Buying a Home in Greece – The Ultimate Guide
Everything you need to know about buying a house in Greece
- Last updated: 17/12/2024
Table of Contents
In this comprehensive guide to buying a home in Greece, we will cover the entire process of buying a home in Greece, including where to buy a home in Greece, what types of home you can buy in Greece, the documents needed, the legal process of buying a Greek home, and also frequently asked questions.
There are Dozens of Other Buyer’s Guides Online. What Makes this Guide Different?
Trustworthy
Elxis has over 30 years of experience buying, selling, and performing all legal procedures for the purchase and sale of properties in Greece. The information in this guide comes directly from our team of lawyers and real estate consultants, so you don’t need to think twice about the credibility of the information.
Up to Date
Most similar guides you will find on the internet have old information about tax rates, documentation, and legal processes. This buyer’s guide is continually updated as the rules and regulations in Greece change, so you don’t have to wonder if anything is out of date by the time you start your home search.
Optimized for English Speakers
Many similar guides are translated from Greek to English, and as a result, some of the meaning is lost in translation. This guide is written 100% by native English speakers and proofed by native Dutch and German speakers, so the information is clear and understandable, no matter where you’re reading from.
Part 1: Why To Buy a Home in Greece
There are many reasons to buy a home in Greece, including Greece’s great weather, low cost of real estate, low cost of living, health services, safety, and hospitality.
Greek Climate
The Greek weather is ideal, especially compared to climates in Holland, Germany, and Belgium. The days are long, and the evenings are warm. The climate is attractive to tourists and to expats in general, and it is one of the reasons why beachfront homes in Greece are so popular.
The weather in different areas of Greece can vary, with Athens having temperatures which can peak at over 30 degrees in the summer. Find out more about the Greek climate here. The warm Greek climate makes Greece ideal for renting out your home in Greece as well, because the summer season is so long.
Sea Views
Even larger nations, like India and Turkey, don’t have a coast as large as Greece. Greece has a coastline of 13,676 km, which is more than the coastlines of Spain, Portugal and France combined. There are beachfront homes in Greece and homes with a sea view in Greece in almost every region and corner of the country.
Some of the best places to have a sea view in Greece are the Peloponnese, Crete, the Aegean islands, and the Ionian coast. In many areas of Greece, if you knew where to look, you would have all the water to yourself.
With a home on the coast in Greece, you get access to Greece’s best beaches. A total of 581 Blue Flags certifying the quality of beaches have been awarded to Greece, ranking the country in second place globally when it comes to the amount of crystal-clear swimming waters it offers. So, if you buy a home near the coast in Greece, you will likely have a local Greek beach nearby.
Greek Islands
How many islands does Greece have? Greece has thousands of beautiful islands, each with its own characteristics, history and culture. When we hear the words “Greek islands”, usually Santorini and Mykonos are the first to come to mind, with images of blue-domed Orthodox churches and white and blue homes.
Greece has seven main groupings of islands: the Cyclades, the Sporades, the Dodecanese, the Saronikos Islands, the North Aegean Islands, the Ionian Islands, and the Big Two, Crete and Evia.
Some of the best-known islands are Rhodes and Kos in the Dodecanese, Corfu, Kefalonia and Zakynthos in the Ionian islands, Mykonos, Santorini, Paros and Naxos in the Cyclades archipelago, and Lesvos, Chios and Samos in the Northern Aegean. These are just a few of the most popular islands where you can buy a home in Greece.
Diverse Landscapes
Greece is full of diverse landscapes—clean beaches, rolling hills with olive groves, UNESCO Heritage Sites, impressive mountains, and quaint fishing villages. Something about the colour of the water, the view from Santorini’s caldera, the white and blue houses, and the old fishing boats in the port tells us that “yes, we are in Greece.” Greece also has impressive mountains and quaint mountain villages that you need to visit.
Greece has many World Heritage sites. Some of the most popular UNESCO sites in Greece are the Acropolis in Athens, the Archaeological Site of Delphi, the Sanctuary of Asclepius at Epidaurus, and the Monastery of Saint John and Cave of Apocalypse in Patmos. If you buy a home in Greece, you will be near Greece’s diverse nature and likely a historical site too.
Low Property Prices
Compared to home prices in many European countries with similar standards of living, a home in Greece is less expensive. For example, in the centre of Amsterdam, a single parking space is now worth up to 250,000 euros—the same price as some beachfront homes in Greece.
In fact, home prices in Greece are lower than most other European Mediterranean countries. Other popular destinations like Spain, France, Italy, and Croatia all have higher average home prices than Greece.
A container-type holiday house in the Netherlands can reach up to 300,000 euros, while properties with similar characteristics to those bought in Greece are selling for 600,000 euros, about twice as much. So, buying a home in Greece is a worthwhile investment.
Low Cost of Living
The cost of living in Greece is fairly low compared to the rest of Europe. Even major cities, like Athens and Thessaloniki, are affordable compared to Paris, Rome, or Amsterdam. This is especially true for rent.
Combined with rising real estate prices in Greece, real estate purchases can make you a big profit if you choose to rent out your property. Especially on islands like Crete, a long rental season means you can rent out your Greek home for up to 9 months per year.
Recent research shows that out of all islands in the Mediterranean, the Greek islands have some of the highest rental returns. The expected gross return, depending on your region of Greece, is between 4 and 7%, according to Global Property Guide and Spiti24. So, when you buy a home in Greece, you can expect to make a profit if you rent it out.
Golden Visa
The Golden Visa program in Greece is a residency-by-investment program. By purchasing real estate above a certain price in Greece, you are eligible to apply for the Golden Visa, which grants residency, visa-free travel in Europe (for 90 days every six months), and family inclusion.
The minimum investment required for a Golden Visa is 400,000 Euros for the Greek mainland and islands with less than 3,100 inhabitants and 800,000 Euros for Athens, Thessaloniki and all islands with more inhabitants.
For more details on how to get a Greek Golden Visa when you buy a home in Greece, see our complete guide to Golden Visa in Greece.
Low Taxes
Property taxes in Greece are lower than those in the US and many other countries in Europe. The tax system is fairly simple to navigate; you apply for a Greek tax identification number when purchasing a home in Greece, which can be managed online for property and other taxes. Low taxes in Greece are one financial advantage to buying a home in Greece.
Find out more in our complete guide to property tax in Greece.
Strict Building Codes
Unlike countries such as Spain and Turkey, Greek law prohibits the construction of mega-projects. Outside the village limits, a maximum of 200 sqm can be built on a plot that needs to be at least 4,000 sqm.
In the Greek countryside, a house may not be higher than 7.5 meters. As a result, there are no projects with hundreds of houses or flats in Greece, so you are more likely to have privacy and a beautiful view of the Mediterranean Sea.
Greek homes also must follow earthquake regulations, and Greece has strict safety requirements, which are defined by the Greek Seismic Regulation. You can be sure of your safety in your home in Greece.
In Greece, you cannot build on Natura 2000 land (where you will find endemic animals and plants) or on forest land. So, you can enjoy all of Greece’s natural beauty if you buy a home in Greece.
Greek Lifestyle
Greece is famous for its relaxed and healthy lifestyle, which is full of family, music, dance, and great food. It is no wonder that Greeks have some of the highest happiness rates in the world and on some islands like the Blue Zone of Ikaria, resident Greeks live the longest lives in the world.
Greeks are welcoming by nature, and it is easy to make friends when you are in Greece. The locals are outgoing, and it is common for Greeks to give greetings or even small gifts to foreigners when passing by. Especially in the smaller Greek islands and in Greece’s villages, you will feel like a part of the community. And last but not least, Greece has the highest percentage of English speakers of all Mediterranean countries.
Greek food is some of the best food in the world. The Greek diet is one of the healthiest and also the most delicious on the planet. Greek food is fresh and often comes from local sources. Popular dishes in Greece include pastitsio, spanakopita, baklava, mousakas, and tzatziki. When you buy a home in Greece, you have access to Greece’s great food and lifestyle every day of the year.
Part 2: Where to Buy a House in Greece
You want to buy a home in Greece. But you don’t know where. What regions in Greece are the best for buying a house? Which areas of Greece have sea views? Most importantly, what area of Greece is right for me? In this section, we’ll show you the most popular areas of Greece where you can buy a home.
Crete
Crete is Greece’s largest island and one of the most popular places for foreigners to buy a home in Greece. Crete has hot summers and mild winters, and it has one of the longest summer seasons to rent out your home. Crete has more beaches than any other island in Greece. The coastline stretches for 1046 kilometers. The beaches of Balos, Elafonissi, and Falasarna are some of the most popular beaches in Crete.
Crete has a wide variety of landscapes that are ideal for anyone who loves the outdoors. The island of Crete also has ancient ruins, gorges with steep cliffs, and a network of caves. Crete has a variety of activities, so you will never get bored.
In Chania and Heraklion, you can walk around the historical center and explore the history of the Venetian influence in Crete. For living, smaller towns like Vamos, Plakias, Elounda, or Agios Nikolaos are ideal for a slower pace of life.
Peloponnese
The Peloponnese is one of the most popular regions to buy a home in Greece. It is close to Athens, which offers good accessibility. It has many important archaeological sites, such as Olympia, Epidaurus, and Mycenae. As it is surrounded by coastline, it has the most beautiful beaches and waters.
The most exotic beaches in the Peloponnese are Elafonissos, a tiny island south of Laconia, with sandy beaches and pristine water. Mavrovouni beach in Gythio is also popular because of its long coastline and extensive facilities.
Due to its rich history, the Peloponnese is full of ancient, historic monuments. Five of these have UNESCO World Heritage status. Some of the most important places to see in the Peloponnese include Mycenae, Olympia, Epidaurus, Corinth, Nemea, Messene, Mystras, Monemvasia, Kalamata, Patras, Methoni and Koroni castles, and Nestor’s palace.
Ionian Islands
The Ionian Islands are located in the Ionian Sea, west of the Greek mainland and a small part off the Albanian coast. They are also called the ‘Heptanisa’, which in Greek means ‘seven islands’. The main islands in the Ionian chain are Corfu, Lefkas, Ithaka (also called Ithaki), Kefalonia, Paxi (also called Paxos), Zakynthos and Kythira.
Corfu
Corfu, also called Kerkyra, is a large island located west of the Greek mainland about 100 km from Italy. Corfu is beautifully green with impressive wooded mountains. It has picturesque villages and beautiful beaches, but one of the absolute highlights is Corfu Town.
Corfu Town is a UNESCO World Heritage site and has palaces, forts, cathedrals and mansions of the Venetians, English, Russians and Greeks. The food on Corfu includes local specialties pastitsada, sofrito, bourdeto, and also kumquat liqueur.
Lefkada
Lefkada, the so called “Caribbean of Greece” is another Ionian island that is gaining popularity as a place to buy a home in Greece. It is found on the western side of the Greek mainland and is reached by car via a bridge from Preveza.
Lefkada is known for its incredible beaches, pristine waters, monasteries, museums, and charming villages. Visiting Porto Katsiki is a must for visitors to Lefkada. It is one of the most popular beaches and perhaps one of the most photographed in all of Greece.
Zakynthos
This southernmost Ionian island is a great place to buy a home in Greece because it is one of the most exotic islands in Greece! Visit its spectacular beaches, where the protected Caretta Caretta turtles lay their eggs. Especially the white sand of Sekania is very popular for this.
Furthermore, you can visit the world famous ‘shipwrecked beach’ (Navagio Beach) with its huge white rocks and clear blue water. Vineyards are centuries old and produce up to 60 different types of grapes.
Aegean Islands
When we talk about the Aegean islands we are talking about a huge number of islands that span from the coast with Turkey all the way to Athens.
The most famous islands are the Sporades archipelago (Skiathos, Skopelos, Alonissos and Skyros), the Cyclades (Santorini, Mykonos, Naxos and Paros), the Dodecanese (a.o. Rhodes, Kos, Karpathos, Kalymnos, Patmos, Lipsi, Leros, Telendos, Nisyros, Symi, Halki(Chalki), and Kastelorizo), and the Saronic Islands (Poros, Salamis, Aegina and Agkistri, as well as Hydra and Spetses).
Chios
Chios is an island in the North Aegean that is popular for homebuyers in Greece because of its beaches and its mastic trees; the resin they produce (called ‘tears of the gods’) has a healing effect and is also delicious to eat and drink. In addition, the 20 medieval mastic villages are incredible works of art which are not to be missed.
The local cuisine of Chios has delicious natural and authentic flavours, beautiful cheeses, fruits, liqueurs, and wine.
Cycladic Islands
The Cyclades islands are the most popular Greek island group in Greece. The Cyclades include Mykonos, Santorini, and Paros. The Cyclades are visited by millions of tourists every year and are known for their stunning beaches, sunset views, historic windmills, and laid-back island lifestyle.
Located relatively close to Athens, the most popular islands of the Cyclades are Santorini, Mykonos, Paros, Naxos, Milos, Ios, and Koufonisia. If you buy a home in the Cycladic Islands and rent out your home, you will have a high return.
Dodecanese Islands
The Dodecanese islands are a Greek island group located on the southeastern side of the Aegean Sea, close to Turkey. The name Dodecanese means “the twelve islands” in Greek, as this is the number of the largest islands of the complex.
The most popular island of the Dodecanese chain is Rhodes, famous for its beautiful Old Town, wonderful beaches, and lush green nature. Very popular areas to buy a home in the Dedecannese are also Samos, Kos, and Karpathos, because they are small beautiful islands that are great for relaxing holidays.
Samos
Samos is a one of a kind island in the Eastern Aegean. It is known for its lush greenery, quaint villages, and stunning beaches. Uniquely, Samos is very close to the Turkish coast, so there are daily ferries to Kusadasi in Turkey. Samos is also a great place to hop to the nearby islands of Ikaria and Fourni. Samos is a popular pick to buy a home in Greece, especially for those who want peace and quiet.
Rhodes
Rhodes (or Rodos in Greek) is the largest of the Dodecanese islands and caters to all lifestyles. Rhodes is a great place to buy a home in Greece because of its medieval castles, stunning beachside villas, and rugged natural beauty. It has a 2,400 year history. Popular sights in Rhodes are the Acropolis of Lindos, the Valley of Butterflies, the Kallithea Springs, and the Monastery of Filerimos.
Karpathos
Karpathos is a narrow, long island that is unique for its wild beauty, magnificent beaches, and traditional hospitality. Unlike islands like Santorini and Mykonos, Karpathos is not heavily visited because it is farther from the mainland. In the south of Karpathos island, you will find Pigadia, the island’s capital. Karpathos is a great place to buy a home in Greece because of its laid-back Greek lifestyle and beautiful beaches.
Central Greece
Central Greece is a popular area to buy a home in Greece because it has charming villages, impressive mountains, delicious cuisine, and of course authentic Greek hospitality. A well-known site in Central Greece is the archaeological site of Delphi. Equally breathtaking is Meteora; an impressive area of large mountain peaks with on top a series of monasteries.
Finally, the beautiful Pelion peninsula is a must-see with its delightful mountain villages connected to the beaches. You can spend your days swimming at child-friendly beaches and relaxing on the sand. The mountain remains green year-round, but in the coldest months snow covers the top of Pilion and you can ski at the Agriolefkes ski resort.
Northern Greece
Northern Greece is a popular place to buy a home in Greece because it is one of the most diverse in cultural diversity and landscape. This area is also home to the country’s second largest city of Greece, Thessaloniki. In Vergina, you can see the tomb of King Philip the Second, the father of Alexander the Great. Kavala is a characteristic coastal town, where you can take a boat to the island of Thassos.
Halkidiki (sometimes spelled as Chalkidiki) is a peninsula in northern Greece which is found to the East of Thessaloniki. It is 120 kilometers long and has 3 “legs” which protrude into the Mediterranean Sea. With a home in Halkidiki, you are likely to have a sea view. On Halkidiki there are beach bars, nightclubs, and Byzantine monasteries. Halkidiki is also known for its great wine.
Part 3: What Can I Buy in Greece?
You now know the best reasons to buy a home in Greece and the best areas in Greece to buy a home. But now, you need to know what types of homes are available in Greece. Should I buy an existing home in the countryside? Should I buy an off-plan villa on an island?
Greece has a variety of building styles and architectures to choose from. In this section, we will explain your main choices and some things to keep in mind when choosing what kind of home to buy in Greece.
Existing vs. Off-Plan Homes
Off-Plan Homes
An off-plan home is a property that is sold before construction is started. In Greece, almost all new holiday homes are sold off-plan. Off-plan homes in Greece are typically built by new, up-and-coming architects who use minimalist designs.
Off-plan homes often rent more easily in comparison to something that was built 10 years ago. Off-plan homes are typically found on the outskirts of Greece’s picturesque villages. So the hospitality, local cuisine, and central squares so characteristic of the Greek lifestyle are never far away. Off-plan homes are brand new, and usually have the highest levels of energy efficiency.
Existing Homes
Existing homes are ideal if you like simplicity, a more rustic feel, and a feeling that you are living among the locals. They are typically furnished and often use the traditional building styles that tell a story about the people who lived there.
Golden Visas are given for completed properties. Existing homes are better than off-plan homes if you want a Golden Visa in a shorter amount of time. Unlike off-plan homes in Greece, the price of an existing home can usually be negotiated. Read more in our complete blog about the differences between off-plan and existing homes in Greece.
Building a Home in Greece
It is also possible to build your own home in Greece. There are a few important guidelines if you want to build your own home. For building land that is within the architectural plan of a town or village, there are few restrictions with regard to the building possibilities. However, as the owner of the land, you need to obtain information from an architect / civil engineer about what may and may not be built.
For building land that is located outside the city plan there are fairly strict restrictions. It is only allowed to build on lots outside the city plan if they have a surface area of at least 4,000 sqm. When building outside of the city plan, you will also need to confirm with the Archaeological Service that your land does not include an archaeological site.
Similarly, you will need to check with the Greek Forestry Service to confirm that the plot is not part of Greece’s protected forest areas. Read more about how to check if your home is on forest land here.
House, Villa or Apartment?
There are three main types of homes you can buy in Greece: Villas, Houses, and Apartments.
Villa
Many of the properties found on the Elxis website are villas, particularly the new projects. A villa is a luxury house. It is typically independent within a larger garden and has enough distance from the nearest neighbour to ensure privacy.
Villas in Greece are made with high-quality materials and sleek designs. They are usually one to two stories tall and sometimes include pools, outdoor sitting areas, and parking spaces. Most villas are found in upscale neighbourhoods.
House
Houses in Greece are stand-alone structures built on a private lot. In this category, there are the detached and semi-detached subcategories. Detached houses in Greece have of one or two levels of living space, and sometimes an underground area for storage and parking.
Semi-detached houses are often called maisonettes. The only difference with the detached house is that it is attached to another similar unit. The individual units share a common wall.
Apartment
An apartment is a private residence within a larger building. Apartments in Greece are found in main cities like Thessaloniki and Athens, but also on the Greek islands and in some village areas. The use of common facilities like hallways, the heating system, elevators, and the swimming pool are usually decided on by an association of owners. Building maintenance fees for costs like cleaning are usually split among the apartment owners.
Still can’t decide? Find the complete list of pros & cons for villas, home, and apartments in Greece here.
City vs. Countryside
City
Buying an apartment in a large city like Athens or Thessaloniki gives you access to all the services and unique opportunities found in a city. Buying in the city is usually cheaper than living in a detached home in the countryside. With an apartment in the city, you only have to manage interior spaces. So it is less expensive to maintain. Also, a city apartment can earn a good income, even if you don’t live there much of the year.
Countryside
Buying a house in the Greek countryside gives you access to the traditional side of Greece. You won’t find as many cars, so the sounds of car engines, horns, and air pollution will be limited. You will likely develop close bonds with your local baker, banker, pharmacist, or restaurant owner. Greece’s islands and villages also feature stunning landscapes and nature activities, like biking or hiking. Living in Greece’s countryside also means you will have more privacy.
What Determines the Price?
The most important factor in the price of a home in Greece is its location. Properties in tourist destinations, near a beach, or with a view of the Mediterranean Sea will generally be worth more. It’s also important to take into account the property’s age.
Older properties, as expected, are less expensive. Newer properties are more expensive (except for off-plan projects). Other price factors include architectural features and the home’s layout, the view position, recent maintenance, and whether it is furnished.
Some factors besides the home itself include interest rates and economic conditions. For example, in a seller’s market, homes usually sell more quickly in Greece, and in a buyer’s market, homes stay on the market for a longer time. A rise in short-term interest rates may also affect Greek banks and their ability to give loans to home buyers in Greece.
For a complete list of factors that affect home prices in Greece, read our full article here.
Prices Per Region
For the purposes of this article, we will focus just on the most popular areas of Greece to buy a home. The data here are from the Spitogatos property index, which tracks the average asking price (€/sqm) for houses in Greece. Spitogatos based these results on millions of property data points from all over Greece. For areas like Crete and the Peloponnese, we calculated an average based on the average property prices in the main towns in the area.
The highest prices are found in popular tourist areas like the Cyclades, Thessaloniki, and Athens. Relatively lower home prices are found in up-and-coming areas like the Ionian Islands, Crete, Rhodes, and Chalkidiki. The lowest average home prices in Greece are found in mountain regions on the mainland like Pieria, in Dodecanese islands like Samos, and in the Peloponnese.
These prices include all types of properties in Greece (apartments, detached homes, semi-detached homes, and villas). Homes of all ages are considered, whether they are new, state-of-the-art constructions, or traditional village homes that have been around for over half a century. When considering only luxury villas and detached homes, prices will likely be different.
Home Loans in Greece
Can I get a loan from a Greek bank to buy a home in Greece? In Greece, mortgage rates start around 3.0%, depending on the bank. For some (not all) Greek banks, you will need to be a Greek taxpayer, meaning you must have your tax residency in Greece to be eligible for a loan. You also may need to be present in Greece to sign the final documents for your loan.
For this reason, many buyers of a home in Greece choose alternate ways to finance a home in Greece. Other options include paying with available funds (the most common option), remortgaging a current property, or getting a loan in your home country. For more information about mortgage rates and loans in Greece, see our full article here.
Part 4: How to Buy a Home in Greece
In this section, we explain the steps to buying a home in Greece. You may be imagining your dream home: sunset views over the Mediterranean, Greek coffees on the balcony, dinners on the infinity pool terrace…
Your mind returns to reality, and you wonder about the logistics of buying a house in Greece. What kind of documents do I need to sign, and when? Do I need to negotiate my own price? Once I find a house, how do I know if it’s legal? In this article, we break down, step by step, the process of buying a home in Greece.
1. Search for Properties in Greece
Your first step, of course, is to identify the home in Greece you want to buy. This will depend on your long-term goals, budget, the region where you want to live, and whether you plan to use the home yourself or (mainly) for rentals.
2. Go on a Viewing Trip
After you have shortlisted some of your favourite properties in Greece, you need to physically visit them to get a better idea of the surroundings, conditions, and amenities. This will help you figure out how you will manage your commute to various locations and whether your ideal amenities are available in the area.
3. Agree on a Price
This stage can seem scary for first-time buyers. Price negotiations are a game – and a very serious one at that – so don’t take it too personally!
Real estate agents are good allies in this process because they understand real estate jargon and can realistically assess a property’s value. After a few rounds of counteroffers, you will likely end up at a price that satisfies both you and the seller.
4. Legal Due Diligence
You need a Greek lawyer for this step. The lawyer checks the ownership titles of the property and performs a thorough survey in the local Land Registry to ensure that the property is legally in order and can be sold. At this point, any encumbrances to the property, such as mortgages or third-party claims, are researched.
5. Sign a Private Purchase Agreement (PPA)
A PPA spells out the terms under which the buyer and seller agree to engage in the transfer of a property. It will look slightly different for every purchase. Once signed, this document places the buyer and seller under contract, and the house is taken off the market.
Upon signature, the buyer pays a down payment to reserve the property. This is typically between 5% and 10% of the purchase price.
6. Sign a Power of Attorney
The Power of Attorney (POA) is a key step in the process of buying a house in Greece. With a POA, your lawyer can represent you throughout the entire purchase process and take any necessary actions on your behalf, even when you’re not in Greece. For example, your lawyer will be able to obtain a Greek Tax Number and sign the final contract on your behalf.
7. Get a Greek Tax Number
Yes. To buy a property in Greece, you will need a local tax number — known as an AFM. This will give you access to the Greek TAXIS system online, where you will report and pay property taxes.
The procedure for obtaining it is quite simple. A tax number is issued free of charge by the Greek tax authorities on presentation of a valid identity document and after completing a special application form.
8. Both Parties Sign the Final Papers
The seller is required to submit a series of documents for the preparation of the final purchase deed by the notary. These include energy certificates, topographical diagrams, tax clearances, certificates from the municipality, and more. A complete list can be found in our selling guide.
Once all these documents are assembled, the notary prepares a property transfer tax declaration and submits it to the tax office. Once the buyer pays the transfer tax, the final purchase deed can be signed. At the meeting for the final signing, you’ll need to be there in person or send a legal representative in your place, whom you must have authorised by a power of attorney.
9. Complete the Payment
In most cases, the buyer pays on the day of signing. When the transaction is between two banks in the same country (Greek to Greek bank or Dutch to Dutch bank, for example), the money typically arrives at the seller on the same day.
Once the purchase sum is transferred and credited to the seller’s bank account, a discharge deed will be signed. Keep in mind as well that the exact terms and time frame will vary depending on the situation and any additional agreements made between seller and buyer.
Now that the final papers are signed, you now own a home in Greece!
The Role of All Parties Involved
The Lawyer
A lawyer is one of the most important and useful resources you can have as a foreign buyer of real estate in Greece. The lawyer helps you navigate many parts of the home purchase, especially the legal jargon that leaves you saying, “it’s all Greek to me.” The lawyer assists you with searching land titles, special permits, writing purchase agreements, and transferring ownership of the property. To find out more about the role of a lawyer in your home purchase, click here.
The Engineer
The engineer is part of many technical aspects of a property transfer in Greece, including processes related to energy ratings, zoning, and construction permits. For example, an engineer is necessary when obtaining a building permit, getting an electronic ID, and getting an energy rating. To learn more about the role of the engineer in your home purchase, click here.
The Notary
The notary has a more passive role in the real estate transaction when compared to notaries in other countries; they are the person from the Greek government who makes sure that the transaction happens as required by Greek law. A few of their roles in the process are sharing key documents and information, calculating transfer tax, and drawing up the purchase deed.
The Real Estate Agent
A real estate agent is a licensed professional who assists buyers and sellers in real estate transactions. They have a portfolio of properties and can arrange viewings. Moreover, they can advise on all matters regarding the purchase of a property in Greece, such as choosing the area and the type of property that suits you best, and on matters like taxation, local regulations and procedures. Once you’ve found a suitable property, they can assist in the negotiations with the seller.
The Accountant
It is important to hire an accountant to help you with tax returns once you own a home in Greece. It doesn’t matter if you will live in Greece or in another country. It will still be necessary to have an accountant.
The accountant submits yearly tax statements, guides you on payment of taxes (income tax, property tax, etc.) and informs you on any tax matter related to ownership of property in Greece. Just after the home purchase is completed, the accountant is the one who declares the property in your E9 form.
Part 5: Costs of Buying a Home in Greece
Transfer Tax
This tax is paid by the buyer and amounts to 3.09 percent of the purchase price of the home or its taxable value, whichever is higher.
Notary Fees
The notary prepares the deed which is signed in the presence of the parties or their lawyers, if appointed. Notaries normally charge about 2% of the sales price (plus VAT), or the tax value of the property, again whichever is higher.
Land Registry Fees
Following the signing of the deed, the notary prepares an application and a summary of the deed signed to be sent and registered at the local land registry. The land registry fees due amount to about 0.5% of the property sold.
Lawyer’s Costs
It is not obligatory to have a lawyer take part in the process, though it is highly recommended to have a legal expert check over what exactly it is that you are buying and to guide you through the whole process. Their fees range between 1-2% (plus VAT), depending on the provided services.
Real Estate Agent’s Commission
The commission is due if a real estate agent is involved in the sale. Most agencies charge a commission that ranges between 2-4% of the agreed purchase price (plus VAT).
Internet & Utility Fees
On average, you can expect to pay around 20-35 Euros for internet monthly. For an 85 sqm apartment, you’ll pay between €150-300 for utilities, such as electricity, gas, and water. This number will vary based on the size of your house, the season, and your usage.
Home Insurance
Greek law does not require home insurance, so insuring your property is not mandatory but is surely recommended. If you are the owner of a new development, note that the construction company’s insurance has probably expired on the date of delivery.
For a home of 80 square meters, you can expect to pay about 130-200 euros per year. Similarly, for a larger house of 135 square meters, the insurance would cost about 230-300 euros per year. The price can increase or decrease based on the year in which the house was built. Newer constructions typically offer better value.
Pool & Garden
Maintaining a pool and garden can cost between 150 and 350 euros per month. Of course, these costs can change based on the style of the pool and the size of the garden.
Annual Upkeep
Most homes in Greece (and anywhere else, for that matter) require updates like painting, polishing, and repairing over the course of years of use. In Greece, it is recommended to repaint pergolas or wooden items which are exposed to the sun, so that they continue looking like new. Costs for annual upkeep can vary from 1,000 to 4,000 euros per year, depending on the quality of construction and furniture.
For a complete explanation of buying costs, see here.
Part 6: Renting Out a Home in Greece
I bought a home in Greece (or I’m fantasizing about buying one) and I want to rent it out. What does it take to rent out a home in Greece? What taxes will I pay and what income can I expect? Can I hire someone to help me rent out my home in Greece? All of your questions are answered in the following section.
Expected Income on a Rental Home in Greece
The rental income of a home in Greece varies greatly based on the region of Greece where the home is located. Important factors determining the price of renting include sea views, distance from tourist sites, walkability, distance from the airport, date of construction, and the outdoor/pool area.
Depending on the villa, its finishes, and its furniture, a villa can be rented in the high season for roughly 80-120€ per night per bedroom. There are various rental management companies which charge 10-30% commission, depending on the services that are included (ie. Housekeeping, pool and garden cleaning, guest communication, marketing and tax registration).
Taxes on Rental Homes in Greece
If you plan on renting out your property, you will need to pay tax on rental income in Greece. For individuals, progressive tax rates apply to rental income and are calculated per owner on the gross rental income of the property.
- Up to a rental income of €12,000: 15%
- Between €12,001 & €35,000: 35%
- Greater than €35,000: 45%
Benefits of Co-Ownership
In general, it benefits couples to buy with two names rather than one, because the above tax rates apply per owner.
With two buyers, the tax brackets are as follows:
- Up to a rental income of €24,000: 15%
- Between €24,001 & €70,000: 35%
- Greater than €70,000: 45%
Rental Best Practices
These tips will help you get the most out of your rental property in Greece if you plan to rent it out yourself without the use of a rental management company.
Price for Profit
Price for profit, not for occupancy. Pick a realistic price and know that a high-quality, higher-priced rental is easier to manage in the long term. Look at the competition to see what they charge, and figure out what makes your property unique. You can use your unique selling point to sell at a higher price compared to the competition. Some examples are designer electronics, luxury linens, services like a housekeeper, concierge, or anything that makes your rental unique.
Be Specific
Give your guests as much information as possible without boring them. Describe not just the rooms but also the condition they are in. If potential guests send you inquiries, take note of what they ask. Are they asking about local beaches? About restaurants nearby? About where to park? All these questions need to be answered in your description.
Visit Regularly
Every few weeks, take 20 minutes to visit your property and see what condition it is in. Regular inspections are good because they can help you find problems before they grow. In addition, buy luxury and high-quality items. What used to be considered a luxury item—like Nespresso capsules, high-thread linens, and entertainment systems—are now the expected norm.
Get Professional Photos
Hiring a professional photographer is probably the best investment you can make. They have the right equipment and knowledge to give you the best results. Remember that according to studies, professional-quality photos can make your property sell 32% faster compared to low quality pictures. If you prefer to take photos yourself, here are the best tips for taking your own high-quality property photos.
Rental Management Companies
Renting out your property in Greece is a smart investment and can be a great source of income. It comes with responsibilities, though. You need to market your rental, take applications, do accounting, and make repairs. If you don’t like the idea of all the extra work, you should hire a property manager.
Working with a property management company saves you from many headaches – screening tenants, doing inspections, and organizing repairs are just a few examples. Using a property management company in Greece also improves tenant retention, saves money on repairs, and helps you market your home.
Notos Estate Management
One example of a high-quality property management company is Notos Estate Management.
Notos is known for its 5-star service, offering top-notch rental management services for private villa owners in Crete. Working with a property management company like Notos can drastically improve your return on investment on your property in Greece.
Part 7: Selling a Home in Greece
In this section of the guide, we tell you the basic process of selling your home in Greece, from the documents required, cooperation with third parties, and the process of signing the purchase agreement. This section is similar to the step-by-step buying process we outlined earlier in the article. This time, however, you will see the process from the seller’s perspective.
1. Prepare Your Documentation
This is one of the best ways to speed up the process of selling a home in Greece. Start to assemble your documents at an early date. You can also have a lawyer do some of this work for you. As part of your documentation, you’ll need:
– The deed of the property
– Topographical plan of the property
– Energy Performance Certificate (EPC)
– Building Permit
– Proof of Registration
– Copies of your personal ID
– Front and back of electricity bill
– E-9 tax form
2. Find an Estate Agent
It’s not absolutely necessary to have an estate agent in Greece, but it’s certainly helpful. Real estate agents save you time, have local market knowledge, have access to a large client base and can help manage viewings of your property.
Estate agents can also help determine how much to sell your home for. Real estate agents can also connect you to a civil engineer, Greek notary, or lawyer.
3. Clean your Home
This might seem common sense, but it’s a big factor in selling a home in Greece. Rooms like the bathroom and the bedroom are given close attention by buyers, and the smell and cleanliness of a home play a major role in buyer decisions. Naturally, it also makes sense to make any necessary renovations before you put the home on the market.
4. Negotiate the Price
This stage can seem daunting for first-time sellers. Price negotiations are a game – and a very serious one at that – so don’t take it too personally! It helps to ask some thoughtful questions to your buyer – what other properties are they looking at? What goals do they have when buying a new home?
Real estate agents are a good ally in this process because they understand real estate jargon and can realistically assess the value of a property. When you make your second offer as a seller, conventional wisdom says that you should land on a specific number.
5. Sign a Private Purchase Agreement
You’ve just accepted an offer, and now you’re ready to sign a private purchase agreement (PPA). A PPA spells out the terms under which the buyer and seller agree to engage in the transaction of a property. It will look slightly different for every sale. Once signed, this document places the buyer and seller under contract, and the house is taken off the market.
Upon signature, the buyer pays to reserve the property with a down payment. This is typically between 5% and 10% of the purchase price and is lost if the buyer backs out of the contract at any point. If the seller backs out, however, the seller may be required to pay twice the deposit amount paid by the buyer.
6. Prepare the Notary Purchase Deed
For the preparation of the notary purchase deed, the seller must hire an engineer to check that the permit and the topographical plan match what is on the deed and what the home looks like in reality.
The notary also often checks at this point whether or not the seller has any debts to the state.
You must have the following documents for the signing of the notary sales deed:
1. Title Deed
2. ID Card copy and tax assessment
3. ENFIA Certificate
4. Tax Clearance Certificate
5. Social Insurance Clearance Certificate
6. Energy Performance Certificate
7. Electronic Building ID and topographic plan
8. Municipality Property Tax Certificate (TAP)
9. Cadastral diagram extract and copy of cadastral sheet
7. Both Parties Sign the Final Papers
The notary leads the process of getting a property transfer tax declaration ready and submitting it to the tax office. Once the buyer pays the transfer tax, the final contract can be signed. At the meeting for the final signing, you’ll need to be there in person or send a legal representative in your place, whom you must have authorised by a power of attorney. In most cases, this would be your lawyer.
8. Collect Payment
When collecting payment, the seller is entitled to collect on the day of signing. This is the most common, and occurs typically when the transaction is between two banks in the same country (Greek to Greek bank, or Dutch to Dutch bank, for example). For FAQ’s about Greek bank accounts, see the full guide here.
In the case that the banks are located in different countries (Dutch to Greek bank, for example), there is typically a clause in the purchase deed which allows the buyer to pay the purchase sum within 10 working days of signing. In the unlikely event that the buyer does not pay within 10 days, you are entitled as a seller (provided the clause is in the notary deed) to take back ownership and to keep the down payment.
With this final step complete, your home is sold. Congratulations!
Part 8: Inheritance Law
Have you inherited Greek real estate property (or plan to inherit in the future), and are you wondering what the related legislation is? In this section, we tell you everything you need to know about inheriting a home in Greece.
How is Real Estate Property From Abroad Inherited?
As a general rule, inheritance relations are governed by the law of the nationality/citizenship of the deceased at the time of death.
The first defining factor in the inheritance procedure is the existence of a will. In the case the deceased testator had drafted a will, the relevant applicable law may be defined in that will. Generally and in most cases, the testator chooses the law of their own nationality/citizenship.
For example, a Dutch will governing Greek real estate property and drawn up by a Dutch citizen is valid in Greece. The acceptance of the inheritance by the heirs needs to be handled by a Greek notary, but who is inheriting what will be determined by Dutch law.
What Happens if There is No Will?
In the absence of a will, the law applicable to the inheritance shall be, in the vast majority of cases, the law of the State in which the deceased had their last habitual residence at the time of death.
For example, in the case of a Dutch woman married to a European man of any nationality and residing habitually in the Netherlands, Dutch law will be applicable.
How is Greek Real Estate Property Inherited When the Heirs Live Abroad?
In Greece, real estate property has to be passed to the heirs by means of a notarial deed of inheritance acceptance. The heirs need to obtain a Greek tax number (“AFM”).
They also have to provide to the Greek notary a Death Certificate, as well as a Certificate of Inheritance Rights, mostly drawn up by a public notary in the State of the nationality of the deceased, bearing an Apostille stamp, in an official translation in Greek.
The notary then files an inheritance tax declaration, and the Taxation Office calculates the inheritance tax. In most cases, there is no or very little inheritance tax when real estate property is passed to close relatives.
Do I Need to Be In Greece to Accept Inheritance?
No! One does not need to travel and be physically present in Greece to accept an inherited estate. It is necessary, however, that a Power of Attorney is signed, which would authorize the Elxis lawyers to represent the interests of the heir(s).
Is There Double Taxation?
Many European countries have signed bilateral treaties in order to prevent conflicts in double taxation. This means that if the property in question is located abroad, you might be exempt from inheritance tax in your country of residence. Please consult a reliable tax consultant in your country of residence on this matter.
Part 9: About Elxis – At Home in Greece
Elxis – At Home in Greece has over 30 years of experience in buying and selling properties in Greece. We assist both with viewings, property evaluations, preparing the necessary paperwork, and the legal services listed above that are required for the property transfer.
With a team of in-house lawyers, we have in-depth knowledge of Greek law and a large network throughout Greece, on both the mainland and the islands. We have also been working with a number of reliable (local) partners for years. So we can guide you professionally in every phase and in every issue of buying your home.
During the purchase process, we will regularly keep you informed about the progress of the sale. If you are considering buying a second home in Greece, or selling your existing home in Greece, don’t hesitate to contact us, we are happy to share our knowledge and experience with you!
