How to Start Real Estate Investment in Greece

Real estate has always been one of the most reliable ways to build wealth, generate passive income, and secure long-term financial growth. Greece, with its breathtaking islands, thriving tourism industry, and affordable property prices, has become one of the hottest destinations for investors around the world.

Whether you are seeking a holiday home, rental income, or long-term capital appreciation, Greece offers a wealth of opportunities.However, for beginners, stepping into the Greek property market can feel overwhelming.

From understanding the market to navigating the legal process, knowing where to start is essential. This guide by Roots Realty walks you through the steps on how to start real estate investment in Greece with confidence.

Why Invest in Greece?

Before starting your investment journey, it’s important to understand why Greece is such an attractive destination for real estate.

• Affordability: Compared to other Mediterranean countries like Spain, Italy, and France, Greece still offers some of the lowest property prices.

• Tourism Demand: With millions of international tourists each year, vacation rentals are in constant demand, especially on popular islands and in major cities.

• Golden Visa Program: Non-EU citizens who invest at least €250,000 in property can obtain residency, which also allows visa-free travel across the Schengen Zone.

• Lifestyle Benefits: Greece provides not just financial rewards but also a high-quality lifestyle filled with sunshine, Mediterranean cuisine, and cultural richness.

• Long-Term Growth: The real estate market has been steadily recovering and growing, creating strong prospects for long-term value appreciation.

Step 1: Define Your Investment Goals

Every successful investment begins with a clear goal. Ask yourself:

• Are you buying for personal use (like a vacation home or retirement property)?

• Are you aiming for rental income (short-term holiday rentals or long-term tenants)?

• Or are you seeking long-term capital appreciation by holding property until values rise?

Your investment goal will determine the type of property, location, and budget that best suits your needs.

Step 2: Choose the Right Location

Greece offers a wide variety of locations, each with unique benefits. Some areas are ideal for steady rental income, while others are better for lifestyle or long-term appreciation.

• Athens: Affordable apartments with high rental demand from tourists, students, and digital nomads.

• Thessaloniki: A cultural hub with budget-friendly properties and a strong student population.

• Crete: A large island offering both affordable village homes and profitable tourist rentals.

• Rhodes: Known for its long tourist season, making it great for holiday rentals.

• Corfu: Popular with international buyers, especially for vacation homes.

• Santorini & Mykonos: Prestigious but more expensive, perfect for high-end luxury investments.

• Peloponnese: A hidden gem with affordable properties and growing popularity among tourists.

As a first-time investor, it may be wise to start in more affordable yet growing markets like Athens, Thessaloniki, or Crete.

Step 3: Set a Budget and Explore Financing Options

Having a clear budget is crucial. Greece offers properties ranging from under €100,000 in smaller towns to multimillion-euro luxury villas on famous islands.

Foreign investors should also be aware of financing options:

• Cash Purchases: Most international buyers purchase properties outright to avoid complex financing.

• Local Bank Loans: Some Greek banks provide mortgages to foreign buyers, but requirements can be strict.

• Additional Costs: Always budget for legal fees, notary costs, property taxes, and potential renovations (around 10–15% of the property price).

Step 4: Work with Local Experts

Real estate investment in a foreign country requires professional guidance. Teaming up with local experts ensures smooth transactions and helps avoid costly mistakes.

• Real Estate Agents: They help find suitable properties and negotiate deals.

• Lawyers: A Greek lawyer will conduct property checks, review contracts, and ensure the property has no legal issues.

• Notaries: Notary involvement is mandatory in property transactions in Greece.

• Accountants: They can assist with tax matters and setting up a Greek tax number.

Working with trusted professionals protects your investment and gives you peace of mind.

Step 5: Understand the Legal Process

Buying property in Greece involves several legal steps. Here’s an overview:

1. Obtain a Tax Identification Number (AFM): Every buyer must get a Greek tax number.

2. Open a Local Bank Account: Needed for property transactions and payments.

3. Conduct Property Due Diligence: Your lawyer checks ownership rights, debts, and legal status of the property.

4. Sign Preliminary Agreement: A contract may be signed with a small deposit to reserve the property.

5. Final Contract & Transfer of Ownership: The notary prepares the contract, and upon signing, ownership is transferred.

6. Register the Property: The property is officially registered in your name at the Land Registry or Cadastre.

Step 6: Explore the Golden Visa Option

If you are a non-EU citizen, Greece’s Golden Visa program is one of the most attractive in Europe. By investing at least €250,000 in real estate, you and your family can gain residency rights.

Benefits include:

• Residency for the investor and immediate family members.

• Visa-free travel across the Schengen Zone.

• No requirement to live permanently in Greece to maintain the residency.

• Potential pathway to citizenship after several years.

This program makes Greece especially appealing for investors from outside the EU who want both lifestyle and mobility benefits.

Step 7: Plan for Rental Income

Many investors in Greece maximize returns through rental income. There are two main approaches:

• Short-Term Rentals: Popular on islands and in cities with high tourist demand. Platforms like Airbnb and Booking.com make this easy and profitable.

• Long-Term Rentals: Suitable for cities like Athens and Thessaloniki with student populations and growing numbers of expats and digital nomads.

Before renting, investors must register with the tax authorities and comply with regulations. Partnering with a local property management company can make the process easier.

Step 8: Stay Informed About Taxes and Regulations

Taxes and legal responsibilities are an essential part of real estate investment. Investors should be aware of:

• Property Transfer Tax: Usually around 3% of the property value.

• Annual Property Tax (ENFIA): Based on the property’s size and location.

• Rental Income Tax: Progressive rates apply depending on rental income levels.

• Capital Gains Tax: May apply when selling property.

Staying updated and working with an accountant ensures compliance with Greek tax laws.

Step 9: Think Long-Term

While rental income and short-term gains are attractive, the true value of real estate lies in long-term appreciation. Greece’s real estate market is still growing, and with increasing foreign investment, infrastructure improvements, and booming tourism, property values are expected to rise steadily.

Investors who enter the market now can secure affordable properties and watch their investments grow over the coming years.

Wrap Up

Starting real estate investment in Greece can be one of the most rewarding financial decisions. With affordable prices, strong rental demand, and a lifestyle that blends beauty and culture, Greece offers something for every type of investor.

By defining your goals, choosing the right location, working with local experts, and understanding the legal process, you can confidently step into the Greek property market. Whether your aim is rental income, residency through the Golden Visa, or long-term value appreciation, Greece opens the door to a world of opportunities.

For first-time investors, the key is to plan carefully, research thoroughly, and think long-term. In doing so, you won’t just be buying property—you’ll be investing in a future filled with both financial rewards and the joys of Mediterranean living.