The Greek real estate market is currently strong, demand from both domestic and foreign buyers is stable, and prices have been steadily rising over the past decade. "In particular, there is an excellent secondary real estate market in the country – offers are available and prices are not artificially inflated," says Spyros Mantsos from Property in Greece.
All these advantages have a downside: offers cheaper than 100,000 euros are less and less common every month. But if you know where to look, you can profitably buy almost any type of property.
Such a different Greece
Buyers of real estate have a wide choice: these are more than 150 inhabited Greek islands (about 2000 in total), as well as the continental part of the country, which is indented by bays and bays. John Betty, managing director of the Greek company Aegean Blue, notes that the islands of Crete, Santorini, Corfu, Zakynthos and Mykonos are traditionally considered the most attractive regions for investors. "In the last year, the first "comprehensive offers" have appeared in Greece, that is, projects in which the owner has the opportunity to use the spa, yacht parking, gyms and other infrastructure facilities, the apartments are already furnished, and rental income is guaranteed for the first years," says John Betty. All these service packages are also available to foreign investors.
The status of Greece was favorably affected by the holding of the The Olympic Games in Athens, huge investments in the country's infrastructure and investments in the restoration of the main Greek attractions. All this also affected the annual increase in the value of real estate, which over the past few years amounted to 10-15%, and annual rental rates, according to Spyros Mantzos, reached 7.5% of the property value.
Of course, this figure varies depending on the type and location of housing. John Betty believes that the average rental income is about 5%: "Some developers offer guaranteed income from renting out housing in their projects, thereby attracting direct investors. In these cases, it is usually about 4-6% per year. The highest rental rates are on the north coast of Crete, Zakynthos, Kefalonia, Santorini and Mykonos. It is also worth noting the emerging markets on the islands in the northern Aegean Sea, including Skopelos, Skiathos (near the mainland) and Samos (off the coast of Turkey)."
Popular Crete
Crete, the largest of the Greek islands, is deservedly considered one of the most popular tourist destinations in the Mediterranean. Despite the obvious popularity of the island and, as a result, the continuous increase in housing prices, it is still possible to find not too expensive real estate here. The minimum price for a two–bedroom house, however, requiring renovation, is 50,000 euros, according to Onag Karanya from the company Crete Property Consultants. About the same amount is asked for already renovated one-bedroom houses, and apartments a few meters from the beach will cost at least 53,000 euros. For example, a studio and a one-bedroom apartment in the village of Makrigialos in the east of the island, about 25 minutes away. a drive from the city of Sitia, costs from 46,500 euros and is only 50 m from the beach. A renovated stone house with two bedrooms and a courtyard, a roof terrace and sea views can be purchased through the company Crete Property Consultants for 88,000 euros.
Property in Greece is putting up for sale a two-bedroom bungalow with an area of 60 sq. m. m in the old village of Loutra, 10 min. from the beach. The 100,500 euro house is surrounded by olive gardens and offers panoramic rural views. In the company Foremost Villas, for 90,000 euros, you can buy two-bedroom apartments with a communal pool and mountain views. The house is located on the hills in the village of Kalives next to Souda Bay. If you are ready to invest in reconstruction after the purchase, then you can find an offer for the sale of a stone house with an area of 60 square meters in Artec SA. m on a plot of 180 sq. m. m in the area of the village of Apokaronas, which is 30 minutes away. from the airport of the city of Chania. Permission for redevelopment and construction in the course of restoration work and expansion of the living area is attached. Such a house costs 53,000 euros.
Britons Linda and Rob were thinking about buying a house where they could move to retirement, and chose the southernmost town of Crete – Ierapetra. "We bought a house here because we didn't want to live among the crowds of tourists. This is a real Greek village, which is located near a big city. The beach is only 2 km from our house, and there is a stunning view from the roof of the house.
A two-bedroom house with a balcony and a roof terrace, purchased through the company Crete Property Consultants, cost 77,000 euros. The couple vacationed several times both on the mainland and on other islands, but eventually chose Crete. The purchase process turned out to be simple, and, inspired by the changes, Linda and Rob advise all customers: "Endlessly planning and thinking about Greece is not enough – buy while you are young to enjoy the beauty of the country."
Green Corfu
The green island of Corfu (or Kerkyra) in the Ionian Sea off the western coast of Greece also attracts a huge number of visitors with its mild Mediterranean climate and many architectural and archaeological sites. Spyros Analytis, director of the Corfu Property Agency, says that due to the laws governing development, the desire to preserve forests and the restrictions imposed by archaeologists, Corfu does not turn into a "stone jungle", and there are never too many offers for the sale of housing – as a result, prices in Corfu are kept at a high level. "Insufficient supply has also affected the rental market," says Spyros Analytis. "Rental housing is in high demand. And even the big hotels here are full, though only in summer. Renting out private housing, you can get an excellent income – from 6 to 8% if you deal with tour operators. Due to the fact that renting brings such income, there are more and more people who want to buy real estate."
Through the Corfu Property Agency, for 75,500 euros, you can buy a ground-floor apartment 40 m from the beach in the town of Acharavi, in the north of Corfu, with one bedroom and a spacious balcony. There are also offers of housing under construction: for example, near St. George's beach in the south-west of Corfu – a one-bedroom house with a veranda and a small private garden for 72,500 or 82,000 euros, depending on the location.
Small Islands
Large islands attract the majority of visitors to Greece, but gradually the attention of investors is also shifting to smaller islands, where the real estate market is only developing. The island of Skopelos, where the film Mamma Mia was shot last year, tops the list of the "second echelon". The island, which is part of the Northern Sporades archipelago, attracts both Greek pensioners and foreign buyers of holiday homes. The Aegean Blue company offers a number of apartments in the Skopelos Village complex 500 m from the beach, prices for one-bedroom apartments start from 92,000 euros.
On the island of Samos, the company Barrasford and Bird, within the village of Halcyon Hills, is building a spa resort, with guaranteed income from renting out housing upon completion of construction. For some buyers, prices here may seem high, so fractions are offered for sale at the resort: 1/8 of the ownership will cost 20,500 euros, 1/4 – 41,500 euros.
Investments in the capital
If the Greek islands attract mainly buyers of holiday homes, then investors counting on rental income also purchase housing on the mainland. Investment experts from Obelisk note: as a result of the 2004 Olympic Games in Greece, the demand for rental housing has soared, and new opportunities have opened up for investors, especially with regard to real estate in large cities. Thanks to the Olympics, the cost of housing in the ancient capital of the country, Athens, is steadily growing by 10-15%, according to the real estate agency Des Res. In this company, you can buy one-bedroom apartments in the suburbs from 105,000 euros, or a similar facility under construction in the center of Athens from 107,000 euros.
The process of buying real estate in Greece is relatively simple, but fees and taxes when concluding a deal to change ownership amount to about 10-15% of the cost of housing. This includes property transfer tax, local tax, notary fees, notary fees, and land registration fees. VAT of 19% when buying new buildings is usually already included in the price.
