Foreign investors, such as Tranio, a Russian fund, are convinced of the potential of the Greek real estate market and its imminent revival. Tranio has already entered the Athens residential real estate market and is planning more acquisitions, using the online auction platforms offering bank and state owned properties. The fund is interested in the Greek market not only because of the low property prices, but also because of the potential for high yields from short-term rental.
Tranio has already acquired one residential building and is planning on purchasing another five similar buildings, with the aim of reselling individual apartments to foreign investors who wish to apply for a residency permit through the Golden Visa programme.
Head Analyst of Tranio, Artem Shitkov, believes that low property prices in combination with subdued social tension has made the market a lot more attractive for foreign investors. Mr Shitkov believes that the increase in tourists (from 14.9m in 2009 to 24.8m in 2016 and nearly 30 projected for 2017) has significantly increased the demand for properties offering short-term rental, despite the crippling increase in taxation during that period.
This interest is reflected in the continuously increasing foreign investment in the Greek real estate market. According to statistics from the Bank of Greece, during the ten month period between January and October 2017, a 76.9% increase in foreign investment was recorded compared to the same period in 2016. The year before, foreign investment in Greek real estate increased by 45.2%, from 186m in 2015 to 270m in 2016.
Interestingly, during the last few years a large proportion of foreign investment in real estate has been in Athens, in contrast to the pre-crisis years where the overwhelming majority was in holiday homes.
For Greek speakers, further reading is available on the relevant Kathimerini newspaper article.