The Greek Real Estate Market

The Greek residential real estate market has transformed significantly in recent years, experiencing steady growth and strong interest from foreign buyers. Today, international investors drive approximately 80-85% of residential property transactions, particularly in desirable locations like Athens, Crete, and the Aegean islands. This surge in foreign demand has played a critical role in Greece’s real estate recovery, benefiting both the property market and the tourism industry.

Steady Year-on-Year Growth

Over the past five years, property prices in Greece have steadily climbed, averaging a 7-10% increase per year. In 2022, some areas, like Athens, saw price hikes of up to 12%. Prices are still below or on par with pre-crisis levels, but have made a very  strong recovery since hitting a low point during Greece’s 2013 economic crisis (see picture at end of article).

New Requirements for the Golden Visa Program

The Golden Visa program has been a key factor in attracting foreign investment by offering residency to non-EU nationals who invest in Greek real estate. Recently, the minimum investment has increased from €250,000 to €500,000 or €800,000, depending on the area. Despite these changes, the program remains popular, especially with Portugal and Spain now ending their real estate-based Golden Visa programs. As a result, Greece is likely to see even more interest in its program.

Key Drivers of Real Estate Investment in Greece

Several factors make Greece an attractive destination for real estate investment:

• • Competitive Pricing: Even with recent price increases, Greek property remains affordable compared to other European markets, especially in popular urban and coastal regions.

• • High Demand for Short-Term Rentals: Greece’s thriving tourism sector fuels demand for short-term rental properties, offering good returns for investors, particularly in popular city and island locations.

• • Lifestyle Appeal: With its mild climate, stunning landscapes, and rich cultural heritage, Greece is highly appealing to investors seeking vacation homes or long-term residences.

• • Residency via the Golden Visa: Despite the increased investment threshold, the Golden Visa program continues to be a strong incentive, granting property owners EU residency access.

Conclusion

Greece’s residential real estate market has shown robust growth, supported by strong international demand and competitive pricing compared to other European markets. With the Golden Visa program still attracting investors, Greece remains an appealing choice for those seeking both investment and lifestyle opportunities.