What’s next for Greece’s Golden Visa program: is it still worth investing?
Recent changes to Greece’s Golden Visa program have sparked concerns among industry experts. Dimitris Biniaris, President of the Greek Federation of Realtors, stated that the amendments have led to “market distortions and unintended consequences.” One major issue is the surge in applications for permits, which has disrupted the sector. This spike stems from a transitional provision: investors who made a 10% down payment on a property before August 31, 2024, are allowed to complete their purchase under the old program terms until December 31, 2024. If they fail to finalize the deal by this date, they can transfer the investment to another property by April 30, 2025.
For context, Greece’s Residency by Investment program, popularly known as the Golden Visa, allows foreign nationals to obtain residency through investments, primarily in real estate. Earlier this year, the Greek government revised the program's investment requirements to address the country’s housing crisis.
While the changes aim to regulate the market and increase housing availability, they have also created uncertainty among investors and industry stakeholders.
As of September 2024, Greece’s Golden Visa program has seen significant updates. In highly sought-after regions like Attica (including Athens), Thessaloniki, Mykonos, and Santorini, the minimum investment threshold for real estate has been raised to €800,000. New restrictions have been introduced, limiting purchases to a single property with a minimum area of 120 m². Additionally, short-term rentals, such as those offered via Airbnb, are now prohibited for properties acquired under the program.
Exceptions still exist! It is still possible to qualify for the program with an investment threshold of €250,000, provided specific conditions are met, which we’ll cover in this article.
Experts argue otherwise. They claim that properties purchased by foreign investors were often rented out, frequently at rates 10–15% below market prices in cities like Athens and Thessaloniki. This contradicts the common belief that the program exacerbated the shortage of affordable housing for local residents.
With these changes, investors will need to carefully navigate the updated requirements, but opportunities to enter Greece’s thriving real estate market remain available.
The recent changes introduced by Prime Minister Kyriakos Mitsotakis, which raised the minimum investment threshold to €800,000 in several key regions, have sparked criticism from industry professionals. The Greek Federation of Realtors has expressed concerns, noting that such decisions are often made without consulting experts, potentially harming the country’s investment appeal.
According to Kostas Georgakas, CEO of Prelevits and Georgakos Real Estate, Northern Greece, particularly Thessaloniki, is emerging as a prime destination for new investments. This shift is largely due to the region’s accessibility—an estimated 30–40 million people from neighboring countries can easily travel there. Many foreign investors are already playing an active role in shaping the local real estate market, further solidifying its potential as a key hub for future growth.
Despite the recent increase in the minimum investment threshold for several regions, opportunities remain to participate in Greece's Golden Visa program with a minimum investment of €250,000. Here are the available options:
The minimum investment amount remains €250,000 for properties that require restoration or renovation. However, it is crucial that all restoration work is completed before submitting the Golden Visa application.
Investors can allocate €250,000 toward the purchase of industrial buildings or parts thereof, with the intent to convert them into residential spaces. As with historical buildings, the conversion must be finalized prior to submitting the residency application.
In certain areas of Greece with lower real estate demand, the minimum investment threshold may still be €250,000. However, the exact list of eligible regions should be confirmed, as these conditions are subject to change.
These investment routes provide accessible opportunities for those seeking to benefit from Greece’s Golden Visa program, while also contributing to the country’s property development and revitalization efforts.
The Golden Visa program continues to make a significant contribution to Greece's economy. In the first seven months of 2024 alone, it brought over €1.2 billion in investments, underscoring its importance to the national economy. Moreover, Prime Minister Kyriakos Mitsotakis has announced plans to expand the program to include new investment categories, such as startups, potentially attracting even more investors.
While experts caution that the increased minimum investment requirements may affect the program’s popularity, those who are well-informed about its options can still uncover valuable opportunities.
Greece’s Golden Visa remains one of the most accessible programs in Europe, particularly through pathways that allow participation with a minimum investment of €250,000. For instance, investing in the restoration of historical buildings or converting non-residential properties into residential ones are excellent choices for those seeking projects with long-term value growth.
Despite recent changes, Greece’s Golden Visa program remains a compelling option for investors looking to integrate into Europe while benefiting from opportunities for growth and stability.
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