rent out residential properties short-term will be subject to new fiscal laws in Albania. And before this sentence scares you, the good news is that this is a simpler approach to taxes!

You won’t be required to open a NIPT (business legal number); instead, you’ll have to declare the income through DIVA (Annual Individual Tax Declaration). That makes the process much simpler and straightforward.

The income from your short-term rentals will be subject to a 15% flat tax rate.

Now let’s talk about the main character here…the income.

Short-term rentals (think Airbnb, Booking, or seasonal lets) can bring higher returns, especially in tourist-heavy cities like Tirana, Saranda, and Vlora. During the summer months, demand skyrockets, and daily rates can easily outperform a standard monthly lease.

And yes, there’s a ‘small catch’. You’ll need to manage bookings, cleaning, and maintenance yourself or hire someone to do it for you, which adds up to the expenses.

Long-term rentals, on the other hand, are more about stability. You’ll have fewer gaps between tenants and less management stress, but your monthly income will likely be lower. These are popular in cities like Tirana or Durres, where expats, students, and remote workers look for year-round housing.

HOW-TO rent out short-term or long-term in Albania

For short-term rentals:

• Register your property on platforms like Airbnb or Booking.com.
• Declare your income through the DIVA system once a year (starting 2026).
• Organize management — cleaning, guest check-in, maintenance, etc. You can do this yourself or hire a local management company.
• Pay the 15% flat tax on your earnings (no need for a business license).

Short-term rentals work best in coastal and tourist cities where demand fluctuates seasonally. Just make sure your apartment is properly listed, photographed, and maintained — good reviews go a long way here.

For long-term rentals:

• Prepare a lease agreement (you can have it notarized for extra security).
• Set your rental price based on location and size — Tirana apartments usually rent between €300–€700 per month.
• Advertise on local property sites or social media groups.
• Report your income and pay your annual property tax (if applicable).

If you’re not in Albania full-time, you can always appoint a real estate agent to handle contracts, rent collection, and tenant issues on your behalf. Most take a commission equal to one month’s rent.

And if you need help to start, we’re just one message away!