Buying Real Estate in Greece – 10 Tips to Ease the Process

It is not surprising that more and more people decide to buy real estate in Greece. It is the dream destination for many people: there is nowhere that evokes such magical and romantic associations. White houses covered with bougainvillea that tumble down the slopes of the hills to a blue sea, olive groves, glimpses of ancient myths and legends, the islands bathed in the eternal sun: who could resist the charm of such a country?

Of course, there are also more realistic reasons for wanting to buy real estate in Greece. Greece seems to be a great prospect for the real estate market right now. After the Olympic Games and Greece’s entry into the EU, a large amount of construction took place in the Athens area. Savvy investors are now looking further afield to the remote and beautiful parts of the Peloponnese and islands. If the property is being sought for vacation rental purposes, there are popular areas here where you will rarely find yourself without a tenant. And for potential real estate investors looking for an alternative to the uncertain US real estate market, Greece represents a golden opportunity.

So is it easy to buy real estate in Greece? Well, Greece isn’t the easiest place, but there’s no reason why you can’t do it successfully, as many, many foreign nationals have done. The main thing is to do your homework and be aware of the process, legalities and potential pitfalls beforehand, so that nothing comes as an unpleasant surprise. Here are some guidelines to help you.

1. First of all, decide where you want to buy your property. The land of Greece covers a huge area with an incredible variety of landscapes: island, mainland, coastal, mountain, urban, rural or village. Get to know Greece a bit before you start – this can only be a lovely process!
2. One important thing to keep in mind: if you are not from the European Union (for example, if you are from the US), you need a special permit to buy property in certain areas of Greece. These are actually areas that lie on the country’s outer limits alongside Greece’s neighbors Albania to the north, Turkey to the east, and Libya to the south, and include northern Greece, Rhodes, and Crete. In most cases, getting this approval is not a major issue, but it is something you should be aware of. And don’t even think about trying to avoid it.
3. Before starting the purchase process, regardless of the country you come from, you have to obtain a tax identification number, which you can obtain at any tax office. It’s called AFM (arithmo forologiko mitro). If you are from the US or UK, you must present your passport and complete an M1 and M7 tax form to obtain the AFM.
4. Another requirement is that you must show that the financing you are using to purchase the property is legal. You must declare your source of income for the amount that the authorities consider your property to be worth, and if the funds come from outside of Greece, you must has to keep a copy of the wire transfer and the “pink paper” issued by the bank. Any expenses that you cannot account for will be assessed as “unreported income” and you will have to pay the full tax!
5. You should also open a bank account in Greece, as when you buy your property, the money has to be transferred directly from a Greek bank.
6. Once you have made an offer on the property, the transaction must be supervised by a notary public (symvoliographo). This official will draw up a preliminary contract, at which time he must pay a 10 percent deposit. This is non-refundable unless the title cannot be established correctly; part of the notary’s job is to verify this.
7. You really need a lawyer (thikigraphos), and one who speaks English. You can get a list of those recommended at the British or American consulate. The lawyer must verify that the property actually belongs to the person claiming to be the owner and that they have the right to sell it. Greek houses are often jointly owned by several members of the same family, but the seller may forget to tell you that he only owns part of it!
8. You should also hire a civil engineer (politikos michanikos) to check things like zoning laws (which tell you what you can do with the property) and make sure that the boundaries of the land actually correspond to what is stated in the title . wanderings. It’s a lot of “buyer beware” in Greece.
9. Once the investigations are complete and your financing is in place, the notary public will draw up the final contract. This has to be signed in the presence of the notary, his lawyer and the real estate agent. Then the ownership will be transferred to you.
10. If all this sounds a bit alarming, try talking to some non-Greek citizens who have already gone through the process. They will be happy to chat with you over a few glasses of ouzo and you will soon see that it is not really that difficult.

But the most important thing to keep in mind if you want to buy real estate in Greece is don’t expect to find everything working exactly the way it does in the US or UK. Spend time chatting with friends, sampling food in taverns, and soaking up the Greek way of life. So, when things don’t happen exactly as you expect, you’ll see it not as a frustration but as part of the charm of the place. And a few more glasses of ouzo will help too!