Greece’s real estate sector continues to flourish in 2025, offering promising prospects for international investors and real estate professionals. With sustained growth in both luxury and urban markets, coupled with government incentives and infrastructure developments, Greece solidifies its position as a prime destination for property investment.
Market Overview: Sustained Growth and Rising Demand
The Greek property market has demonstrated remarkable resilience and growth. In 2024, residential property prices in Athens increased by approximately 9.4%, while Thessaloniki saw a rise of around 7.6%. This upward trend is fueled by a combination of domestic demand and a surge in foreign investment. Notably, Piraeus, Greece’s largest port, recorded the highest nationwide increase in average sale prices during April-June 2024, surpassing central Athens in price. This growth is attributed to the Golden Visa program, short-term rental demand, and major metro infrastructure projects.
Golden Visa Program: A Catalyst for Foreign Investment
Greece’s Golden Visa program continues to be a significant driver of foreign investment. In 2024, over 9,400 initial investor residence permit applications were submitted, marking an 11% increase from the previous year. The program has attracted investors from various countries, including the United States, United Kingdom, China, Russia, and the Middle East. Recent updates to the program have introduced higher investment thresholds, with €800,000 required in high-demand areas such as Athens, Thessaloniki, Mykonos, and Santorini, and €400,000 in less dense regions. These changes have spurred interest in emerging markets within Greece, offering new opportunities for investors
EU Scrutiny and Greece’s Golden Visa Resilience
While the European Union has expressed concerns over Golden Visa programs, particularly regarding security and transparency issues, Greece’s scheme remains operational. The EU’s top court recently ruled Malta’s “golden passport” program illegal, emphasizing that citizenship should not be commodified. However, Greece’s program, which offers residency rather than citizenship, continues to attract investors. Despite the EU’s broader skepticism, countries like Greece and Cyprus maintain their Golden Visa programs, highlighting a divergence in approaches within the EU. Greece’s commitment to due diligence and regulatory compliance ensures the program’s sustainability and appeal to foreign investors.
Tourism and Short-Term Rentals: Driving Market Dynamics
Tourism remains a cornerstone of Greece’s economy, significantly impacting the real estate market. In 2023, Greece welcomed over 33 million visitors, fueling demand for short-term rental properties. Platforms like Airbnb have revolutionized the market, particularly in tourist-heavy areas such as Santorini, Mykonos, and Crete. This surge in tourism has led to a sharp increase in property prices in these regions. For instance, property prices in Mykonos rose by nearly 20% in 2023, driven largely by demand from short-term rental investors.
Infrastructure Developments: Enhancing Investment Appeal
Significant infrastructure projects are enhancing Greece’s investment appeal. The Ellinikon Project in Athens, a €10.2 billion real estate initiative, aims to transform the city’s landscape by developing the site of the former Ellinikon International Airport into a smart city featuring residential units, commercial spaces, and recreational areas. Such developments are expected to attract further investment, improve connectivity, and increase property values in surrounding areas.
Sustainability and Energy Efficiency: Emerging Investment Trends
Sustainability is becoming a key factor in the Greek real estate market. Aligned with the European Union’s Green Deal objectives, there is rising demand for energy-efficient buildings and properties incorporating renewable energy solutions. Government incentives for energy efficiency further support this trend, making eco-friendly properties increasingly attractive to investors.
Property Prices: Mainland vs. Islands
Greece’s real estate market in 2025 presents a compelling opportunity for international investors. With sustained growth, government incentives, booming tourism, and significant infrastructure developments, the market offers diverse investment prospects across various regions and property types. Real estate professionals and investors are encouraged to explore the dynamic Greek property market, leveraging its potential for robust returns and long-term growth.