How do you safely buy a property in Greece as a foreigner?

How do you safely buy a property in Greece as a foreigner?
  • 29.05.2025
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How to Safely Buy a Property in Greece as a Foreigner: Your Ultimate Guide

Greece, with its mesmerizing landscapes, ancient history, and sun-drenched islands, is a dream destination for many looking to invest in real estate. Whether you desire a whitewashed villa overlooking the Aegean or a city apartment in Athens, purchasing property in Greece as a foreigner is an enticing opportunity. However, it’s crucial to understand the legal, financial, and practical aspects to make sure your investment is secure. This comprehensive guide will walk you through every step, from understanding Greek property laws to safely closing the deal and integrating into your new community. By the end, you’ll be equipped with the knowledge needed to safely and confidently buy property in Greece as a foreigner.

Table of Contents

1. Introduction to the Greek Property Market

Greece’s property market has witnessed a remarkable transformation, especially in the last decade. After the economic crisis of 2008, property prices declined sharply, but the market has since stabilized, attracting international investors looking for value and lifestyle advantages. Greece offers diverse options — from urban apartments to rustic rural houses and luxurious seaside villas. The steady return of international tourism, economic reforms, and the allure of the Greek lifestyle have boosted foreign demand for real estate.

In this section, we’ll explore what's attracting foreigners and key considerations about the Greek property market’s current state.

1.1. A Booming Destination for Foreign Investors

Since 2014, non-Greek nationals have significantly increased their property investments. This is due to a combination of favorable property prices, visa incentives, and prospects for high rental returns, especially in popular tourist areas such as Athens, Santorini, and Crete. Major international publications have repeatedly cited Greece as one of the best places in Europe to buy a second home.

1.2. Factors Boosting the Market

  • Golden Visa Program: Offers residency permits to buyers investing over a set amount.
  • Affordable Prices: Property remains competitive with other EU nations.
  • Tourism: High rental yields in tourist hotspots.
  • Cultural and Lifestyle Appeal: The climate, cuisine, and way of life attract retirees, digital nomads, and investors alike.

1.3. Long-Term Growth Potential

With infrastructure upgrades and renewed international confidence, property in Greece not only makes a desirable holiday home or retirement destination but is also seen as a wise long-term asset.

2. The Legality of Foreign Ownership in Greece

Unlike some other countries with tight restrictions on foreign property purchase, Greece generally allows foreigners — whether EU citizens or not — to own both land and buildings. However, there are specific legalities, especially for non-EU nationals and for certain sensitive areas (often near borders or military zones).

2.1. EU vs. Non-EU Citizens

  • EU Citizens: Can freely purchase property with minimal bureaucracy.
  • Non-EU Citizens: Can also acquire property but may face extra requirements in some regions.

2.2. Restrictions on Sensitive Areas

There are legal restrictions in place for purchases near national borders, islands close to Turkey, and military zones. Non-EU buyers seeking property in these areas must apply for special permission from the Ministry of Defense, which is granted on a case-by-case basis.

2.3. Entities and Legal Structures

Foreigners may buy property either in their own name or via a company. Using a corporate structure, especially a Greek or EU-based entity, may help facilitate the purchase and offer benefits for estate planning or taxation. Consult with a Greek legal and tax advisor before choosing.

2.4. Residency Status

Owning property in Greece does not automatically grant residency or the right to live in the country. However, qualifying investments can be leveraged to obtain long-term residency through schemes such as the Golden Visa, discussed later in this article.

3. Types of Properties Available for Foreigners in Greece

Greece’s diverse geography is reflected in its real estate market. As a foreign buyer, you can choose from a variety of property types, each offering unique advantages and challenges. Understanding the options — and their implications — is a critical step before making an investment.

3.1. Urban Apartments and City Properties

  • Athens: The capital offers vibrant neighborhoods, historic homes, and modern developments. Popular for rental income, especially via Airbnb.
  • Thessaloniki: Greece’s second city, known for its student population and cosmopolitan vibe.
  • Heraklion, Patras, and other cities: Smaller cities have strong local demand and affordable entry points.

3.2. Seaside and Island Villas

From the Cyclades (Mykonos, Santorini) to the Ionian Islands (Corfu, Zakynthos) and Crete, stunning villas and maisonettes overlooking the sea are the ultimate in Mediterranean luxury. These are ideal for personal use, retirement, or high-end rentals.

3.3. Rural and Traditional Houses

Many foreigners are drawn to rustic stone houses or farm homes in mountainous or inland areas. These properties offer tranquility, authenticity, and typically lower prices than prime tourist locations.

3.4. Off-Plan and New Developments

Large cities and islands increasingly see off-plan investments in resort complexes, condominiums, and luxury residences. Buyers may get modern amenities and the potential for capital growth but must conduct due diligence on the developer’s reputation.

3.5. Commercial Real Estate

Greece’s improving economy has reignited interest in commercial properties: hotels, B&Bs, shops, and offices. Foreigners can purchase these with the same rules as for residential property, which can yield substantial returns especially in tourist areas.

3.6. Land and Plots

Buying land with the intention of building is common, especially in rural or developing tourist destinations. However, Greek planning and zoning laws are complex, requiring professional legal and engineering guidance to ensure you can build what you envision.

4. Key Steps in the Property Buying Process

Purchasing property in Greece as a foreigner follows a structured legal process, similar — but not identical — to that of many other EU countries. Knowing every step, your legal rights and the obligations can ensure a smooth, secure transaction. Here’s an in-depth walkthrough:

4.1. Preliminary Research and Decision-Making

  • Determine your goals: Holiday home, long-term rental, investment, or retirement?
  • Define your budget: Include extra costs, taxes, legal fees.
  • Research the local market and desirable regions, consulting online portals (like Spitogatos, XE, or Rightmove Overseas), local agents, and legal experts familiar with foreign purchases.

4.2. Hiring Your Local Team

Engage a reputable, independent real estate agent, a qualified lawyer specializing in property law, and a notary. It’s important your lawyer is separate from the seller’s, ensuring undivided loyalty to your interests. For non-Greek speakers, choose professionals fluent in your language.

4.3. Obtaining a Greek Tax Number (AFM)

Every buyer must obtain a Greek tax registration number (“AFM” – Αριθμός Φορολογικού Μητρώου) from the local tax office. This is a prerequisite to signing any contracts, opening a Greek bank account, and transferring funds for the purchase.

4.4. Property Search and Viewing

  • With your agent or independently, inspect properties in-person whenever possible.
  • Research the supply, demand, and comparative prices in your target area.
  • Pay attention to structural condition, legal status, location, and potential for resale or rental.

4.5. Making an Offer and Signing a Pre-Contract (Optional)

It’s common, though not obligatory, to sign a preliminary agreement (pre-contract or “engrafo proapofasis”) and pay a deposit (5%–10%) once negotiations succeed. This reserves the property and outlines main terms, subject to due diligence. The lawyer should draft or review this contract to protect you from hidden liabilities.

4.6. Legal Due Diligence

  • Title Search: Your lawyer will obtain due diligence certificates and investigate the property’s title at the Land Registry/Cadastral Office, verifying the seller’s ownership and checking for encumbrances (mortgages, liens, planning violations).
  • Building Permits: Ensure all structures have legal building permits and that the property complies with planning and zoning regulations.
  • Debts and Taxes: Confirm the property is free of outstanding property taxes, utility arrears, or municipal dues.

4.7. Completing the Financial and Legal Formalities

  • Transfer funds into your Greek bank account (see “Financial Considerations”).
  • Pay the necessary property transfer tax (FMA), currently set at 3% of the government-assessed property value.
  • Prepare all documentation for the final contract and agree on a completion date.

4.8. Signing the Final Contract (Purchase Deed)

  • The sale is finalized with the signing of the notarial deed (contract) in the presence of a public notary and both parties (or their legal representatives by power of attorney).
  • Full payment is made upon signing, and the buyer receives immediate possession.

4.9. Land Registry and Cadastral Registration

  • The notary registers the transaction with the local Land Registry or Cadastral Office, making you the official legal owner.
  • You will receive the official title deed and be listed as the new owner in the public records.

5. Choosing the Right Location

Your choice of location is among the most critical decisions when buying property in Greece. Each region has its unique characteristics regarding lifestyle, accessibility, price, market trends, and legal nuances. Here is an exploration of popular regions and practical tips for evaluating them:

5.1. The Mainland: Athens, Thessaloniki, and Beyond

  • Athens: A cosmopolitan city with ancient ruins, amenities, international schools, and thriving expat communities. Suburbs like Glyfada or Kifissia are popular among families, while the city center attracts investors.
  • Thessaloniki: Lively with a strong student population, an emerging tech scene, and affordable property relative to Athens.
  • Peloponnese and Central Greece: Affordable homes, rural tranquility, easy access to the coast and archaeological sites.

5.2. The Islands: Dream Destinations

  • Cyclades (Mykonos, Santorini, Paros, Naxos): Famous for their whitewashed architecture, crystal seas, and tourism-driven rental yields. Prices here can be much higher than on the mainland.
  • Crete: Greece’s largest island offers everything from historic cities (Chania, Heraklion) to sleepy villages and scenic coasts. Popular with retirees and digital nomads for its size and community.
  • Ionian Islands (Corfu, Zakynthos, Kefalonia): Known for lush landscapes, Venetian influence, and a less arid climate than southern islands.
  • Dodecanese and North Aegean: Offer more affordable options and a slower pace of life, with some areas requiring special permissions for non-EU buyers.

5.3. Factors to Consider When Choosing

  1. Accessibility: Proximity and ease of access to international airports, public transport, ferries; year-round vs. seasonal travel options.
  2. Infrastructure: Availability of hospitals, schools, supermarkets, utilities, and reliable mobile/internet connectivity.
  3. Lifestyle: Do you prefer bustling tourist destinations or quiet, traditional villages?
  4. Market Trends: Rental potential, expected appreciation, popularity among tourists and expats.
  5. Legal Restrictions: Areas near borders or of military sensitivity may require additional permissions or carry restrictions for non-EU buyers.

5.4. Visiting Your Chosen Location

Whenever possible, spend extended time in your target area during different seasons. This will help you judge the year-round lifestyle, local amenities, and long-term investment potential.

6. Financial Considerations and Taxation

Safe property purchasing in Greece goes far beyond the listed price. Buyers must account for taxes, transaction fees, potential ongoing expenses, and implications of non-residency. Knowing the numbers in detail avoids unwelcome surprises and ensures compliance with both Greek and foreign regulations.

6.1. Purchase and Transaction Costs

  • Property Transfer Tax (FMA): 3% of the officially assessed value (may differ from the actual purchase price but seldom higher).
  • Notary Fees: Typically 1%–2% of the property price, plus VAT.
  • Lawyer’s Fees: Negotiable, often around 1%–2% (+VAT) of the purchase price.
  • Estate Agent Fees: Typically 2%–2.5% (plus VAT), often split between buyer and seller but confirm in advance.
  • Land Registry/Cadastral Fees: 0.5%–1%.
  • Other Costs: Certification fees, translation, electrical and structural surveys (optional), and administrative expenses.

Total upfront costs: Expect 7%–10% of the property price as a realistic estimate for total transaction costs.

6.2. Ongoing Taxes and Ownership Costs

  • ENFIA (Annual Property Tax): Calculated based on the property’s location, age, and size. Ranges from a few hundred to several thousand euros per year for most residential properties.
  • Utility Bills: Includes water, electricity, waste disposal, annual municipal fees.
  • Insurance: Home insurance is highly recommended but not compulsory.
  • Maintenance Fees: Apartment blocks (“polykatoikia”) and gated communities charge monthly common fees for shared maintenance, ranging from €30 to €200/month or more.

6.3. Rental Income Tax

If you rent out your property (short-term or long-term), rental income is subject to Greek taxation. Rates vary by annual income, currently:

  • First €12,000: 15%
  • €12,001–€35,000: 35%
  • Above €35,000: 45%

There may also be surcharges, municipal payments, and requirements for VAT registration for regular short-term lettings such as Airbnb. Advice from a local tax accountant is advised to optimize your tax position and ensure compliance.

6.4. Transferring Money

Capitalize your Greek bank account well in advance. Transfer large amounts via secure, regulated routes and always keep proof of funds. Foreign buyers are advised to use reputable forex companies or their own bank, ensuring favorable rates and compliance with money-laundering regulations.

6.5. Double Taxation Agreements

Greece has treaties with many countries to avoid double taxation. Consult both Greek and home-country accountants to optimize your tax situation, especially for rental or capital gains, and ensure you declare assets as required by international law (e.g., the Common Reporting Standard or FACTA for US citizens).

The success, safety, and future profitability of your Greek property investment depend on rigorous legal checks. The nation’s historic land records and complex building regulations mean that professional legal support is not optional — it is essential.

7.1. Title Verification and Registry Checks

  • Legal Title: Ensure the seller legitimately owns the property and has the right to sell it.
  • Encumbrances: Confirm the property is not subject to mortgages, liens, rental contracts, or other encumbrances that could limit your rights.
  • Third-Party Claims: Check for disputes, inheritance claims, or communal ownership structures common in Greece.

7.2. Building and Zoning Permits

  • Planning Permission: All structures must have legal building and occupancy permits. Unauthorized builds (“afthaireta”) are common, especially older Rural or island homes, and must be regularized before purchase.
  • Land Use: Confirm the current zoning, especially for plots or intended renovations. Some zones have strict building ratios or agricultural limitations.

7.3. Debts and Outstanding Liabilities

All property-related taxes and communal dues should be paid by the seller until the point of contract. Outstanding debts can become the buyer's liability if not discovered and cleared in advance.

7.4. Inspections and Surveys

Beyond legal searches, it is wise to commission:

  • Structural surveys to confirm the building’s condition, especially for older properties or those in earthquake-prone zones.
  • Electrical, plumbing, and energy certifications for compliance and budgeting future repairs.

7.5. Power of Attorney (PoA) for Remote Purchasing

If you cannot be present in Greece, you may grant a trusted lawyer PoA (in Greek and apostilled) to execute the necessary procedures and sign contracts on your behalf.

7.6. Avoiding Scams

  • Always deal with licensed real estate agents and independent lawyers.
  • Never transfer deposits or payments to individuals or offshore accounts unrelated to the transaction.
  • Check the reputation and registration of agents and legal professionals (through the Greek Bar Association or Chamber of Commerce).

8. Hiring the Right Professionals

Success and legal security as a foreign buyer in Greece hinge on your team of advisors. Having the right professionals not only minimizes risk but often saves money in the long run.

8.1. Real Estate Agent

Select a local agent with proven experience with foreign customers. They provide listings, negotiate on your behalf, connect you to other professionals, and may offer property management services post-purchase.

8.2. Lawyer

An independent real estate lawyer is the most essential advisor. They review and draft contracts, conduct all due diligence, clarify tax implications, and represent you at every stage.

8.3. Notary Public

Notaries in Greece are legal officers who formalize the sale, register the new ownership, and witness official signatures. Their role is mandatory at all property transactions.

8.4. Accountant/Tax Advisor

An accountant helps register a tax number (AFM), handle annual tax declarations, and provide tax planning, especially if you rent the property or wish to apply for the Golden Visa or tax residency.

8.5. Engineer/Surveyor

A qualified civil engineer or surveyor assesses the structure, certifies legal building status, and advises on renovations. This is crucial for older or rural properties.

8.6. Translators

Although many professionals in Greece speak English, critical contracts and documentation should be accurately translated into your language for full comprehension. Certified translators are preferred for legal documents.

9. Mortgages and Financing Options

Many foreign buyers wonder whether they can secure a Greek mortgage; the answer is yes, but with caveats. This section discusses domestic and alternative financing options.

9.1. Mortgage Availability for Foreigners

  • Some Greek banks offer mortgages to non-residents, especially EU or high-net-worth buyers. Approval is less common than for locals and usually requires a large down payment (30%–50%).
  • Strong documentation is required: income proof, tax declarations, credit history, and sometimes insurance.
  • Interest rates generally range from 3%–5%, with variable and fixed options.

9.2. International Mortgages

Some international banks, especially in the UK, France, and Germany, offer cross-border mortgages for Greeks or expats with significant assets or income in their home country.

9.3. Alternatives: Private Financing and Seller Loans

Private financing from home-country banks, equity release, or seller financing (installment sales) are possible but must be structured from a legal and tax perspective to comply with Greek law.

9.4. Cash Purchases

The vast majority of foreign transactions in Greece are conducted in cash (bank transfer) due to conservative lending and regulatory hurdles. If paying in cash, ensure all funds are clearly traceable and properly declared.

9.5. Documentation Required for Financing

  1. Valid passport or EU/EEA ID
  2. Proof of income/employment or self-employment
  3. Tax returns (often two to three years)
  4. Credit report from your home country
  5. Bank statements and details of other assets or liabilities

Consult with both Greek and home-country mortgage advisors to compare options and costs.

10. Residency Options and the Greek Golden Visa

One of Greece’s most powerful incentives for property investment is its Golden Visa program. This allows non-EU investors to obtain residency in exchange for a qualifying real estate purchase. Understanding these options is crucial for buyers planning extended stays or considering a path to EU citizenship.

10.1. The Greek Golden Visa Program

The Greek Golden Visa grants five-year residency (with renewal rights, subject to holding the investment) to non-EU/EEA citizens investing at least a certain amount in real estate. As of 2024:

  • Minimum investment: €500,000 in Athens, Thessaloniki, Mykonos, and Santorini.
  • Minimum investment: €250,000 in all other areas (subject to periodic policy updates — always double-check the latest regulations).

The program covers family members (spouse, children, parents), allows free travel within the Schengen Area, but does not require Greek tax residency or living in Greece. Holders can also convert to permanent residency or Greek citizenship after several years (subject to legal requirements and language/cultural integration tests).

10.2. Other Residency and Visa Options

  • Digital Nomad/Remote Worker Visa: Available for those working remotely with sufficient income.
  • Long-Term Stay Visa (Type D): For retirees, financially independent foreigners, or business investors outside the Golden Visa scheme.
  • Visa-Free/Schengen Rules (for EU/EEA citizens): EU/EEA citizens enjoy full property and residency rights without restrictions or special permits, but must register if they plan to stay long-term.

10.3. The Golden Visa Application Process

  1. Choose and purchase a qualifying property (full payment is required before the application).
  2. Gather required documentation: title deeds, proof of investment, clean criminal record, medical insurance, and proof of income/assets.
  3. Apply via the Greek Ministry of Migration (directly or through a legal representative with PoA).
  4. Biometric data and all family members’ documentation are needed.
  5. Processing time: Typically three – five months after complete submission.

Specialist law firms or Golden Visa advisors specializing in international clientele can expedite the process and ensure compliance. As regulations may change, always confirm eligibility before committing to a property purchase for residency purposes.

11. Settling In: Integration and Owning a Home in Greece

Safe property investment is only the first step; equally important is a smooth integration into your home-away-from-home. Greece is welcoming, but everyday life comes with its own norms, regulations, and opportunities to maximize your enjoyment and security as a new property owner.

11.1. Opening Greek Bank Accounts

Most buyers are required to open a local account for the transaction, payment of utilities, and ongoing tax/fee liabilities. Ask your legal advisor for advice on the best banks for foreigners and necessary documentation (passport, tax number, proof of address/utility bill, sometimes a tax return from your home country).

11.2. Setting Up Utilities and Municipal Services

  • Transfer water, power (DEI), and telephone bills to your name as soon as possible after finalizing the purchase.
  • Some services allow online registration, but in-person visits or a local agent’s help may be needed for the initial setup.

11.3. Community Engagement and Support

Foreign owners in Greece often find strong support within local expat communities and international clubs. Engage with neighbors, participate in village/town events, and join local Facebook or WhatsApp groups to ease the residency transition and get recommendations for local services, tradesmen, and legal/tax updates.

11.4. Property Management and Security

  • If the home will be vacant for long periods, consider employing a local property manager for maintenance, mail, and security, especially in rural or tourist areas.
  • Install basic security (locks, cameras, alarms), as petty theft and seasonal break-ins do occur in tourist hotspots.

11.5. Renovation and Building Projects

All works on your property must have the relevant permits and respect local planning laws. Never commence building (even minor expansions) without signed-off plans from an approved engineer and municipal approval — unauthorized works can result in large penalties and even demolition orders.

11.6. Health, Insurance, and Emergency Services

  • Register with the local health authority, private clinics, or your insurance provider for medical care (EU citizens may use their EHIC/European Health Insurance Card for basic coverage).
  • Consider private health and property insurance for additional protection.
  • Learn basic Greek emergency numbers and locations of nearby police and hospitals.

11.7. Understanding Local Life and Customs

Immerse yourself in Greek customs and etiquette. Basic knowledge of the Greek language goes a long way, as does respect for local traditions, religious events, and community rules. Patience with bureaucracy and a neighborly approach will ease your adjustment and enrich your experience.

12. Conclusion: Making Your Greek Property Dream a Secure Reality

Buying property in Greece as a foreigner is not only a tremendous lifestyle investment but can also be a sound financial decision with the right due diligence. By understanding the local legal framework, assembling a trustworthy advisory team, budgeting for all taxes and costs, and following structured steps from search to final registration, you greatly minimize the risks and maximize the rewards. With careful planning — whether seeking a retirement paradise, an income-generating rental, or a passport to the EU via residency programs — you can enjoy all the beauty, warmth, and opportunity the Greek real estate market offers.

Remember:

  • Never skip independent legal checks or try to cut corners with “under the table” arrangements — Greece’s legal system can be complex, but it protects your long-term interest when followed properly.
  • Stay up to date on property, tax, and residency regulations, which can change as government policies evolve.
  • Engage with local and expat communities to access recommendations, warnings, and cultural know-how.
  • Think long term: Consider family needs, rental income prospects, and future resale potential as part of your decision process.

With preparation, patience, and the right support, buying property in Greece as a foreigner can be safe, smooth, and remarkably rewarding. Welcome to your slice of the Mediterranean dream!

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