Greek Prime Minister Kyriakos Mitsotakis said the government will soon implement a plan to permanently cut the individual property tax (ENFIA) to 13%. 80% of property owners currently paying ENFIA tax will be able to save a huge fee from this tax reduction decision of the government.
Rents in many areas of Athens have increased by 50% compared to the same period in 2017. Rents in Thessaloniki, as well as in other major cities such as Patras and Volos, have also increased by 30% to 40%.
From 2020 to 2021, occupancy rates in Greece have increased by 5%. Rentals in suburbs north of Athens have also increased by 17% in just 12 months. Rentals in the city center increased 11.6%, while the southern suburbs increased 14% and Piraeus increased 12.7%.
Rents in the western suburbs of Attica have increased by 32% year-on-year, indicating that the Greek property market is hotter than ever as the European tourist paradise begins to reopen after closed period due to the epidemic.
Real estate market in Greece: Unprecedented growth
Thanks to the strong tourism potential already available, the hotel business, short-term homestay rental (Airbnb) is very developed in Greece, especially in the center of Athens or other famous tourist islands.
In 2021, the total number of nights rented at tourist accommodation establishments in Greece increased by 89% compared to 2020, the demand for short-term rentals on platforms such as Airbnb and Vrbo also increased by 40.7%, the highest growth rate in European countries. The year of 2022 will certainly be even stronger thanks to the countries that have lifted most of the restrictions on movement.
In particular, the average occupancy rate of apartments in Greece on the aforementioned rental platforms reached 83%, up 5%, and in Mykonos island alone increased by 111% in 2021.
The Greek government at this time has launched a lot of tax incentives to attract investment in the real estate market in Greece, specifically:
- When buying real estate with a building permit issued or modified before 2006 will be fully exempted from VAT 24%
- Permanently cut individual property tax (ENFIA) to 13%, saving huge taxes and fees for approximately 5 million property owners
Many investors have taken advantage of the attractive, safe and fast investment opportunities through the real estate investment program to receive Greek permanent residents, especially at a time when the EUR is weakening. This is the ideal time for investors to own high-class real estate in the beautiful, ancient Greece, in order to increase the value of their personal assets, and at the same time have the opportunity to settle in Europe permanently. Enjoy free education and standard European healthcare and travel with the world’s most powerful PR card.
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