A Greek property valuation company, Geoaxis, compared the prices of properties in Greece from pre- and post-pandemic years and found that the increase in prices only slowed during the pandemic. The prices overall on the properties have been increasing for the past 5 years to almost 10% as compared to 2019.
There are several factors that affect the fluctuation, such as the type of property, location, year of construction, and overall demand.
Apartment prices in Greece
The depleting natural resources used in the construction industry, the lack or unavailability of cheap labor, and the rising demand for accommodation collectively impact the prices. More and more people look for comparatively cheaper alternatives. Apartments have always been in demand, with the increase in the cost of construction the demand and subsequently, the prices have increased too.
The chart below showcases the percentage increase in apartment prices over the last 4 years:
| Property type | Compared prices in 2019 | Compared prices in 2021 |
| Apartments in new buildings | 11.5% increase from 2018 | 8.5% increase from 2019 |
| Apartments in secondary | 10.7% increase from 2018 | 6.3% increase from 2019 |
The price increase was also seen to be different between locations and cities. Districts such as Ambelokipi where the prices were recorded to be highest per square meter compared to other districts. The table below shows the prices per sq.m in various districts of Athens:
| Location | Price/sq.m 2013 (Euros) | Price/sq.m 2022 (Euros) |
| Ambelokipi | 1,800 | 2,000 |
| Amarousion | 2060 | 2,270 |
| Paleo Faliro | 2,330 | 2,500 |
| Holargos | 2,685 | 2,785 |
The Central Bank of Greece has predicted that the increase in prices will not stop. The projected GDP growth at the end of 2022 is 7.5% which is more than the average GDP growth of the EU. As wealth continues to concentrate in fewer hands, wealthy people prefer to have properties in Greece to spend retirement or holidays, especially in the countryside. The prices of country houses and cottages have also risen compared to yesteryears.
Rentals in different locations in Greece
It’s only natural that when the cost of ownership of property increases the rentals will increase as well. However, the rate of change in rentals may be different from the rate of change in ownership cost. The rentals per month for apartments in Athens are displayed in the table below:
Athens
| Athens | Lowest rent (Euros) | Median rent (Euros) | Highest rent (Euros) |
| City center | 1,500 | 1,922 | 4,000 |
| Close to city center | 1,300 | 2,000 | 3,500 |
Investors who wish to rent out their apartments for the short and long term can expect the profits mentioned in the below chart:
| Accommodation | Location | Lowest price | Median price | Highest price |
| 1 bedroom | City center | 350 | 456 | 650 |
| 1 bedroom | Close to city center | 300 | 430 | 600 |
| 3 bedrooms | City center | 600 | 800 | 1200 |
| 3 bedroom | Close to city center | 600 | 750 | 1100 |
Corfu
Corfu, being on the mainland, is preferred by American and European tourists who wish to live among the locals rather than in resorts and hotels. The variation of rentals is laid out in the table below:
| Corfu | Lowest rent (Euros) | Median rent (Euros) | Highest rent (Euros) |
| City center | 1,000 | 1,500 | 3,500 |
| Close to the city center | 800 | 1,240 | 2,000 |
Expected monthly profits if an apartment is rented out are displayed in the chart below:
| Accommodation | Location | Lowest price | Median price | Highest price |
| 1 bedroom | City center | 300 | 350 | 400 |
| 1 bedroom | Close to the city center | 250 | 270 | 300 |
| 3 bedrooms | City center | 650 | 750 | 800 |
| 3 bedroom | Close to the city center | 450 | 490 | 600 |
Crete
Crete, where the prices hit low in the past, have spiked again; however, Crete is still comparatively cheaper than other areas as shown in the table below:
| Crete | Median rent (Euros) |
| City center | 2,000 |
| Close to city center | 1,500 |
Expected rental profits for apartments in the Crete district are given below:
| Accommodation | Location | Lowest price | Median price | Highest price |
| 1 bedroom | City center | 300 | 350 | 350 |
| 1 bedroom | Close to the city center | 300 | 300 | 300 |
| 3 bedrooms | City center | 500 | 550 | 600 |
| 3-bed room | Close to the city center | 400 | 450 | 500 |
Thessaloniki
It would not be an exaggeration if it says that the city of Thessaloniki is witnessing an explosion in construction activities over the last couple of years. Real estate experts have predicted that property prices in the coming years will grow exponentially.
The Current picture of rentals in Thessaloniki is projected in the table below:
| Thessaloniki | Lowest rent (Euros) | Median rent (Euros) | Highest rent (Euros) |
| City center | 1,500 | 1,900 | 2,500 |
| Close to the city center | 900 | 1,400 | 2,000 |
Expected profits are projected in the below chart:
| Accommodation | Location | Lowest price | Median price | Highest price |
| 1 bedroom | City center | 350 | 400 | 500 |
| 1 bedroom | Close to the city center | 250 | 300 | 400 |
| 3 bedrooms | City center | 600 | 650 | 800 |
| 3-bed room | Close to the city center | 400 | 500 | 650 |
Property price predictions based on current market dynamics
The real estate industry’s dynamics are very different from any other sector. The factors at play here are numerous; demand, buying power, global political situation, supply, construction rate, etc. Moreover, the biggest contributor to growth in this sector has been the country’s Golden Visa Program. Introduced in 2013, the program enables foreign investors to obtain permanent residency and qualify to apply for citizenship if they purchase property worth EURO 250,000. It’s the fastest way to get Greek residency status; Greece is part of the EU, and residency here means free access to the rest of the EU states.
It can be concluded that as long as this program is in place, the prices of the properties will keep increasing or remain stable after reaching the highest realistic price point.
