You’re imagining your dream home in Greece: 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.
You can select from new off-plan homes, existing homes, apartments, villas, village homes, seaside homes, mountain homes, and more. The possibilities are endless, so we recommend taking time to think thoughtfully about your long-term goals. If you need help brainstorming, you can always contact us for a non-committal consultation.
If you want to get a feel for the market on your own, Elxis’s listings, and the websites Spitogatos and Xrisi Efkeria, which are also available in English, are a good place to start.
2. Go on a Viewing Trip
Nothing is more satisfying than actually viewing the property by yourself.
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.
For tips on scheduling a viewing trip, see our complete viewing trip guide. Note that it’s not a requirement to see the property in person before buying, and one popular alternative is a virtual viewing. However, we recommend seeing the property first, if possible, because how you feel while on the property is an important consideration, especially if you plan to spend a lot of time there.
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! Sellers usually start with a higher price, and buyers begin with an opening offer lower than what they are really willing to pay. It helps to ask your seller some thoughtful questions: How many prospective buyers are looking at the property? What goals do they have when buying a new home?
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. Just a reminder: our office as an in-house legal department with 7 lawyers specialised in property law.
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
You’ve just reached an agreement on the purchase price, and now you’re ready to sign a private purchase agreement (PPA). But what exactly is a 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.
The PPA is typically drafted by the seller’s and buyer’s lawyers, and then both parties are able to make amendments if they would like to adjust the terms.
Upon signature, the buyer pays a down payment to reserve the property. This is typically between 5% and 10% of the purchase price.
Step 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.
You can sign a POA either at the Greek Consulate in your home country or a local Public Notary Office in Greece.
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.
If you have given us a power of attorney, we can apply for the tax number on your behalf. Note that a Greek bank account is NOT a requirement for buying a home in Greece.
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.
After signing the deed, the notary hands over a copy of the deed to the buyer’s lawyer. The latter then ensures that this copy is filed with the Land Registry and/or the Hellenic Cadastre, depending on where the property is located. From this moment, i.e. as soon as the deed is entered in the public registers held by the Land Registry and/or the Hellenic Cadastre, the purchaser is formally the legal owner of the property.
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.
If the banks are located in different countries (Dutch to Greek bank, for example), there is typically a clause in the purchase deed that 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, the seller is entitled (provided the clause is in the notary deed) to take back ownership and to keep the down payment.
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.
Finally, after the contract signing, the property will be registered on the buyer’s E-9 tax form.
