Greece’s property prices are rising due to high demand from foreign buyers. The country’s real estate is attractive because it’s cheaper compared to many other places, and it’s a popular tourist spot. The Golden Visa program is especially appealing to non-EU investors because it offers them residency if they buy or rent property in Greece.
In 2023, the Greek government increased the price for the Golden Visa to €500,000 in popular areas, but this didn’t stop foreign investors. In fact, applications went up by 60 percent later that year. The government plans to increase the investment requirements again in 2024.
Since the program started, over 31,000 Golden Visas have been given out, bringing more than €2.6 billion in investments to Greece. Most applicants are from China, followed by Turkey, Russia, Lebanon, and Egypt. In early 2024, the number of applications remained steady compared to the previous year.
Amidst a robust demand from foreign homebuyers, increasing construction activity, and ongoing economic growth, Greek property prices continue to accelerate, according to Global Property. “Property prices in Greece remain lower compared to many overseas countries, acting as a magnet for foreigners who not only seek returns but also wish to relocate to a popular tourist destination.
The aim of Americans and Britons to secure visas has significantly boosted demand from these countries,” says Kosmas Theodoridis, President of the European Real Estate Agents Union.
The demand from foreign homebuyers is intensifying.
The real estate market represents about 20% to 35% of Greece’s total FDI annually. During 2023, net direct foreign investments (FDI) in real estate increased by 8% year-on-year to €2.13 billion, following annual increases of 68% in 2022 and 34.4% in 2021, and a nearly 40% decrease in 2020.
This marks the highest level recorded in over two decades.
Even before the Covid-19 pandemic, foreign investments in Greek real estate were on a sharp rise. Net direct foreign investments in real estate soared by 45.3% in 2016, 86.5% in 2017, 172.1% in 2018, and another 28.5% in 2019.
According to Global Property, foreign investors are mainly attracted to Greece by the Golden Visa program, which offers residency permits to non-EU investors who buy or rent properties.
In August 2023, the cost of Greece’s Golden Visa doubled to €500,000 in the country’s most popular areas. This move appears to have had a negligible impact on making property prices more affordable for Greeks and deterring foreign investors. Five months after the policy change (August-December 2023), a total of 3,626 investors had submitted their applications for the Golden Visa, an increase of about 60% compared to the same period in 2022.
The government announced that from August 31, 2024, the investment requirements for the Golden Visa program would further increase to €400,000 for areas currently requiring real estate investments of €250,000, and to €800,000 for areas currently requiring investments of €500,000.
From 2014 to 2021, 9,610 main applicants received their Golden Visa in Greece. Subsequently, from 2022 to 2023, a total of 6,795 main applicants were approved. Since its inception until 2023, over 31,000 Greek Golden Visas have been granted to main applicants and their dependents, resulting in total investments of over €2.6 billion in Greece.
From 2014 to 2023, the largest number of applicants came from China, with a total of 7,186 approved visas, accounting for approximately 63.6%, followed by Turkey (8.1%), Russia (6.7%), Lebanon (5.2%), and Egypt (3.7%).
In the first four months of 2024, 2,664 applications for the Golden Visa were submitted, on par with the 2,632 applications from the previous year.
By Yiorgos Pappous