Like many Grecophiles, I’ve wondered from time to time about buying a home in Greece, either as a holiday home or to live in full-time. This usually happens after an idyllic two summer weeks with glorious weather, wonderful food and drink, and hours spent relaxing and reading books. And probably a few glasses of retsina.
Then, of course, reality kicks in and you know it can’t always be like that. However, some people make the dream real, like Michael Metcalfe and Jennifer Barclay, both of whom I interviewed recently. And if you enjoyed reading those, I’ve lined up two more interviews over the next few weeks with people who have done the same.
Perhaps I’ll then talk to two friends of ours, who live in France but a couple of years ago built a house in southern Crete. Their situation shows that things can be different in other countries. They couldn’t find a suitable plot of land so the guy who owns the local taverna in the tiny hill village there they were looking said they could build a house on his land. So they did, and while they own the house, he still owns the land.
By a remarkable coincidence, we’d met their future landlord, Lucky, on a walking holiday on Crete a few years earlier, and we made this video featuring him.
I started thinking about all this after reading a report about a week ago by the Greek real estate company, Spitogatos. They said that demand for Greek properties grew by 5% in 2023 over 2022. As last year was a record year for Greek tourism, you can only expect that interest to grow next year.
The most in-demand areas were the beach resorts of Halkidiki, the cities of Athens and Thessaloniki, and several of the Cyclades islands: Paros, Mykonos, Naxos, Syros, and (but of course) Santorini. The buyers mainly came from Germany, the UK and the USA.
But what do you have to think about if you’re hoping to buy a property in Greece? Well, I’m not qualified to give legal advice but some of the things to start thinking about include:
Hire a Lawyer: It's highly advisable to hire a lawyer who specializes in Greek real estate law to assist you with the purchase process. A lawyer can help you navigate the legal complexities, review contracts, and ensure that the transaction complies with all legal requirements.
Due Diligence: Conduct thorough due diligence on the property to ensure there are no legal issues or encumbrances. This may involve reviewing property deeds, survey reports, zoning regulations, and any outstanding debts or taxes associated with the property.
Obtain a Greek Tax Registry Number (AFM): As a buyer, you'll need to obtain a Greek Tax Registry Number (AFM) from the Greek tax authorities. This number is required for various legal transactions, including property purchases.
Sign a Preliminary Agreement: Once you've found a property and negotiated the terms with the seller, you may sign a preliminary agreement (known as a "synallagma" or "protokollon") and pay a deposit to secure the property. This agreement outlines the terms and conditions of the sale and may include a provision for a deposit (usually around 10% of the purchase price).
Title Search and Notary Public: Your lawyer will conduct a title search to verify the property's ownership and ensure there are no legal issues. Once the title search is complete, you'll need to sign the final contract (known as the "sales contract" or "synallagma") before a notary public. The notary public is responsible for certifying the transaction and registering the property transfer with the Land Registry.
Pay Taxes and Fees: You'll be required to pay various taxes and fees associated with the property purchase, including transfer taxes, notary fees, and registration fees. These costs can vary depending on the value and location of the property.
Register the Property: After completing the purchase, the transfer of ownership must be registered with the local Land Registry (Ktimatologio) to officially transfer the property into your name.
And that’s it. Easy! Well, as easy as it is anywhere else in the world, just with a few differences in the way things are carried out.
Do let us know if you go through the process of buying a property in Greece, or if you’ve already done that and live in Greece either full-time or part-time. Maybe we can interview you for the newsletter!
We’d like to end by raising a glass to our friend John Malathronas, who sadly succumbed to cancer this week. John was a talented travel writer, and a lovely, kind, generous and funny man - typically Greek. He died far too young. Here’s a piece he wrote not long ago for the Guardian newspaper in the UK: Hidden Greece. He chose his places well. Yia Mas, John!
Till next time
Mike and Donna