The Minister of National Economy and Finance was in favor of a mild solution, which would regulate the status of short-term leases in our country Kostis Hatzidakis in a discussion with the journalist Maria Sarafoglou in the context of his intervention in 24th Prodexpothe longest running conference for the real estate industry in Greece.

The arrangements that have already become known, will be incorporated into the tax bill and will be effective from 1.1.2024, are aimed at ensuring a balance in the real estate market, the minister said. To address unfair competition and tensions in the hotel industry and to address the secondary negative effects on the real estate market and rents, without harming the growth of short-term rentals for thousands of owners for whom short-term rentals are an important source of income. He gave as an example the imposition of VAT for those who have three or more properties on digital platforms, separating the two categories.

In response to a question about the loan program “My house”, which concerns the granting of low-interest or interest-free housing loans to young people and young couples, the minister pointed out that at the beginning he received a lot of criticism from some, but reality avenged them, as the interest was very high with more than 10,000 loans to have been approved, with some young people having even settled in their homes. He pointed out that there will be no new cycle as we have reached our fiscal limits. It is a matter of resource availability, he said, pointing out that there are 1.5 billion euros that will be allocated in various ways and through various programs in the field of the general housing policy implemented by the government.

Referring to social housing, the minister said that the model we knew until recently is changing and the public-private partnership (PPP) model is preferred for their construction, which will ensure better quality modern housing.

Mr. Hatzidakis, asked in general about the new challenges and the effects on the Greek economy, said that our country, after the ten-year crisis, has its own economic cycle, is moving on a positive trajectory, with political stability and the right mix of economic policy, which is reflected and in the real estate market.

Mr. Hatzidakis emphasized the fact that there was a 39% increase in foreign investments in Greek real estate in the first half of 2023 compared to the corresponding period last year.

the minister of National Economy and Finance he said that the course of foreign investments was correspondingly upward in the previous year: “in 2022 we had investments from foreigners in real estate, about 2.1 billion euros, which means 68% more than in 2021”.

Responding to a question about whether the State has registered the properties belonging to it, Kostis Hatzidakis noted: “We are trying to make a new beginning as in public property. A separate general secretariat was established. The Public Real Estate Company had done a relevant study for 500 of its properties. 47% have issues. This alone underlines the titanic work that the State has to do in this matter. The law is always there, it is not necessary to use it to have it recorded 100%. What needs to be done is to focus on the fully recorded. What are the most beneficial, the most ripe for exploitation, and in the meantime you continue to record.”

Regarding the “green” specifications in real estate, Kostis Hatzidakis noted that the industry “contributes because there are manufacturers who have received the message. Many new buildings are built to high environmental standards. It is the policy of Greece and the EU for environmental upgrading for energy saving and thus one also upgrades the value. The State also contributes the same with the “Excoionamo” program. I happen to have introduced it myself. The program continued to be embraced, promoted. A lot of money has gone down in the market because of it. The Recovery Fund comes and highlights the value of these programs. The issue is for all of this to proceed quickly, efficiently, to not just absorb the money but to leave its mark”, said the minister.