Property investments from foreigners wishing to secure a Golden Visa have brought in at least €10 billion, professionals in the real estate sector say.
At the same time, they have skewed the market, as Greek property owners have inflated their asking prices in the hope of attracting this category of investor.
The recent doubling of the minimum investment required in the most popular investment destinations, such as the center of Athens, its northern and southern suburbs and some islands, from €250,000 to €500,000, is expected to curb some of the excesses, as many property owners find that pricing of €500,000 or above is not sustainable. Prices had spiked even in areas of Athens in which interest from foreign investors was close to zero. But even now, a perusal of the property listings shows that some owners have doubled their asking prices overnight. Authorities and experts believe this phenomenon will die down. Raising the minimum has been criticized by some prospective investors, mainly Chinese.
According to data from the Migration and Asylum Ministry, there were 4,150 applications for a Golden Visa in the first half of the year, representing property transactions in excess of €1 billion. In the whole of 2022, there were a total of 4,360 applications, in 2021 2,001, in 2020 1,590 and in 2019, before the pandemic, 4,071.
Real estate professionals believe that prospective investors will turn to areas where the minimum investment amount remains €250,000, as long as there is good added value through short-term, or, more likely, long-term leases. In the more expensive areas, professionals estimate that further purchases will be limited to new and high-quality construction.
