The Greek real estate market has been experiencing a rollercoaster ride over the past decade. After reaching its peak in 2007, the market crashed and saw a steady decline for several years. However, in recent years, there has been a significant rebound in the market, with both residential and commercial properties experiencing growth. Let’s take a closer look at the numbers to understand the current state of the Greek real estate market.
According to data from the Bank of Greece, residential property prices increased by 8.2% in the second quarter of 2022 compared to the same period in 2021. This marks the seventh consecutive quarter of growth in residential property prices. Additionally, commercial property prices increased by 6.7% in the same period, following five consecutive quarters of growth.
These growth figures are supported by an increase in demand for real estate in Greece. Data from the Hellenic Statistical Authority shows that the number of property transactions in Greece increased by 46.8% in 2021 compared to the previous year. This trend has continued into 2022, with the number of property transactions in the first quarter of 2022 up by 27.3% compared to the same period in 2021.
Foreign investment is also contributing to the growth of the Greek real estate market. In 2021, foreign investors purchased over €1 billion worth of real estate in Greece, according to data from Enterprise Greece. This is a significant increase from the €712 million invested in 2020. The majority of foreign investors come from countries such as China, Russia, and Turkey, and are primarily interested in high-end residential and commercial properties.
The Greek government has also introduced several measures to support the real estate market. One of the most significant measures was the reduction of the transfer tax on real estate purchases from 3% to 1.5% in 2021. This has helped to reduce the costs associated with buying property in Greece, making it more attractive to both local and foreign buyers.
Overall, the Greek real estate market is experiencing a period of growth and recovery. The increasing demand for property, along with foreign investment and government support, is contributing to rising property prices and an increase in the number of property transactions. While the market is still in the process of recovering from the previous decade’s decline, the current numbers suggest that the Greek real estate market is moving in the right direction.
