Buying property in a foreign country can be intimidating, and Greece is no exception. For many Americans, the thought of navigating Greek bureaucracy, currency exchanges, and unfamiliar real estate laws can seem overwhelming. But take heart—Greece actually makes it surprisingly straightforward to buy property, even if you’re not an EU citizen.
Below, you’ll learn what you need to know about buying property in Greece, from the current real estate market to relevant regulations, major steps in the purchase process, and the taxes that might apply. Let’s get started!
Checking Out the Greek Real Estate Market
Like most real estate markets, Greece’s has its ups and downs. But since the mid-2010s, Greece has been on the upswing after a turbulent stretch that included an economic crisis and austerity measures. These days, prices in prime locations—especially Athens, certain popular islands, and luxury coastal towns—have started climbing.
Greece is also betting on tourism and foreign investment to further stimulate the real estate sector. After all, this is the cradle of Western civilization. On top of that, it has stunning beaches and a famously hospitable culture, so the tourist market is a good bet.
Legal Framework for Foreign Buyers
Americans are generally free to buy real estate throughout most of the country, with a few exceptions in areas deemed critical for national security (like certain border regions and specific islands).
Still, you should know about:
- Greek Tax Identification Number (AFM)
Before you can buy property in Greece, you need to get a Greek Tax ID (AFM). It’s easy to apply for one at a local tax office. You’ll need to bring your passport and fill out some paperwork. - Property Registration
Greece has both a traditional Land Registry (Ypothikofilakeio) and a newer Cadastral system (Ktimatologio). Depending on where you buy, you might deal with one or both. - Notary Involvement
A notary (symvoleografos) will draw up and authenticate the final contract.
Financing Your Purchase
Greek mortgage interest rates tend to be moderate, landing somewhere between 3-6.5%. But actually securing a mortgage in Greece as a non-EU citizen can be tricky. Greek banks typically want to see:
- Strong credit profile
- Proof of stable income
- Valid identification
- Property appraisal
Our experience has been that U.S. citizens sometimes face more scrutiny when applying for financing overseas, so have patience and be open to setbacks. If you have difficulty with Greek lenders, you might turn to international banks operating in the U.S. and Greece.
Purchase Greek Property Step-by-Step
Step 1: Define Your Objective & Search for Property
Begin by getting crystal clear on what you want. For the actual hunt, you’ll find plenty of online portals. Spitogatos is one of the major real estate listing sites in Greece.
Step 2: Hire a Real Estate Agent (Μεσίτης)
Though not required by law, consider what an agent does. They are on the ground in Greece. They know the language and culture. They understand the process. That’s well worth the 2-4% commission.
Step 3: Due Diligence & Legal Checks
Once you’ve found a property, you (or your lawyer) must confirm that everything is in order:
- Clear Title: This means the property is free of any liens, debts, or disputes.
- Building Permits: Check out that all structures are built legally and are up to code.
- Cadastral Registration: If the property is in an area with the new cadastre system, confirm it’s registered.
Note that, at least in older or rural areas, documentation can be spotty. So take the extra steps to clean this up.
Step 4: Preliminary Contract & Deposit
After your lawyer green-lights the property, you’ll typically sign a preliminary contract and pay a deposit (often around 10% of the agreed purchase price). This agreement spells out the basic terms and gives you time to finalize financing while ensuring the seller won’t back out.
Step 5: Final Contract & Notary Appointment
A notary will prepare the final sales contract. Both you and the seller sign in the notary’s presence, and the notary officially records the deal. The property is then transferred into your name at the local Land Registry or Cadastre.
Other Costs to Look Out For
- Transfer Tax: Typically 3% of the declared property value. Newer constructions might be subject to 24% VAT instead, so check the property’s status.
- Notary Fees: About 1–2% of the property value.
- Legal Fees: Varies with the lawyer, often 1–2% of the purchase price.
- Real Estate Agent Commission: Usually 2–4%.
- Registration Fees: A small amount due for filing the sale with the Land Registry or Cadastre.
Don’t Forget About the Golden Visa
Greece’s Golden Visa program is a big reason many Americans are drawn here. For a minimum investment of €250,000 (in certain areas, some have bumped this to €500,000), non-EU citizens can obtain a five-year residence permit. That permit can be renewed indefinitely, provided you still own the property.
Beyond just living in Greece part-time or full-time, a Golden Visa also lets you travel freely in the Schengen Area—something that can be a game-changer if you spend lots of time in Europe. For the latest Golden Visa rules and criteria, check out our full guide on the Greece golden visa.
Tax Implications and Ongoing Costs
Annual Property Taxes (ENFIA)
Once you own a property in Greece, you’ll pay an annual property tax known as ENFIA. Rates vary based on factors like location, size, and property age. By U.S. standards, some Americans find these taxes to be lower, but it depends on the property and municipality.
Rental Income and Capital Gains
If you choose to rent out the property, you’ll owe Greek taxes on that rental income. Remember, Greece has primary taxing rights for the earnings, and you must also report the income on your U.S. tax return (though you can typically claim a foreign tax credit to avoid double taxation). Learn more about taxation rules here. [link to Tax Liability blog]
Inheritance and Gift Taxes
If you plan to pass on the property to family members, pay attention to Greece’s inheritance and gift tax rules. The tax rate can range widely depending on the relationship between the parties, the property’s value, and other factors.
Welcome to Property Ownership in Greece
With property in Greece, you’re well set to become a dual citizen of this gorgeous Mediterranean paradise. So why not take the next steps? We have a complete guide on all the ways to become a citizen of Greece right here.
