Foreign investment in Greece’s real estate market is set to soar in 2024, driven by the Golden Visa program and unprecedented demand.

As we delve into the intricacies of the Greece’s real estate market, 2024 is shaping up to be a watershed year, with foreign investment poised to shatter all previous records. This remarkable escalation can be largely attributed to the Golden Visa program, which has catalyzed a significant uptick in investment activity.

According to the latest data from the Bank of Greece (BoG), foreign investments had surged to an impressive €1.9 billion by the end of the third quarter of 2024, reflecting a robust 17% increase compared to the previous year. The third quarter itself proved to be particularly dynamic, witnessing investments amounting to €758 million—an astonishing 40% rise from 2023. This fervent activity is intricately linked to recent modifications to the Golden Visa regulations, which have elevated investment thresholds and consequently intensified demand for real estate in anticipation of the new rules set to take effect on September 1.

Under the revised framework, the requirements for obtaining residence permits through the Golden Visa have been recalibrated: a minimum investment of €800,000 is now mandated in prime locations such as Attica, Thessaloniki, and major islands, while the threshold for other regions has been raised to €400,000 from the previous €250,000. This recalibration has resulted in a remarkable 7,052 applications for new permits within the first ten months of 2024, culminating in total investments of at least €1.7 billion.

There are three primary categories of foreign investors actively participating in this burgeoning Greek real estate market:

1. Golden Visa Investors

Despite the prevailing momentum, the increase in investment limits, coupled with restrictions imposed by countries such as China, has tempered demand in this segment.

2. Tourist Real Estate

Investors from Israel are capitalizing on the opportunity to transform affordable properties into lucrative tourist accommodations, although they face challenges stemming from restrictions on short-term rentals.

3. Quality of Life Investors

A growing number of Europeans and individuals from the Balkans are gravitating towards properties that offer either vacation retreats or permanent residences, with a particular focus on the picturesque Halkidiki region and luxurious island estates.

Looking ahead, the Greece’s real estate market remains an alluring destination for foreign investors, who continue to underscore the country’s vast potential in tourism, real estate, and overall quality of life. As we navigate the complexities of this evolving landscape, one cannot help but marvel at the intricate interplay of economic factors that render Greece a veritable beacon for investment in the years to come.