Investing in Greek real estate is particularly attractive for several individual reasons. In particular, as Korina Saia, managing director of Premier Realty Greece, states in her information note, investing in Greek property provides a combination of affordable prices, high yield potential and lifestyle benefits. As the economy recovers and tourism continues to grow, the Greek real estate market offers promising opportunities for both personal and investment opportunities, he adds.

In more detail, the eight reasons that make real estate in our country attractive for investment:

1. Potential for Development

  • Tourist attraction: Greece attracts millions of visitors each year, boosting demand for rental properties in popular areas such as Athens, Mykonos, Santorini and Crete. In particular, tourist arrivals increased by 20.6% from January to May 2024 compared to the same period in 2023.
  • Real estate market recovery: The Greek real estate market shows a continuous increase in housing prices, building permits and rental prices since 2017. In 2023, prices increased by 13.4% on an annual basis, up from 11.9% in 2022. However, the house prices are still about 4% below the highest prices of the third quarter of 2008, according to BNP Paribas. In contrast, Eurostat figures show falling prices in at least eight European countries, including Luxembourg, Germany and Finland.

2. Competitive prices

  • Affordable real estate prices: Despite strong growth, Greek real estate remains competitively priced, especially compared to Western Europe. In the category of luxury real estate, areas such as Vouliagmeni, Pigadakia, Elliniko, Voula, Kolonaki, Kavouri, Cycladic islands such as Santorini and Crete, have the highest prices per square meter. Conversely, areas such as Kastoria, Karditsa, Florina, Thessaly and Kozani have the lowest prices per square meter.
  • High performance capability: Lower property prices, combined with strong rental demand, can deliver attractive rental yields ranging from 4% to 8.5%, depending on location and property type.

3. Golden Visa Program

Benefits: Greece’s Golden Visa program provides residence permits to third-country nationals who invest at least 400,000 euros in real estate, based on new regulations starting in August 2024. For the Region of Attica, the Regional Units of Thessaloniki, Mykonos and Santorini and the islands with population more than 3,100 inhabitants, the minimum value of the properties at the time of acquisition is 800,000 euros. This program offers access to the Schengen area and can be a pathway to EU citizenship.

4. Quality of life and the Mediterranean climate

  • Mediterranean climate: The favorable Mediterranean climate of Greece makes it an attractive destination for both holidays and permanent residence.
  • Quality of life: Greece offers a high quality of life with its beautiful landscapes, rich history, cultural heritage and beautiful way of life. The cost of living is relatively low compared to other European countries, and despite lower wages, the quality of life remains high.

5. Real estate market trends

  • Increase in demand: International investors from countries such as Cyprus, the USA and Israel are increasingly interested in Greek real estate, attracted by low prices, government reforms and potential capital gains. According to the Bank of Greece, the real estate sector absorbed over 40% of total foreign direct investment inflows. In 2023, net foreign direct investment in real estate increased by 8% year-on-year to €2.13 billion.
  • Infrastructure development: Ongoing infrastructure projects, including transportation improvements and urban development, are boosting property values. According to PWC, global infrastructure needs are expected to reach around 77 trillion. dollars by 2040, with Greece ranking 37th worldwide and 18th in the EU in terms of infrastructure quality.

6. Various investment opportunities

  • Variety of options: Greece offers a wide range of investment opportunities, from luxury villas and beachfront properties to urban apartments and commercial properties. In addition, Greece has significant potential in key sectors such as tourism, agriculture, shipping and renewable energy.
  • Sustainability opportunities: There is an increasing availability of high-end properties, coupled with a growing interest in sustainable and environmentally friendly residential developments. The Greek government has launched various initiatives to promote green real estate.

7. Tax incentives

Favorable tax regime: Greece has introduced tax incentives for property investors, including reduced property transfer taxes and potential tax benefits for renovation and development projects.

8. Strategic location

Geographical Advantage: Greece is located at the crossroads of Europe, Asia and Africa and offers strategic advantages.