6 Contract Negotiation Points when selling Greek Property

1. Set clear payment schedule and deposit terms

The payment structure is the backbone of your sale contract. In Greece, the buyer typically pays a deposit of 5-10% of the purchase price upon signing the Private Purchase Agreement (PPA). This reserves the property and takes it off the market.

It is worth knowing how the deposit works in practice: if the buyer withdraws after signing, they lose the deposit. If the seller withdraws, they may be required to return the deposit and pay a penalty equal to the same amount. This is standard under Greek property law and provides meaningful protection for both parties.

Subsequent payments should be tied to specific milestones, mortgage approval, completion of agreed repairs, or final signing at the notary. Make sure the contract specifies exact amounts, dates, and the conditions under which payments are released.

2. Define property condition and inspection rights

Property condition clauses establish clear expectations about the state of the property at the point of completion. For international sellers managing their property remotely, this is particularly important, vacancy periods can lead to maintenance issues that surface at an inconvenient moment.

The contract should specify the timeframe within which the buyer must complete their property inspection, and this should be agreed between both parties before signing the PPA. Setting clear monetary thresholds for repair obligations helps avoid disputes over minor issues that could otherwise delay or derail the transaction.

3. Include comprehensive title guarantee clauses

Title complications are one of the more significant risks in Greek property transactions. Historical irregularities in property records, undisclosed mortgages, tax liens, building permit issues, boundary disputes, can surface during the conveyancing process and create serious problems if the contract doesn't address them properly.

Your contract should make completion conditional on the seller providing clear, marketable title, free from all encumbrances except those already disclosed and accepted by the buyer. It should also specify the remedies available to the buyer if a title problem prevents completion, including deposit return and reimbursement of expenses.

Your lawyer will carry out a thorough search of the Land Registry as part of due diligence, this is a standard step in any Greek property transaction and the right point at which to surface any issues before contracts are signed.

4. Structure financing contingency clauses carefully

If your buyer is financing the purchase through a mortgage, the contract needs to address what happens if their financing falls through. Greek banks can be slow, and international buyers sometimes face additional hurdles in securing financing.

The contract should set a clear deadline for mortgage approval. International buyers face additional steps, document translation, Apostille stamps, multiple bank visits, so build in a realistic timeframe and resist the temptation to make it too tight. It should specify exactly what documentation the buyer must provide to demonstrate their financing efforts, and distinguish between different reasons for financing failure.

If the buyer loses their financing due to their own changed circumstances, the deposit should be forfeited. If there are exceptional market conditions outside the buyer's control, more flexible arrangements may be worth considering, but these should be clearly defined in the contract rather than left open to interpretation.

5. Be clear on fees and who pays what

Greek property transactions involve several costs, and it is important to understand which are fixed by law and which are negotiable.

Transfer tax, currently 3.09% of the purchase price or taxable value, whichever is higher, is paid by the buyer. Notary fees (approximately 2,0% of the sales price plus VAT) and land registry fees (approximately 0.5%) are also typically buyer costs under standard Greek practice.

Where there is more room for negotiation is in areas like agreed repairs, inclusions such as furniture or appliances, and the allocation of agent commissions. Be specific in the contract about what is included in the sale and what is not, as vague language here is a common source of disputes at completion.

6. Plan for complications and exit scenarios

Even well-prepared transactions can run into problems. Termination clauses and dispute resolution mechanisms give both parties a clear path forward when things don't go as planned.

The contract should address specific scenarios, buyer financing failure, seller inability to provide clear title, significant property damage between signing and completion, and specify the remedy for each. Vague language here tends to favour whoever is willing to argue loudest; clarity protects both parties.

For dispute resolution, consider including a mediation requirement before either party can resort to litigation. Greek court proceedings can be lengthy, and a structured mediation step often resolves disputes faster and at significantly lower cost.

Bear in mind that Greek bureaucratic processes can extend transaction timelines significantly. Build appropriate buffers into the contract for document preparation, notary scheduling, and any authentication requirements, particularly if you are completing the sale remotely via power of attorney.

For a full overview of the selling process, including the documents required and the steps involved, see our Guide to selling your home in Greece. If you would like to discuss your specific situation, feel free to contact our team.

Disclaimer: This content is for informational purposes only and does not constitute legal or tax advice. For matters specific to your situation, we recommend consulting a lawyer, accountant, or notary as appropriate.