GREECE

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An Insightful Guide to Purchasing Property in Greece: Lessons from One Buyer’s Journey

Choosing the Perfect Region: Balancing Beauty and Practicality

When purchasing property in Greece, the first decision is location—an intricate balance of personal preferences and practical concerns. Greece offers stunning regions both on the mainland and across its numerous islands, each with its unique allure. For me, the thought of living on a secluded island with limited infrastructure and high costs was not appealing. Instead, I sought out a location that would meet specific practical criteria while still offering the beauty and lifestyle I desired.

I set firm boundaries: the property should be no more than a 15-minute walk from the beach (but not directly on the seafront), no more than 90 minutes’ drive from an international airport, and within a short distance from a town. Elevation was also a concern, as I wanted a property at least seven meters above sea level to avoid flooding risks. I avoided mountainous or forested areas due to fire hazards, instead opting for a plain filled with olive groves in the Chalkida region. This practical approach allowed me to find a balance between accessibility, safety, and serene surroundings.

Finding the Property: Trust, Connections, and the Value of Local Insight

Initially, I explored property options through agencies and online listings but soon realized the need for a more targeted and trustworthy approach. I reached out to Juszt Capital, knowing they had established contacts in the region. Relying on their local network was invaluable, as many Greek properties are never publicly listed. Instead, deals are often struck through word-of-mouth, which is why having a reliable local guide was crucial for my success.

Through Juszt Capital, I found a property I loved. It was priced at €190,000 but ultimately sold for €155,000, fully furnished and equipped with household appliances, tools, and more. The house had 105m² of living space, 85m² of outbuildings, and 30m² of covered terrace space. Greek real estate valuations often differ from other countries, focusing on total square meters built, not just living space. There are wide price disparities, and decent properties under €100,000 are rare.

Navigating the Market: Challenges and Realities

Greece’s real estate market can seem calm, especially outside islands and major cities. However, it can be difficult for locals to purchase due to tight credit conditions, which has led to a somewhat stagnant market. Interestingly, many Greeks would prefer not to sell their properties unless they get a favorable price, resulting in a stable but challenging market for buyers.

For those looking to purchase holiday homes, there are still opportunities to find lovely properties near the sea for under €150,000. However, these homes may not always appreciate significantly in value due to limited buyer demand. Taxation on second homes is also an issue, making it increasingly difficult for Greeks to own multiple properties.

Payment Practices & Risks: Navigating Deposits and Transactions

The payment process for Greek properties is a bit different than in other countries. Buyers typically make a down payment of up to 10%, though this deposit may not always seal the deal if suspensive clauses (such as financing) are included. If the sale falls through due to the seller’s fault, they must repay double the deposit—though this is more of a theoretical safeguard. It’s important to understand that paying a deposit always carries some risk.

Cash payments are not uncommon for deposits, though less recommended for larger amounts. While there are no strict limits on how much cash you can carry within the European Union, any amount exceeding €10,000 must be justified. In my case, I had to withdraw €10,000 in cash from my bank, a complicated process due to withdrawal limits. Ultimately, I secured the funds from my country’s central bank and ensured everything was properly documented.

Legal Considerations: Ensuring Compliance and Legitimacy

A significant portion of Greek homes are not fully registered or legally compliant with building permits. It is crucial to work with a good lawyer and notary to verify the property’s legal status. Greek law has required sellers to prove the legality of the property since 2011, but navigating the complexities of regularization can be time-consuming and sometimes unpredictable.

I encountered both successful and unsuccessful cases among friends. One was able to regularize their property without issues, while another spent over a year trying to sell a house that couldn’t be fully legalized. It is essential to be patient and prepared for these potential delays when purchasing in Greece.

Example of Purchase Costs: A Breakdown

For a transaction of €135,000, expect to budget for the following:

Agency Fees: €2,700 + 24% VAT
Lawyer: Around €800 + 24% VAT
Notary Fees: Around €1,850
Transfer Taxes: €4,171.50 (3.09%)
Registration Tax: €839.50
Additional Costs: Fees for interpreters, translators, and consulate appointments can range from €80 to €240 depending on the services required.

Signing Powers of Attorney: Managing the Purchase Remotely

If you don’t want to make frequent trips to Greece, you can use a power of attorney to manage the process remotely. However, all notarial deeds must be signed in Greek, so you will need an interpreter present during the signing.

Timing and Final Steps: Patience Pays Off

In my case, the entire process took about 12 weeks from signing the pre-sale agreement to finalizing the deed. While it’s possible to move faster, especially if everyone is prepared, transactions in Greece often take three to four months.

To ensure a smooth process, follow these steps:

Find the property and verify its legal status.
Negotiate price and terms, including furniture, co-ownership rights, and deposit arrangements.
Engage a lawyer to handle the legal checks, contracts, and obtain the necessary tax identification numbers.
Sign the pre-sale agreement, pay the deposit, and open a Greek bank account.
Pay the transfer tax and sign the final deed with the notary.

Once everything is finalized, register the property with the local council and utility companies. Then, you can enjoy your new Greek home!

Conclusion

Buying property in Greece can be an exciting yet challenging experience. With careful planning, a reliable team of professionals, and patience, you can navigate the complexities of the Greek real estate market and secure your dream home in this beautiful country.

Note: The content above reflects the personal experiences of our client and may not be representative of every property purchase in Greece.