Demand for short-term accommodation is increasing across Europe — but Munich is one of the outstanding markets in German-speaking countries. The Bavarian state capital combines economic strength, cultural diversity and international appeal like hardly any other city.

Demand for short-term accommodation is increasing across Europe — but Munich is one of the outstanding markets in German-speaking countries. The Bavarian state capital combines economic strength, cultural diversity and international appeal like hardly any other city.

Anyone who owns or plans to buy a holiday property in Munich today has ideal conditions for successful and sustainable short-term rental.

In this article, you will find out why a holiday apartment in Munich is particularly worthwhile now, which developments are driving the market — and what you should pay attention to as an owner in order to gain a foothold in this attractive segment.

1. Convincing figures: tourism growth in Munich

Munich had around 17 million overnight stays in 2023, including over 7 million international guests — and the trend is rising. Trade fairs, major events, business trips and city tourism make Munich a year-round hotspot.

Growth drivers include:

•The return of leading international trade fairs such as BAUMA, EXPO REAL or IBA

•Major events such as Oktoberfest, concerts and sporting events

•A strong presence of international companies and expats

•An above-average length of stay for holidaymakers

On peak days, more than 70,000 guests stay in Munich — a considerable number of them in holiday apartments, serviced apartments or Airbnb offers.

2. Why invest right now?

Munich is one of the most expensive real estate markets in Germany — but also one of the most stable. Consistently high demand, low vacancy rate and increasing acceptance of professional short-term rentals create attractive opportunities for owners.

Your benefits:

•High occupancy due to exhibition calendars, tourism and business guests

•Crisis-resistant real estate market with strong value retention

•Year-round bookings by leisure and business travelers

New working models such as remote work and working are also promoting longer stays — a development from which well-equipped apartments in Munich particularly benefit.

3. The right strategy for Munich

Success in short-term rental depends heavily on how well your offer fits the city and target group.

What works in Munich:

Location, location: Maxvorstadt, Schwabing, Glockenbachviertel, Ludwigsvorstadt or Haidhausen are particularly popular — close to the city center with good public transport connections.

Business-friendly equipment: WiFi, workplace, coffee maker, quiet atmosphere — essential for project staff and business travelers.

Flexible rental models: Apartments that can be used both for short and longer stays (e.g. 1—3 months) offer maximum occupancy.

Concepts with high-quality furnishings, sustainable design or local connections are also particularly well received in Munich — especially by discerning guests from Germany and abroad.

4. Don't forget the legal framework

In Munich, the ban on misuse regulates how and when an apartment may be used for tourism. Anyone who rents out their apartment regularly or for more than 8 weeks per year requires official approval.

Key points:

•Registration requirement in the municipal online portal

•Permission required for entire apartment rentals over 8 weeks a year

•Special rules for main residences, intermediate rents or mixed forms

Arbio helps you to implement all approvals and registrations in a legally secure manner — from the application to the correct presentation in the advertisement.

5. Conclusion: Now is the right time for Munich

Whether as a capital investment, for personal use or for renting out via Airbnb & Co. — anyone who invests in a holiday property in Munich today benefits from a solid market, high demand and excellent return opportunities.

With the right strategy and an experienced partner like Arbio, you can get started with short-term rental in Munich efficiently, legally compliant and professionally.