The Property Banks Buyers Guide to Greece
Money imported from abroad to buy a
property in Greece should be officially documented and declared to
the Bank of Greece.
Capital gains tax which is charged as a percentage of the property
value scaled for length of ownership and will be between 10-25%. It
is usually exempt when using the proceeds to move from one home to
another in Greece.
There are a few restrictions for foreign property buyers, mainly due
to security around the border areas close to Turkey.
Property and Real Estate Prices in Greece
Range considerably from:
From £10,000 / $15,000 inland for old stone houses.
From £10,000 / $15,000 for building plots by the coast
Please check with local authority for building regulations in
respect to the size of property to be built.
From £30,000 / $45,000 for coastal apartments.
From £100,000 / $145,000 plus for Villas.
If your property exceeds a certain market value you could be liable
for annual Wealth Tax charged as a singular figure percentage
between 1-2% against the properties declared value.
Locations to buy real estate and property in Greece
It is usually more expensive to buy real estate in coastal and
Island resorts in Greece but of course beneficial when re-selling to
own property in such areas. Crete is very popular for winter
residency.
Living Costs in Greece
Generally lower than other EU countries although luxury goods like
cars are expensive.
Buying property and real estate in Greece
A deposit of 10-30% (normally 10%) is paid after an agreement to buy
is signed which should include buying price details and due
completion date, which varies but can be done in under a month. The
balance of the purchase price is payable on signing the purchase
deed before a public notary in Greece. The notary will check that
your property has the clear title before completing the sale
agreement. They will charge around 1-2% of the property value to do
this.
Solicitor / Lawyer
They will act on your behalf in payment of any local taxes and
register the property deeds with the Land Registry as freehold.
Solicitor/lawyers fees are usually 1% of the properties value with a
fraction charged on top for real estate exceeding a certain value.
Fees
The fees for buying real estate in Greece total 15 -20%. Purchase
tax is charged depending on the properties value at between 9-11%,
in addition 2% is charged on top for properties located in cities.
Land registry fees should be about 0.3% of the assessed value plus a
small sum for stamp duties and certificates. Real Estate agent's
fees are usually paid by the vendor.
Property Tax
Generally quite low, from 0.25% of the property's declared value
annually. This will cover local services. A community tax of around
3% of the property transfer tax is paid to the local municipality
for general public services.
Mortgages
Interest rates in Greece can be the highest in the European Union
(EU) with local mortgages sometimes difficult to obtain because
Greek banks do not like borrowing against property. You will
probably find it's better to arrange a mortgage outside of Greece.
Should you arrange a local mortgage it can be up to 90% of the
property value and repayable between 5-30 years.