The Greek Property Market: A Hidden Gem for Investors . A Market on the Rise

The Greek Property Market: A Hidden Gem for Investors

The Greek real estate market has shown remarkable resilience and offers immense potential for future growth. Over the last five years, the market has produced exceptional gains exceeding 70%, marking a strong recovery following the previous economic recession. According to reports from Eurobank, between 2018 and 2024—during the period when the Greek economy entered a phase of recovery—apartment prices increased by 70.1%. This surge has nearly restored prices to pre-debt crisis levels, with current prices trailing just 1.3% below their 2008 peak. While house sale prices remained relatively stagnant over the past 15 years, the market has been on a strong upward trajectory, delivering outstanding returns for investors. This makes Greece one of the most promising destinations for real estate investment, particularly in high-value areas such as the Athens Riviera.

A Market on the Rise

According to data from Global Property Guide, the cumulative increase in residential property prices in Greece from 2009 to 2024 stands at just 4.22%. This figure is significantly lower than that of other European and Mediterranean countries, where price hikes have been substantial. For instance, Israel has experienced a 150% surge, Portugal 140%, and even Germany and the United Kingdom have seen price increases of 77% and 65%, respectively. Despite this historical underperformance, Greece is now emerging as an attractive and cost-effective alternative to other Southern European markets.

The slow growth of the Greek real estate sector in the past can largely be attributed to the economic crisis of 2010-2015, which led to a sharp decline in property values. Prices plummeted by an average of 45%—and in key urban centers like Attica and Thessaloniki, declines exceeded 50%. During the 2009-2017 period, which encompassed the Greek debt crisis, apartment prices fell by 42%, reflecting a major contraction in domestic demand. However, since 2017, the market has rebounded significantly, with property values climbing steadily, recovering previous losses, and in many cases, surpassing 2009 levels.

It is important to note that over the past seven years, Greece’s real estate market has experienced a remarkable turnaround, significantly outperforming many other European markets. With property prices rising by 70.1% between 2018 and 2024, the Greek market has demonstrated exceptional resilience and growth potential. This surge has positioned Greece as one of the most attractive investment destinations in Europe, particularly in high-demand areas like the Athens Riviera, where demand for luxury properties and short-term rentals continues to rise.

This rapid recovery is particularly evident in the last five years, during which Greece has ranked 18th globally in terms of house price increases, recording a total rise of 56%. In comparison, Cyprus and Spain—markets that experienced similar economic setbacks—saw increases of 25% and 17.26%, respectively, over the same period.

The Athens Riviera: A Prime Investment Opportunity

One of Greece’s most promising real estate destinations is the Athens Riviera. Stretching along the Saronic Gulf, this luxurious coastal area has emerged as a prime location for investors looking to capitalize on high-end tourism and residential demand. The Athens Riviera is increasingly being compared to prestigious European counterparts such as the French and Italian Rivieras but offers better value and higher potential returns.

Factors contributing to the attractiveness of the Athens Riviera include:

• Competitive Pricing: Compared to the French and Italian Rivieras, property prices remain significantly lower, providing an excellent entry point for investors.
• Tourism Growth: Greece is a top-tier tourist destination, and the demand for short-term rentals and luxury accommodations continues to rise. In 2023, international tourist arrivals exceeded 33 million, contributing over €18 billion to the economy.
• Infrastructure and Development: Significant investments in infrastructure, such as the redevelopment of the €8 billion Hellinikon project, are transforming the Athens Riviera into a world-class destination.
• Residency Programs: Greece’s Golden Visa program, which grants residency to non-EU investors purchasing property worth at least €250,000, has attracted a wave of international buyers, further fueling demand.

The Future and Potential of the Greek Market

Despite its impressive recent growth, the Greek property market still has plenty of room for expansion. Housing prices remain relatively affordable compared to other European destinations, providing significant potential for continued appreciation. According to the Bank of Greece, housing demand has been steadily increasing, with foreign direct investment in real estate surpassing €2 billion in 2023 alone.

A key driver of future growth is Greece’s improving economic stability. The country’s GDP is expected to grow by 2.1+% in 2025, outpacing the Eurozone average which is expected to be 0,9% in 2025, while unemployment continues to decline. Additionally, the Greek government has implemented policies to attract international investment, including tax incentives for foreign retirees and digital nomads.

When compared to other global markets, Greece remains an undervalued investment destination. While the average property price per square meter in Athens is around €2,500, cities like Lisbon (€5,000), Barcelona (€6,000), and Paris (€12,000) are significantly more expensive. This price gap, coupled with Greece’s high rental yields—averaging 4-6% in prime locations—makes the market an attractive prospect for investors seeking both capital appreciation and rental income.

For investors seeking high returns and long-term capital appreciation, now is an ideal time to explore the Greek real estate market. The Athens Riviera, in particular, presents a unique opportunity to invest in a high-demand, world-class location before prices align with those of other European hotspots. As Greece continues to solidify its reputation as a premier investment destination, those who act now stand to benefit the most from its untapped potential.

KIOLEOGLOU KONSTANTINOS for Property Investment News 

Kioleoglou Kosta is a Civil Engineer , Meng / Msc  REV Valuer By TegoVa , Certified Safety Engineer  , Managing Partner Avakon