Looking at the “Greek crisis” and the current refugee situation, you may ask yourself, if Greece is a safe place for real estate investment.
Well, besides being a modern democratic European state, Greece is a country with a very strong tradition towards own property. More than 80 per cent of the Greeks own their homes. They were never deprived from their properties, unlike most of the other Balkan peoples during the communist era. Greek constitution, courts and authorities fully respect property rights – which makes Greece a very safe place to invest in property.
Some additional insights that may be interesting for you:
Who can invest in Greece?
Greek laws allow foreigners to own properties in most areas of Greece. Restrictions apply for non-EU citizens who wish to buy in border areas (East Aegean, Dodecanese islands, regions of Northern Greece, Crete, Rhodes). Non-EU citizens who wish to buy property or rent it for a period over six years in border areas, have to apply to the authorities.
How easy is it to invest in Greek property?
The procedure for buying real estate property in Greece is fast and simple. The law requires three legal professionals involved: a lawyer, to investigate for the property, a notary public to draw the contract and a registrar to register it officially to the local mortgage office.
All property titles in Greece are kept on the mortgage offices of each municipality, according to the alphabetical order of the names of the owners.
What about taxation?
The general transfer tax currently is 8-10%. Additionally, Greek VAT (23%) is to be paid upon the purchase of newly built houses.
How high is the annual taxation on the possession of property?
There is an annual state Property Tax at the rate of 2 o/oo to 2 o/o on owned property – except off-plan building land. Also owners have to pay a local annual Municipality Rate of up to 0,35 o/oo – collected mainly through the electricity bills.