Banking Setup

• Opening a Greek Bank Account: Increasingly streamlined for foreign investors, typically requiring:
  • Passport and proof of identity
  • Greek Tax Number (AFM)
  • Proof of address in home country
  • Source of funds documentation
  • In some cases, reference letters
• Recommended Banks: Alpha Bank, Eurobank, National Bank of Greece, and Piraeus Bank have the most experience with foreign clients and offer varying levels of English-language services.
• Online Banking: Most major Greek banks now offer comprehensive online and mobile banking options in English, making remote account management more accessible.
• Required for: Property purchases, tax payments, utility bills, and local expense management.

While opening an account is straightforward for EU citizens, non-EU investors may face additional documentation requirements due to enhanced due diligence procedures. Your legal representative can often facilitate introductions to bank managers experienced with foreign clients.

Financing Options

While most foreign investors historically used cash purchases, Greek mortgage options are increasingly available:

1. Greek Mortgage Financing: Now more accessible for foreigners, with requirements including:
   • Maximum 70-80% loan-to-value ratio for residents (40-60% for non-residents)
   • Proof of stable income, typically 30-40% debt-to-income ratio
   • Comprehensive income documentation and credit history
   • Life and property insurance
   • Interest rates typically 3.5-5.5% (as of April 2025)
2. Developer Financing: Increasingly common for new developments with terms including:
   • 20-40% down payment
   • 3-5 year financing terms
   • Interest rates of 4-7%
   • More flexible qualification criteria than traditional banks
3. Home Country Financing: Many North American investors leverage equity in their home country:
   • Home equity loans or lines of credit
   • Investment portfolio-backed loans
   • Potentially lower interest rates than Greek financing
   • Familiar lending process

Greek banks have significantly improved their financing options for foreign investors as the property market has recovered, though terms remain more conservative than pre-crisis standards. Cash purchases still account for approximately 80% of foreign property investments in Greece.

Currency Management

As a Eurozone country, Greece uses the Euro (€), creating both advantages and considerations:

• Exchange Rate Considerations: Monitor EUR/USD trends to identify favorable exchange windows
• Currency Services: Specialized services like Wise, OFX, or Revolut typically offer better rates than traditional banks
• Documentation: Maintain clear records of all international transfers for tax compliance
• Forward Contracting: Consider forward contracts for large purchases to lock in exchange rates
• Timing Strategy: For larger purchases, consider transferring funds in stages to average exchange rate fluctuations

Greece has no foreign exchange restrictions for EU residents. Non-EU residents may need to provide documentation proving the legitimate source of funds for large transactions, but there are no restrictions on transferring proceeds from property sales back to your home country.

Property Search Resources

• Online Platforms:
  • Spitogatos.gr – Greece’s largest property portal
  • Xe.gr – Comprehensive classified listings
  • Greekpropertyexchange.com – English-language platform for foreign buyers
  • RE/MAX, Engel & Völkers, Sotheby’s – International agencies with Greek offices
• Real Estate Agencies:
  • Local agencies with international divisions
  • Specialized agencies focusing on specific islands or regions
  • Golden Visa specialists for investment-focused purchases
• Developer Direct: For new construction and pre-construction opportunities
• Property Auction Platforms: E-auction.gr for bank foreclosure opportunities (requires local expertise)
• Network Referrals: Lawyers, accountants, and other foreign investors often have valuable connections

Property Viewing Trip Planning

Organize an effective property viewing trip:

1. Pre-Trip Research: Identify 10-15 potential properties before arrival
2. Trip Duration: Plan at least 5-7 days per region being considered
3. Local Agent: Work with a bilingual agent experienced with foreign buyers
4. Seasonal Consideration: For tourist areas, try to visit in both high and low seasons
5. Property Shortlisting: Visit 8-10 properties to develop market understanding
6. Second Viewings: Return to top choices for more detailed inspection
7. Local Amenities: Visit grocery stores, restaurants, and other facilities nearby
8. Transportation Test: Evaluate access and connectivity to key locations
9. Community Immersion: Spend time in the neighborhood at different times of day

For remote or island properties, factor in additional travel time between viewings. Ferry schedules and road conditions can significantly impact viewing efficiency, particularly in less developed areas.

Property Evaluation Criteria

Assess potential investments using these key criteria:

• Location Factors:
  • Proximity to amenities, beaches, or tourist attractions
  • Transportation infrastructure and accessibility
  • Neighborhood safety and character
  • Development plans and infrastructure projects
  • Seasonal population fluctuations
• Building Quality:
  • Construction quality and seismic standards
  • Age and condition of property
  • Building systems (heating, cooling, electrical)
  • Energy efficiency rating (required for all properties)
  • Legal status of any modifications or additions
• Rental Potential:
  • Historical occupancy rates in the area
  • Seasonal demand patterns
  • Short-term rental regulations in the specific location
  • Competitive rental inventory
  • Target tenant profile availability
• Financial Considerations:
  • Price per square meter compared to area averages
  • Annual property taxes (ENFIA)
  • Common expenses for apartments
  • Renovation requirements and costs
  • Potential capital appreciation based on local trends

Expert Tip: When evaluating renovation properties (particularly common in historic areas or islands), factor in the additional time and complexity that renovations entail in Greece. Building permits can take 3-6 months to obtain, skilled labor may be seasonally limited on islands, and historical protection zones may impose specific requirements. Always have a technical advisor or architect evaluate the property before purchase to identify any potential issues with utilities, structural integrity, or permit requirements.

Legal Due Diligence

• ✓
  Title Verification: Obtain property certificates from Land Registry and/or Cadastre
• ✓
  Encumbrance Check: Verify no mortgages, liens, or legal claims against the property
• ✓
  Building Legality: Confirm all construction has proper permits and certifications
• ✓
  Property Tax Status: Verify all property taxes (ENFIA) are paid and current
• ✓
  Zoning Compliance: Check land use regulations and building coefficients
• ✓
  Forestry/Coastal Zone Status: Verify property is not within protected zones
• ✓
  Archaeological Restrictions: Check for potential archaeological site restrictions
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  Utility Verification: Ensure no unpaid utility bills and confirm utility availability
• ✓
  Apartment Building Regulations: For condos, review building regulations and management

Physical Due Diligence

• ✓
  Professional Inspection: Hire licensed inspector or engineer to evaluate structure and systems
• ✓
  Structural Assessment: Check for load-bearing walls, foundation issues, and seismic resilience
• ✓
  Property Measurements: Confirm actual square meters match documentation
• ✓
  System Functionality: Test electrical, plumbing, heating, and cooling systems
• ✓
  Moisture/Mold: Check for water damage, particularly in older buildings
• ✓
  Energy Efficiency: Review the Energy Performance Certificate (required by law)
• ✓
  Common Areas: For apartments, inspect elevators, lobbies, and shared facilities
• ✓
  Renovation Assessment: If planning renovations, get professional cost estimates

Financial Due Diligence

• ✓
  Comparative Market Analysis: Verify price aligns with comparable recent sales
• ✓
  Rental Market Research: Confirm realistic rental expectations for the property
• ✓
  Expense Verification: Detailed assessment of all ownership costs
• ✓
  Tax Calculation: Understand property tax (ENFIA) and income tax implications
• ✓
  ROI Calculation: Develop detailed cash flow projections and return analysis
• ✓
  Future Expenses: Research upcoming maintenance needs or renovation requirements
• ✓
  Golden Visa Eligibility: If applicable, verify the property meets all program requirements

Expert Tip: A unique aspect of Greek property due diligence is checking for “illegal” or undeclared building elements, which are common throughout the country. Since 2011, a series of “legalization” laws have allowed owners to register unauthorized constructions by paying fees. Before purchase, verify whether any parts of the building are unauthorized and, if so, whether they have been properly legalized. Illegal structures that haven’t been legalized can prevent property transfers, affect future building permits, and may require costly adjustments.

Preliminary Agreement

This initial contract outlines the terms and conditions of the sale:

• Key Components:
  • Property details and legal description
  • Purchase price and payment terms
  • Deposit amount (typically 10%)
  • Closing timeframe
  • Contingencies and conditions
  • Penalties for non-compliance
• Deposit Handling: Usually held in an escrow account or attorney trust account
• Timeline: Signed after initial due diligence, typically 1-2 weeks after verbal offer acceptance
• Legal Review: Essential to have a bilingual attorney review before signing

While not legally required, a preliminary agreement provides important protection during the due diligence period. If you discover issues during due diligence that were not disclosed by the seller, the preliminary agreement should include provisions allowing you to withdraw from the purchase and recover your deposit.

Closing Process (Final Contract)

The formal property transfer occurs before a Greek notary:

1. Documentation Preparation:
   • Final purchase deed (drafted by notary)
   • Land Registry/Cadastre certificates
   • Tax clearance certificates
   • Building permits and legality certificates
   • Energy Performance Certificate
   • Identification documents and AFM certificates
2. Pre-Closing Tax Payments:
   • Property transfer tax (3.09% of purchase price or taxable value)
   • Or VAT (24%) for new construction (first sale with building permit after 2006)
3. Notary Appointment: All parties (or representatives with power of attorney) must appear in person
4. Final Payment: Balance of purchase price transferred at or immediately before closing
5. Document Review and Signing: Notary explains document content before signatures
6. Registration: Deed must be registered with the Land Registry and/or Cadastre
7. Key Handover: Typically occurs after registration is completed

The entire process from preliminary agreement to closing typically takes 1-2 months, though it can be expedited in uncomplicated cases or extended if complex legal issues arise.

Transaction Costs

Budget for these typical purchase expenses:

• Property Transfer Tax: 3.09% of the purchase price or tax value (whichever is higher)
• VAT: 24% for new construction properties (first sale with building permit after 2006)
• Notary Fees: 0.8-1.2% of property value (sliding scale based on price)
• Legal Fees: 1-2% for comprehensive representation
• Land Registry/Cadastre Fees: 0.475-0.575% of property value
• Real Estate Agent Commission: 2% plus VAT (typically split between buyer and seller, but negotiable)
• Technical Due Diligence: €300-700 depending on property size and complexity
• Bank/Wire Transfer Fees: Varies by institution and amount

Total buyer-side transaction costs typically range from 6-10% of the purchase price, depending on property type, value, and whether it’s a new construction (subject to VAT) or existing property (subject to transfer tax).

Expert Tip: When budgeting for your purchase, be aware that Greece’s property tax system uses a “zone price” system (known as “objective values”) that may differ from actual market values. Transfer taxes are calculated based on either these objective values or the actual purchase price, whichever is higher. As of January 2022, these objective values were updated in many areas to more closely reflect market prices. Your legal advisor can help you understand the specific objective value of your property and the resulting tax implications before closing.

Administrative Tasks

• ✓
  Tax Registration: Update property ownership with the tax authority (AADE)
• ✓
  Utility Transfers: Register utilities in your name (electricity, water, internet)
• ✓
  Building Management: For apartments, register with building management
• ✓
  Insurance: Obtain property and liability insurance
• ✓
  Banking Setup: Establish payment mechanisms for ongoing expenses
• ✓
  Golden Visa Application: If applicable, prepare and submit residency application

Transferring utilities in Greece often requires in-person visits to provider offices with your purchase deed, ID, and AFM number. Your lawyer or property manager can typically assist with these processes if you’re not in the country.

Rental Setup Requirements

If planning to rent your property, complete these essential steps:

• Short-Term Rental Registration:
  • Obtain property registration number (AMA) from Ministry of Tourism
  • Register with tax authority’s short-term rental platform
  • Ensure compliance with local zoning regulations for short-term rentals
  • Establish electronic payment system for tax reporting compliance
• Long-Term Rental Requirements:
  • Prepare standardized lease agreements compliant with Greek law
  • Register lease agreements with tax authority (mandatory)
  • Set up deposits and payment systems
  • Determine maintenance responsibilities
• Property Management:
  • Select between self-management or professional property management
  • Furnish property appropriately for target market
  • Develop listing strategy and marketing materials
  • Establish cleaning and maintenance protocols

Short-term rental regulations in Greece have become increasingly structured, with mandatory registration and tax reporting requirements. Non-compliance can result in significant fines (€5,000-50,000), so proper setup is essential.

Record Keeping

Maintain comprehensive records for tax and legal purposes:

• Purchase Documentation: Keep all closing documents, property deeds, and transaction records
• Expense Tracking: Maintain detailed records of all property-related expenditures
• Income Documentation: Record all rental income with proper invoicing
• Improvement Investments: Document all property improvements with receipts and contracts
• Tax Filings: Archive all property-related tax filings in Greece and your home country
• Utility Payments: Keep records of all utility payments and property expenses
• Correspondence: Save important communications with property management, tenants, and authorities

Digital storage with secure backups is recommended for all documentation, with key documents also maintained in physical form. Records should be kept for at least 5-7 years for tax purposes.

Expert Tip: Greece has made significant progress in digitizing government services through the gov.gr platform, which now allows property owners to complete many administrative tasks online. However, the system still requires a Greek mobile phone number and/or personal Greek digital signature for full functionality. Consider obtaining a Greek mobile number and requesting digital access credentials to simplify ongoing property management. Your lawyer can help set up these digital identities, significantly reducing bureaucratic hurdles for remote property owners.

Greek Tax Obligations

• Property Tax (ENFIA):
  • Annual tax based on property value, location, and characteristics
  • Rates vary but typically range from 0.1% to 1% of property value annually
  • Billed annually but typically paid in monthly installments
  • Calculated automatically by tax authority based on registered property data
• Income Tax on Rental Income:
  • Short-term rentals: 15% for income up to €12,000, increasing to 45% for income above €35,000
  • Long-term rentals: 15% for income up to €12,000, increasing to 45% for income above €35,000
  • No deductions for expenses with short-term rentals (flat tax on gross income)
  • Limited deductions for long-term rentals (primarily property taxes and maintenance)
  • Annual filing required by June 30th
• Capital Gains Tax:
  • 15% on net profit from property sales
  • Currently suspended until December 31, 2025 (subject to potential extension or change)
  • Various exemptions may apply, particularly for primary residences
• Value Added Tax (VAT):
  • 24% on first sale of new properties (building permit issued after January 1, 2006)
  • Included in the purchase price
  • Not applicable to resale of existing properties
• Local Municipal Taxes:
  • Collected through utility bills, particularly electricity
  • Typically minor compared to ENFIA

Home Country Tax Obligations

Tax treaties exist between Greece and many countries, including the United States and Canada, which can help prevent double taxation. Consult with tax professionals specializing in cross-border taxation to ensure compliance with both Greek and home country requirements.

Special Tax Programs

Greece has introduced several tax incentive programs to attract foreign investors and residents:

• Non-Dom Tax Program:
  • Available to individuals transferring tax residency to Greece
  • €500,000 investment in Greek assets required (can include real estate)
  • €100,000 annual flat tax on worldwide income, regardless of amount
  • No worldwide inheritance or gift tax
  • Program available for 15 years
• Retiree Tax Incentive:
  • 7% flat tax rate on foreign pension income
  • Available for 15 years
  • Requires transfer of tax residency to Greece
  • Must spend at least 183 days per year in Greece
• Digital Nomad Tax Program:
  • 50% tax exemption on Greek employment income for first 7 years
  • Available to individuals relocating to Greece who work remotely
  • Minimum income requirement of €3,500 monthly

These programs can provide significant tax advantages for those willing to establish stronger ties with Greece beyond simple property ownership. Eligibility requirements and benefits should be verified with tax professionals, as programs may change.

Expert Tip: Greece has significantly modernized its tax system, with most filings now handled electronically through the AADE platform (aade.gr). Most foreign property owners engage a local accountant (typically €300-600 annually) to handle Greek tax filings, which is highly recommended given the complexities of the system and regular changes in tax regulations. If renting your property, particularly for short-term rentals, ensure that your accounting system is fully compliant with electronic reporting requirements, as penalties for non-compliance have increased substantially.

Selecting a Property Manager

Evaluate potential property managers using these criteria:

• Experience with Foreign Owners: Look for firms accustomed to working with international clients
• Language Capabilities: English proficiency and clear communication systems
• Digital Systems: Online portals, electronic reporting, and international payment options
• Market Knowledge: Deep understanding of your specific location and target market
• Tenant Screening: Rigorous vetting procedures for potential tenants
• Maintenance Network: Established relationships with quality contractors
• Legal Expertise: Knowledge of Greek rental laws and tax regulations
• Financial Reporting: Transparent financial management and regular statements
• References: Verifiable testimonials from other foreign clients
• Tax Compliance: Understanding of short-term rental registration and reporting requirements

For seasonal locations, particularly islands, verify that the management company maintains year-round presence or has arrangements for off-season supervision. Properties left unattended during winter months can face increased risk of weather damage or security issues.

Management Agreement Essentials

Ensure your property management contract includes these key elements:

• Scope of Services: Detailed description of exactly what is included and excluded
• Fee Structure: Clear explanation of all management fees, commissions, and additional charges
• Reporting Requirements: Frequency and format of financial and property condition reports
• Maintenance Authority: Spending limits for repairs without prior approval
• Tenant Selection Criteria: Parameters for approving potential tenants
• Lease Terms: Standard lease agreement terms and conditions
• Marketing Strategy: Platforms used and marketing approach
• Security Deposit Handling: Procedures for collecting, holding, and returning deposits
• Tax Compliance: Responsibility for registration, reporting, and tax remittance
• Termination Provisions: Conditions and notice requirements for ending the relationship

Have your attorney review any management agreement before signing to ensure it complies with Greek law and adequately protects your interests. Be particularly careful with exclusivity clauses that might limit your flexibility.

Expert Tip: In tourist areas like the Cycladic islands, Athens historical center, or Crete’s northern coast, consider property managers who can implement dynamic pricing strategies based on seasonal demand. Properties in prime locations can achieve nightly rates during peak summer season that are 3-5 times higher than off-peak rates. The best management companies use sophisticated pricing software to maximize occupancy and revenue throughout the year, rather than applying fixed rates. Additionally, managers with strong multi-platform presence (listing on Airbnb, Booking.com, VRBO, and direct booking systems) typically achieve higher occupancy rates than those using limited channels.

Exit Options

Sale Process

When selling your Greek property:

1. Market Analysis: Evaluate current market conditions and property values
2. Agent Selection: Choose between:
   • Local agency with strong Greek buyer network
   • International agency targeting foreign investors
   • Golden Visa specialist agencies if property qualifies
   • Multi-agency approach for broader exposure
3. Property Preparation: Complete any necessary repairs and enhancements
4. Documentation Preparation:
   • Updated property certificates and surveys
   • Energy Performance Certificate (mandatory)
   • Tax clearance certificates
   • Building legality certificates
   • Utility bills and payment records
5. Marketing Strategy:
   • Professional photography and possibly virtual tours
   • Listing on appropriate online platforms
   • International marketing if targeting foreign buyers
   • Golden Visa program highlighting if eligible
6. Offer Negotiation: Consider price, terms, timeline, and contingencies
7. Preliminary Agreement: Similar to purchase process but in reverse
8. Final Contract: Executed before notary with buyer paying transfer taxes
9. Fund Receipt: Typically via bank transfer to your Greek or international account
10. Tax Compliance: Report transaction to Greek tax authorities
11. Post-Sale Notifications: Update utility companies, building management, and tax registry

The sale process typically takes 2-4 months from listing to closing, though it can be longer for unique properties or in less active markets. Seasonal factors can significantly impact marketing periods, with spring and early summer typically being the most active periods for property transactions.

Market Exit Timing Considerations

Several factors should influence your exit timing decision:

• Market Cycle Position: Greek real estate has shown strong recovery since 2018, with particularly strong growth since 2021
• Currency Exchange Rates: Monitor EUR/USD trends as they significantly impact returns for North American investors
• Golden Visa Changes: Program adjustments (such as investment threshold increases) can affect buyer interest
• Tax Policy Evolution: Changes to property taxes, income taxes, or capital gains tax suspensions
• Tourism Growth Patterns: Expansion of tourism seasons and new direct flight connections
• Infrastructure Developments: Completed transportation or urban renewal projects often boost nearby property values
• Regional Development: Major investments like the Hellinikon project in Athens can transform entire districts
• Seasonal Timing: Tourist area properties typically sell faster and at premium prices during spring/early summer

The Greek real estate market continues to evolve as the country strengthens economically. Most analysts project continued price appreciation in prime areas through at least 2028, particularly for properties meeting international quality standards. However, growth rates may moderate from the exceptional levels seen in 2022-2023.

Expert Tip: When planning your exit strategy, pay special attention to the potential buyer profile for your specific property. Properties that qualify for the Golden Visa program (€250,000+ in most areas, €500,000+ in prime locations) attract a different buyer pool than those below the threshold. If your property is near the threshold value, strategic renovations or improvements that push it into Golden Visa eligibility can significantly expand your potential buyer market and potentially justify a price premium. Meanwhile, for very high-end properties (€1M+), international marketing becomes increasingly important, as the local buyer pool may be limited.