Greece, with its stunning landscapes, rich history, and welcoming culture, has become an increasingly popular destination for foreign property buyers. The allure of owning a slice of paradise in this Mediterranean gem is hard to resist, especially as the country offers a favorable legal framework for real estate transactions. So, can foreigners buy property in Greece? The answer is a resounding yes!
Foreign nationals can purchase property in Greece without significant restrictions, making it an attractive option for investors and those seeking vacation homes or permanent residences. Whether you’re looking for a cozy seaside villa, a historic apartment in Athens, or a charming rural retreat, the Greek real estate market has something to offer everyone.
In this article, we will explore the six best places in Greece for foreigners to invest in property, highlighting their unique features and benefits. Let’s dive in!
Where to Buy Property in Greece
Greece offers a diverse range of locations for property buyers, each with its unique charm and lifestyle. From serene islands to bustling cities, here are six of the best places for foreigners to consider when buying property in Greece.
Buy Property in Ikaria, Greece
Ikaria, renowned for its natural beauty and relaxed lifestyle, offers a unique living experience for those seeking a tranquil retreat. Famous for the remarkable longevity of its residents, this “Blue Zone” island provides a serene atmosphere where many live well into their 90s. Here, foreign buyers will find a range of properties, from charming traditional stone houses nestled in scenic villages to modern villas with breathtaking sea views.
However, purchasing property in Ikaria requires some additional steps for non-EU buyers due to the region’s proximity to Greece’s eastern border. Non-EU citizens must apply for approval from a national security committee based in the regional capital on Lesvos Island. This process involves submitting detailed documentation and may take up to a year for full approval.
While the approval requirements add time to the buying process, Ikaria’s affordable real estate, close-knit community, and high quality of life make it worth the wait. For those looking to invest in a peaceful slice of Greece, Ikaria remains an attractive option for both vacation homes and long-term living.
Buy Property in Lefkada, Greece
Lefkada boasts some of the most beautiful beaches in Greece, famous for their turquoise waters. This island is accessible via a causeway, making it convenient for mainland travelers. Properties in Lefkada vary from luxury waterfront homes to quaint village houses, perfect for anyone looking to invest in a picturesque setting.
Buy Property in Naxos, Greece
As the largest island in the Cyclades, Naxos offers a rich blend of history, culture, and stunning landscapes. The island features beautiful beaches, charming villages, and ancient ruins. Buying property in Naxos can be a rewarding investment, especially in areas close to the beach or historical sites.
Buy Property in Rhodes, Greece
Rhodes is a popular destination for both tourists and expatriates, known for its rich history and vibrant nightlife. The island offers a wide range of properties, from luxurious villas to traditional stone houses. With its warm climate and numerous activities, Rhodes is an excellent option for those looking for both relaxation and adventure.
Buy Property in Santorini, Greece
Santorini, famous for its breathtaking sunsets and iconic white-washed buildings, is a dream destination for many. The real estate market here offers a mix of luxury villas and charming apartments, often with stunning views of the caldera. Investing in property in Santorini not only provides a beautiful home but also a lucrative rental opportunity due to its popularity among tourists.
Buying Property in Corfu, Greece
Corfu is known for its lush landscapes, Venetian architecture, and rich history. The island’s unique charm and diverse offerings make it an attractive option for property buyers. Whether you’re interested in a historical villa in Corfu Town or a modern home in the countryside, there are plenty of options available for foreigners looking to invest in this beautiful island.
Each of these locations offers a unique blend of lifestyle, culture, and natural beauty, making them ideal for foreign buyers seeking to invest in Greek real estate.
Process for Buying Property in Greece for Foreigners
Buying property in Greece as a foreigner is a straightforward process, but it does require careful planning and adherence to legal requirements. Here’s a detailed overview of the purchasing process:
Research and Property Selection: Begin by researching the areas that interest you. Once you find a property, you may want to visit in person to ensure it meets your expectations.
Engage a Real Estate Agent: Hiring a reputable local real estate agent can be invaluable. They can help you navigate the market and understand the local laws and customs.
Obtain a Tax Identification Number (AFM): Before proceeding with the purchase, you must obtain a Greek Tax Identification Number (AFM), which is essential for all property transactions.
Legal Representation: It is advisable to hire a lawyer who specializes in Greek real estate law. They will conduct a title search to confirm the property’s ownership and ensure there are no liens or encumbrances.
Preliminary Agreement: Once you decide to proceed, a preliminary agreement is drafted, usually accompanied by a deposit of around 10% of the purchase price.
Notary Public: The final contract is executed in the presence of a notary public, who ensures that the transaction complies with Greek law. The notary will also register the property in your name at the local land registry.
Final Payments and Fees: Be prepared to pay additional fees, including notary fees, transfer tax (usually around 3%), and any applicable legal fees.
By following these steps and ensuring you have the necessary documentation, you can successfully navigate the process of buying property in Greece as a foreigner.
Navigating Financial Aspects of Buying Property in Greece for Foreigners
When purchasing property in Greece, understanding the financial implications is crucial for foreign buyers. Here’s a breakdown of the costs involved:
Property Purchase Tax: One of the primary costs is the property transfer tax, typically around 3% of the property’s market value. This tax is payable at the time of the transaction.
Notary and Legal Fees: Notary fees usually range from 1% to 2% of the purchase price. Additionally, legal fees for your lawyer can vary but generally fall between 1% and 2% of the property’s value.
Ongoing Costs: After purchasing, property owners must budget for ongoing costs such as property tax, which varies depending on the property’s location and size. Commonly, annual taxes range from 0.1% to 0.5% of the property value.
Utility and Maintenance Costs: Monthly utility bills (electricity, water, internet) should also be factored in, along with maintenance fees, particularly if the property is part of a condominium or shared complex.
Incentives for Foreign Investors: Greece offers attractive incentives for foreign investors through the Golden Visa program, which grants residency permits for real estate investments. For properties converted from commercial or industrial to residential use, a minimum investment of €250,000 applies, regardless of location in Greece. For standard residential properties, investment requirements differ: in Athens, Thessaloniki, and most Greek islands—including popular destinations like Ikaria, Lefkada, Naxos, Rhodes, Santorini, and Corfu—the minimum is €800,000, while in other regions of Greece, it is €400,000. These options make Greece appealing for investors seeking both residency and business opportunities.
By understanding these financial aspects, foreign buyers can better prepare for the total cost of ownership, ensuring a smoother and more informed property purchasing experience in Greece.
Greece Golden Visa Program
The Greek Golden Visa Program is a residency-by-investment scheme designed to attract foreign investors to Greece. Launched in 2013, this program allows non-EU citizens to obtain a residency permit by investing in real estate, providing an excellent opportunity for those seeking to live, work, or retire in Greece.
To qualify for the Golden Visa, applicants must invest a minimum of €250,000 in real estate. This relatively low threshold compared to similar programs in other countries has made Greece an attractive destination for property investors. The investment can be in residential or commercial properties, including land, and can include multiple properties as long as the total investment meets the minimum requirement.
The benefits of obtaining a Golden Visa are substantial. Successful applicants receive a five-year residency permit, which is renewable indefinitely as long as the investment is maintained. This permit allows holders to live in Greece and travel freely within the Schengen Zone without the need for additional visas.
Moreover, the program offers the potential for significant returns on investment due to Greece’s growing tourism sector and real estate market. The Golden Visa also opens doors for family members, as the permit can extend to the investor’s spouse, children, and even parents.
In summary, the Greek Golden Visa Program provides a unique pathway for foreign investors to gain residency while enjoying the benefits of living in one of Europe’s most beautiful and historically rich countries.
Frequently Asked Questions About the Best Places in Greece to Buy Property
The property buying process in Greece for foreigners generally takes between two to three months. This timeframe includes researching properties, securing financing, conducting legal checks, and finalizing contracts. A local real estate agent and lawyer can help streamline the process and ensure you meet all legal requirements efficiently.
Yes, property owners in Greece are subject to an annual property tax, known as ENFIA, which can range from 0.1% to 0.5% of the property’s value. Additionally, owners should consider utility costs, maintenance fees (if applicable), and any local taxes specific to their municipality.
Foreign property owners can access local financing, but terms may vary based on the lender. Many Greek banks offer mortgages to non-residents, typically covering up to 60% of the property’s value. It’s advisable for buyers to consult with local banks to understand specific requirements and conditions.
While property prices vary across Greece, some of the more affordable islands include Naxos and Thasos. These islands offer a range of budget-friendly options, making them attractive choices for foreign investors seeking economical real estate opportunities.
Yes, property owners in Greece are required to pay taxes on their real estate holdings. The primary tax is the annual ENFIA property tax, along with potential capital gains tax if the property is sold at a profit. It’s essential for buyers to consult with a tax advisor to understand their specific obligations.
Ready to Kickstart Your Greek Property Journey?
Greece offers an enticing opportunity for foreign investors looking to purchase property in some of the most picturesque locations in Europe. With welcoming regulations, the possibility of obtaining residency through the Golden Visa Program, and a diverse range of properties, now is the perfect time to explore this vibrant real estate market.
Understanding the buying process, financial implications, and local market nuances is crucial for making informed decisions. At Lexidy, we are here to guide you every step of the way. With our expertise, you can turn your dream of owning a property in Greece into a reality, ensuring a smooth and efficient experience.
Ready to take the first step on your Greek property journey? Fill out the form below to get started, and let’s make your real estate aspirations come true!
