A Greek Home for the Holidays
The Greek Second Home Market

It was never just “flavor of the month”… and over the past decade, the Greek holiday home market has fully joined the handful of established Mediterranean destinations.

Since the market opened to foreign buyers in the early 1990’s, thousands of holiday homes in Greece have been coveted –and ultimately purchased— by British, German, and other western European buyers. During the same period, the Greek property market has enjoyed steady growth rates of 8-12%. The Greek economy is, notably, one of the fastest-growing in the euro zone; and, thanks to the country’s stable and predictable economic growth, the real estate market can be relied upon to grow at a realistic pace as well, rather than in extreme upswings and drastic downturns all too often seen in up-and-coming markets. 

Though pocket change is hardly enough to buy property in Greece , holiday homes here are, by comparison, still an excellent value for overseas buyers in search of that ray of sunshine and the downtempo lifestyle that goes with it.  These are available in abundance; in fact, is the perfect alternative to the traditional Mediterranean “favorites”: it is accessible, safe, beautiful, loaded with character, and prices in like-to-like comparisons of Greek and French or Spanish property can be up to 50% lower.  There is a large variety of holiday homes for sale, but massive residential developments are not the norm. In most cases, summer homes in Greece retain their local style since, as a rule, the most sought-after locations for second homes are the islands and smaller villages where because of building rules, properties built are in the local traditional style.  And, for supporters of “green” architecture, the sublime climate in provides the perfect grounds for bioclimatic structures, maximizing the benefits of sun and breeze to create energy-efficient, sustainable homes with reduced maintenance costs. 

Since a significant percentage of holiday home buyers originate from Western Europe , it comes as no surprise that a lot of new construction is customized to suit these buyers’ preferences. The concept of homes that are “ready to wear” has caught on, as travel times between Greece and the rest of Europe have diminished and popping over to Greece for a weekend is no longer utopian; fully equipped homes, sold turnkey with everything from furnishings to linens and cutlery sets, ensure that the fortunate owner can spend all weekend by the pool rather than curtain-shopping for the house.  Similarly, the concept of Buy-to-Let properties is taking shape; while property management and guaranteed rentals are in an early stage of sorts, they are increasingly available in, primarily, tourist-savvy locations. This is an important feature, considering that holiday homes usually belong to absentee owners wondering how to make the most out of their investments while, at the same time, enjoying the peace of mind that comes with knowing their property is looked after while they are busy working to fund said investments. 

It is rather unfair that , one of the most mountainous countries in Europe , has settled in people’s collective conscience strictly as a Sea-and-Sun destination. As a result, the overwhelming demand by overseas buyers is for summer homes, with seafront properties carrying the respective price tag and giving credence to global real estate’s “Location, Location, Location” mantra.  Still, inland traditional and newly-built properties abound and they are an excellent alternative for those who can’t afford a seaside property, but don’t mind driving to the beach and yearn for an insider’s take on the famously relaxed village life. After all, even on the larger islands, the beach is never too far away.

So, what’s next? Well, as in most situations, the answer is “It Depends”.  At the moment, is basking in the limelight. The 2006 tourist season ended with a record number of tourists visiting the country. Furthermore, developments in Greek Real Estate are teeming with promise. Demand for holiday homes is expected to outnumber supply, keeping property prices rising, and real estate professionals expect holiday home prices to continue increasing over the next several years. 

The country’s list of charms is long:

• Clean, beautiful beaches
• A perfect 4-season climate  
•  Low crime rate
• A stable economy and long-standing EU membership
• Lack of internal strife
• Ancient history and world-renowned culture 
•  An all-around very high quality of life  
• Untapped potential of winter tourism.

Last but not least, improvements in infrastructure and construction, largely because of the 2004 Olympic Games, have been tremendous. Thanks to new transportation and road networks, travel times have diminished and previously remote areas are within reach.  Soon to be completed is one of the largest road construction projects in Europe, the Egnatia Motorway in northern Greece; a gateway to southeast Europe and the Balkans, it will provide a quick East-West link.  Other significant developments bound to favorably impact the Greek holiday home market include:

• A nationwide Land Registry in progress which, upon completion, will greatly simplify the home buying process
• ADSL / Broadband internet connections are now widely available and enable individuals to conduct business away from home
• Mortgages with low interest rates are also widely available to both Greek and foreign buyers 
• Improvements in the leisure industry, such as golf courses, which are gaining in popularity and becoming the highly marketable focal point of many new developments.