Home prices in Greece are increasing rapidly while the country’s economy is still expanding, and there is a growing demand from purchasers from other countries.
As online search data from foreign countries and figures from the Bank of Greece indicated, the annual rate of change in apartment prices in Greece increased on average by 11.8% year-on-year in the fourth quarter of 2023.
Despite higher prices, the demand for Greek properties from international buyers is growing too – about 12% compared to Q1 2023 in the first quarter of 2024, when Germany, the United States of America, the United Kingdom, Australia, and (interestingly) Bulgaria were the top five nations exhibiting keen interest in acquiring Greek real estate.
The regions garnering the most significant attention from overseas buyers seeking residential properties were the central Athens area, Halkidiki, the southern suburbs, the Suburbs of Thessaloniki, and the Cyclades islands. Among those searching for housing abroad, the most coveted categories were apartments, detached houses, and villas.
Online search data domestically revealed that the suburbs of Thessaloniki, central Athens, its southern and northern suburbs, and the centre of Thessaloniki emerged as the most sought-after locations for house hunting. The housing types in highest demand among local buyers were detached houses, apartments, and studios.
Regarding residential rental demand within the country, the central Athens area, the southern suburbs, the Suburbs of Thessaloniki, the northern suburbs of Athens, and the Municipality of Thessaloniki ranked as the most popular regions. Regarding rental property categories, apartments, studios, and detached houses were the most sought-after options among Greek residents.
International demand for buying and renting houses in Greece in a nutshell
- Germany, the USA, the UK, Australia, and Bulgaria are the top five countries interested in Greek real estate in 2024.
- Central Athens, Halkidiki, the southern suburbs, the suburbs of Thessaloniki, and the Cyclades Islands are favoured regions for overseas buyers.
- Preferred property types for international buyers: apartments, detached houses, villas.
Greece’s property industry starts the new year with plans to keep up the rapid growth it saw in 2023. The omens are positive since the balance between demand and available homes is still negative, and investors believe that the Greek market is still cheap in comparison to the rest of Europe. Real estate sector analysts predict that foreign real estate investment in Greece has reached a record high of €3 billion in 2022 and 2023 and that increased trends in 2024 will lead to the possibility of shattering that record once more.
In the first half of 2023, the total value of real estate purchases by foreign buyers, which represents 80% to 85% of all real estate purchases in Greece , jumped a whopping 39.9% year-on-year to €1.1 billion, following year-on-year increases of 68% for all of 2022 and 34.4% in 2021.
Chief Economist of the Global Property Guide, Lalaine C. Delmendo
Furthermore, estimations indicate that, even in the event of a relative downturn in metropolitan regions, the holiday home sector’s value growth will continue at the same or even faster rate in 2024. In light of this, Greece and its islands are becoming more popular draws for foreign investors interested in real estate.