Greek and international investors and buyers are constantly looking for opportunities in the real estate market in our country, in a market that is in its seventh year of continuous growth.

Their interest in residential properties in Athens neighborhoods as well as in country houses highlights surprising areas in terms of their yields and sales prices.

At the same time, Elliniko, where the first smart green city is being created from the ground up in Europe, is a special case study in the real estate sector.

But which areas of the center of Athens stand out in terms of yields? Where are prices moving? What are the trends in the holiday home?

The areas with the highest property yields

New neighborhoods of Athens are emerging as top choices for investors and property owners looking for attractive yields and capitalization opportunities. Protio’s latest analysis revealed the areas that have now turned into centers of investment interestthus illuminating the ongoing dynamics of the income property market in central Athens and the suburbs.

Topping the list of areas with the highest yielding income properties is Ano Dafni and the America Squarewith the latter still at the top, both at 7.1%, indicating the significant increase in rental prices in these neighborhoods.

The Polytechnic with 7% and the Egaleo with 6.9% they maintain their high yields, a result due to the development of the surrounding areas and their accessibility to transport and central points. This dynamic also extends to his neighborhood Larissa Station – Vathi Square with a yield of 6.6% and in Nightingale with 6.5%, where interest in real estate investment remains strong, and more and more people are proceeding with property renovations in order to exploit them through rental.

Performance is also stable in Cell at 6.4%, an area with historical charm that still attracts investors for long-term yield. It follows Dove with 6.3%, which, as one of the largest areas of Attica, offers attractive opportunities due to its size and demand for rental apartments. The list also stands out Paradise in Marousi with 6.1%, which represents the intense growth of the northern suburbs, and the Kato Chalandri at 5.6%, which is added as yet another new option with considerable upside prospects.

These areas, as Protio estimates, are a “new breath” in investments, offering many possibilities for the renovation of old properties and the upgrading of energy infrastructure. Owners and investors can take advantage of high returns with strategic upgrades that increase property value and generate higher returns than the traditional market.

What does the term performance mean – Why Ano Dafni and Pl. America are superior to Kolonaki

By higher yield we mean the percentage of annual rental income in relation to the value of the property, thus expressing the “return” of the investment through rental income. Simply put, the yield shows us how much income the property brings in each year from rents, relative to its purchase cost. Let’s look at the example of Ano Dafni with a yield of 7.1%. As Protio explains, this price means that if someone buys a property there, the annual rental income is 7.1% of the property’s purchase price.

More specifically with an example on a 70 sq m property:

* The sale price per sq.m. in Ano Dafni it is approximately 2,409 euros.

* The average monthly rent per sq.m. it is 14.3 euros.

Therefore:

* Sale price: 70 sq.m. x 2,409 euros/sq.m. = 168,658 euros

* Monthly rent: 70 sq.m. x 14.3 euros/sq.m. = 1,001 euros

* Annual rental income: 1,001 euros x 12 months = 12,012 euros

To calculate the yield, we divide the annual rental income by the market price and multiply by 100: Yield = (12,012/168,658)×100=7.1%

As for Kolonaki, the yield fluctuates at much lower levels, around 3-4%. According to the data, the sales price in Kolonaki is approximately 6,097 euros per sq.m., while the monthly rent amounts to 20.1 euros per sq.m. The lower yield in Kolonaki is a result of high property values ​​in the area, which lowers the rent-to-purchase ratio. Although the area remains attractive due to prestige and increased demand, its performance is more subdued compared to areas such as Ano Dafni or America Square.

Property prices

Over the course of a decade, the average increase in the value of each apartment type was measured at over 78%, heading towards doubling the priceaccording to the Apartment Observatory of GEOAXIS, a certified property appraisal company in Greece.

The level of increase in values ​​for newly built apartments is determined at 8.51% compared to a year ago and a not inconsiderable 24.7% compared to two years ago. For older apartments, the increase is also very large (7.81% compared to a year ago and 22.68% compared to two years ago).

Annual changes – The areas that stand out

In particular, according to the GEOAXIS Observatory, between the 3rd quarter of 2023 and the 3rd quarter of 2024 it is recorded median annual increase of 8.51% for newly built and 7.81% for older apartments.

Sta new age apartmentswith an average area of ​​105 sqm, a median age of just 1 year and a 2nd floor, the market research led to the conclusion that the highest values ​​are recorded in Cholargos (4,267 euros/sqm from 4,048 euros/sqm, with an annual increase of 5.41%), and in then in order:

– in Paleo Faliro (3,715 euros/sqm from 3,400 euros/sqm with an annual increase of 9.26%),

– in Marousi (3,600 euros/sq.m. from 3,304 euros/sq.m. with an annual increase of 8.96%),

– in Ampelokipi (3,080 euros/m2 from 2,795 euros/m2 with an annual increase of 10.20%) and finally

– in Peristeri (2,610 euros/sqm from 2,401 euros/sqm with an annual increase of 8.70%).

Based on the aboveAmpelokipi recorded the largest, while Cholargos recorded the smallest annual increase, compared to all other areas

As for the old apartmentswith an average area of ​​106 sqm, a median age of 44 years and a 2nd floor, the survey showed that the highest values ​​are recorded in Cholargos (2,432 euros/sqm from 2,235 euros/sqm with an annual increase of 8.81%) and then in order:

– in Maroussi (2,000 euros/sq.m. from 1,850 euros/sq.m. with an annual increase of 8.11%),

– in Paleo Faliro (1,893 euros/sqm from 1,751 euros/sqm with an annual increase of 8.11%),

– in Peristeri (1,588 euros/sqm from 1,487 euros/sqm with an annual increase of 6.79%) and finally

– in the area of ​​Ampelokipi (1,562 euros/sqm from 1,457 euros/sqm with an annual increase of 7.21%).

Based on the above, Holargos recorded the highest annual increase while Peristeri recorded the lowest annual increase, compared to all other regions.

Country house: The upward trend will continue for at least a five-year period

The market for holiday properties is on the rise, especially in coastal areas. It is a trend that seems to have an increasing path at least for the next 4 to 5 years. Prices will continue to rise but at a lower rate, says Korina Saia, managing director of Premier Realty.

The areas where there is the greatest demand

According to Premier Realty, the greatest demand exists in the following areas: Especially in South Suburb (such as Vouliagmeni, Voula, Glyfada) where there is also a large development of projects, at Cycladesin Paxosin Hydrain Crete and in Lefkada.

We have also seen increased demand in Euboea lately.

Among the most expensive islands, in the Cyclades is Mykonos (average price 6,500 euros/sqm), while in the Ionian it is Paxos (average price 4,900 euros/sqm).

The average sales price for Crete was around 2,100 euros/sq.m., in Hydra 5,500 euros and in Lefkada 3,700 euros/sq.m.

In Voula, the average sale price was around 6,200 euros/sq.m.

Greek: Demand from foreigners is increasing – Demand is beyond expectations

A separate case that affects the developments in the residential real estate market in general is Elliniko, as the construction of hundreds of homes aimed at high and middle income buyers is in full progress as part of the large redevelopment project that is in full progress.

As the managing director of LAMDA Development Odysseas Athanasiou mentioned a few days ago, after the start of the international campaign for the Hellinikon project, the demand for housing is growing even more. “The sales department does not have time to make appointments, the interest is greater than expected and everything that goes on sale is sold out. What is changing is the mix of buyers, as they are not exclusively Greek. After the start of the international information campaign, the interest is particularly intense, with the result that approximately 40% of buyers are from international markets. The demand for residential renovations from Greece and abroad is greater than initial expectations,” he said.

As the company has announced, all the residential units of the coastal front of the first phase of the project (Villas, Riviera Tower, the Cove Residences) are “sold out”. With regard to the new residential neighborhood “Little Athens”, which will include a total of 1,115 homes and 115 spaces that will serve the daily needs of the neighborhood, pre-sales and pre-reservations for the apartments that will gradually come on the market from the end of 2023 are “running” continuously increasing rate. As mentioned in the last information meeting, the sales prices in the current time period in Little Athens, which will make the “15-minute city” a reality, i.e. the city where everything is within 15 minutes without a car, range between 7,000 and 17,000 euros per square meter. m.