Introduction
Greece has announced a major change that could significantly increase the cost of buying residential property for certain international buyers.
Under the announced measure, the property transfer tax for buyers from countries outside the European Union would increase to 15% for qualifying residential property purchases.
This would represent a significant difference from the current property transfer tax system. At present, the standard property transfer tax in Greece is 3% of the taxable value of the property, with an additional municipal levy calculated on the main tax.
The proposed change is particularly important for Greece because international buyers represent an important part of the property market, especially in Athens, Thessaloniki and popular tourist destinations.
It could also have consequences for investors considering property purchases connected to the Greek Golden Visa programme.
However, the details are still developing. The 15% rate has been announced, but the relevant legislation has not yet been published. This means that important questions concerning the exact scope of the measure, possible exemptions and its interaction with certain investment categories still need to be clarified.
This guide explains what has been announced, how the proposed 15% property transfer tax compares with the current system and what it could mean for international buyers and the Greek real estate market.
1. What Is the New 15% Property Transfer Tax?
The announced measure would introduce a substantially higher property transfer tax for certain buyers from outside the European Union purchasing residential real estate in Greece.
Currently, the standard property transfer tax is 3% of the taxable value of the property.
The buyer is responsible for paying this tax before the final property transfer contract is completed.
Under the announced change, the rate for buyers covered by the new rules would increase to 15%.
This means that nationality could become an important factor in determining the acquisition cost of residential property in Greece.
Why is this a significant change?
Τhe difference between 3% and 15% can substantially increase the amount of capital required to complete a property purchase.
For example, using the headline rates alone:
- On a €250,000 property, 3% represents €7,500, while 15% represents €37,500.
- On a €400,000 property, 3% represents €12,000, while 15% represents €60,000.
- On an €800,000 property, 3% represents €24,000, while 15% represents €120,000.
The difference becomes particularly significant for higher-value investments.
These examples are simplified illustrations based on the stated percentages. The actual tax treatment of an individual transaction will depend on the final legislation, the taxable value and any exemptions or special rules that apply.
2. Who Could Be Affected by the 15% Transfer Tax?
Based on the measure announced so far, the higher rate is aimed at buyers from third countries, meaning countries outside the European Union.
This could make the distinction between EU and non-EU buyers considerably more important when purchasing residential property in Greece.
International buyers from countries outside the EU represent an important part of demand for Greek property, including investors from the United Kingdom, United States, China, Turkey, Israel and countries in the Middle East and other regions.
However, the exact categories of buyers covered by the measure will need to be confirmed in the final legislation.
Will every non-EU buyer pay 15%?
This should not yet be assumed.
The legislation has not been published, and therefore the final rules may contain exemptions, specific conditions or different treatment for certain types of transactions or buyers.
The distinction between an individual purchasing a residential property, a company acquiring real estate and other investment structures may also be important.
For this reason, buyers should wait for the final legal framework before assuming that the 15% rate will apply to every property transaction involving a non-EU citizen.
3. When Will the New 15% Property Transfer Tax Apply?
The timing of the measure is particularly important for buyers who are already planning a property purchase in Greece.
For the moment, the current transfer tax regime remains in force. The official information published by the Greek tax authority continues to state that the standard property transfer tax is 3%.
Therefore, buyers should not calculate a transaction taking place today as though a 15% transfer tax were already in effect.
The announced measure is intended to apply in the future, but its exact implementation rules must be established through legislation.
Why does the implementation date matter?
Property transactions can take several weeks or months to complete.
A buyer may:
- Reserve a property.
- Pay a deposit.
- Sign a preliminary agreement.
- Complete legal due diligence.
- Arrange financing.
- Sign the final notarial deed.
If tax rules change during this process, the relevant date for determining which tax rate applies becomes extremely important.
The final legislation will therefore need to clarify not only when the new rate begins but also how transactions already in progress will be treated.
4. How Much More Could Non-EU Buyers Pay?
If the announced 15% rate applies as currently described, the difference in acquisition costs could be substantial.
Consider an international investor purchasing a residential property for €400,000.
Using only the headline transfer tax rates, a 3% tax would equal €12,000.
At 15%, the amount would rise to €60,000.
That represents a difference of €48,000 before considering other expenses associated with the purchase.
For an €800,000 property, the difference between the two headline rates would reach €96,000.
The total purchase budget becomes more important
Property buyers should never calculate their investment based only on the advertised purchase price.
Other costs can include:
- Property transfer tax where applicable.
- Notary fees.
- Legal fees.
- Land Registry or Cadastre expenses.
- Technical due diligence.
- Agency fees where applicable.
- Other administrative costs.
If the transfer tax increases substantially for a particular category of buyer, these additional acquisition costs become an even more important part of the investment calculation.
This could also influence the maximum property price that some international buyers are willing or able to consider.
5. What Could This Mean for Golden Visa Investors?
The announced 15% property transfer tax is particularly important for the Greek Golden Visa market.
The Golden Visa programme is specifically designed for third-country nationals, meaning that many property buyers using the programme could potentially fall within the category targeted by the new tax.
Under the current Golden Visa framework, qualifying real estate investments generally fall into three main property categories:
- €800,000 in high-demand areas including Attica, the Regional Unit of Thessaloniki, Mykonos and Santorini, as well as certain larger Greek islands.
- €400,000 in other parts of Greece.
- €250,000 for specific categories, including qualifying commercial-to-residential conversions and certain listed buildings.
The €400,000 and €800,000 routes also include additional requirements, including investment in a single property and, for built properties, a minimum main-space requirement of 120 square metres.
Could the 15% tax apply to Golden Visa properties?
This is one of the most important questions that still needs to be clarified.
Because Golden Visa investors are generally third-country nationals, many could potentially be affected by the higher transfer tax when purchasing residential property.
However, the final legislation has not yet been published, and the exact treatment of different Golden Visa property categories and any possible exemptions still needs to be confirmed. Recent reporting has specifically highlighted uncertainty around the interaction between the new tax and Golden Visa investments.
This distinction could be particularly important for the €250,000 route, including commercial properties converted into residential use.
Investors should therefore avoid assuming that every Golden Visa transaction will automatically receive the same tax treatment until the final rules are available.
6. Could the New Tax Reduce Foreign Property Demand?
A significant increase in transaction costs could influence the behaviour of international property buyers.
For some investors, the additional tax may simply become another cost included in the overall investment budget.
For others, however, the difference between the current rate and a 15% rate could affect whether a property purchase remains financially attractive.
This may be particularly relevant for buyers who compare Greece with other European or Mediterranean property markets.
Buyers may become more price-sensitive
If acquisition costs increase, international buyers may respond by:
- Reducing their maximum property budget.
- Negotiating more aggressively on purchase prices.
- Focusing on properties with stronger rental returns.
- Looking for investment categories that receive different tax treatment.
- Comparing Greece more closely with alternative investment destinations.
- Completing planned purchases before the new rules take effect, where legally possible.
The effect may also vary depending on the type of buyer.
A lifestyle buyer purchasing a second home may react differently from an investor whose primary objective is rental yield or Golden Visa eligibility.
For investment-focused buyers, every additional acquisition cost affects the overall return calculation.
7. How Could Athens, Thessaloniki and Tourist Markets Be Affected?
The impact of the announced tax is unlikely to be identical across Greece.
International buyers are more active in some property markets than others, meaning that areas with greater exposure to foreign demand could feel the effects more strongly.
Athens
Athens has attracted substantial international investment in recent years, including Golden Visa buyers and investors purchasing properties for rental income.
If acquisition costs rise significantly for third-country nationals, some buyers may become more selective about neighbourhood, property condition and expected returns.
Prime areas with limited supply may remain resilient, while properties priced primarily around international investor demand could face greater negotiation.
Thessaloniki
Thessaloniki also has an established international investment market.
The city attracts Golden Visa investors, students, international buyers and purchasers looking for residential properties with long-term rental potential.
A higher transfer tax could increase the importance of realistic pricing and rental returns, particularly for investment apartments.
However, Thessaloniki also has substantial domestic residential demand, meaning that the effect would depend on the individual area and property category.
Tourist and second-home destinations
Popular destinations such as Halkidiki, Crete and the Greek islands attract a significant number of international second-home buyers.
For these buyers, the decision is not always based exclusively on financial returns.
Lifestyle, personal use, location and long-term ownership can be equally important.
As a result, premium destinations with limited supply may continue attracting international buyers even if transaction costs increase.
8. Could the Measure Affect Property Prices?
Potentially, but the effect is unlikely to be immediate or uniform.
A higher transfer tax increases the total acquisition cost for the buyer rather than directly reducing the amount requested by the seller.
However, if enough international buyers become more price-sensitive, this could eventually influence negotiations and asking prices in markets that depend heavily on foreign demand.
Sellers may face stronger negotiation
Consider a buyer with a fixed total investment budget.
If a larger part of that budget must be allocated to tax, less capital may be available for the property itself.
Some buyers could therefore attempt to negotiate a lower purchase price to compensate for the additional acquisition cost.
Whether sellers accept those offers will depend on:
- Local demand.
- Availability of comparable properties.
- Domestic buyer activity.
- Property quality.
- Location.
- The seller’s motivation.
- The proportion of demand coming from non-EU buyers.
This means that the new tax would not automatically cause Greek property prices to fall.
Markets supported by strong domestic and EU demand could react very differently from property segments that rely heavily on third-country investors.
9. What Should Non-EU Buyers Consider Before Purchasing?
For buyers from outside the EU who are currently considering property in Greece, timing and legal clarity have become increasingly important.
The first step is to distinguish between the rules that apply today and measures that have been announced for the future.
Until the new legislation takes effect, buyers should calculate transactions according to the tax framework legally applicable at the time of the purchase.
Buyers should examine the total acquisition cost
The advertised property price alone is no longer enough to compare investments.
Buyers should calculate:
- Purchase price.
- Applicable property transfer tax.
- Notary expenses.
- Legal expenses.
- Registration costs.
- Agency fees where applicable.
- Renovation or furnishing costs.
- Golden Visa expenses where relevant.
This provides a more realistic picture of the capital required and the expected return on the investment.
Do not rush a property purchase only because tax rules may change
An upcoming tax increase may encourage some buyers to complete transactions earlier.
However, this should not replace proper due diligence.
The legal status, ownership documentation, building permits, market value and Golden Visa eligibility of the property should still be verified before the purchase is completed.
A lower tax cost does not compensate for purchasing an unsuitable or incorrectly priced property.
10. What Details Still Need to Be Clarified?
Several important questions remain unanswered because the final legislative framework has not yet been published.
These details could significantly affect how the measure operates in practice.
Among the issues that require clarification are:
- The exact effective date.
- The precise definition of buyers subject to the 15% rate.
- Whether residency or tax residency will affect eligibility.
- How joint purchases involving EU and non-EU nationals will be treated.
- Whether companies will be treated differently from individuals.
- Which transactions, if any, will qualify for exemptions.
- How Golden Visa purchases will be treated.
- Whether special Golden Visa property categories will receive different treatment.
- How transactions already underway when the new rules take effect will be handled.
Until these details are confirmed through legislation, buyers should be cautious about making financial decisions based solely on early announcements.
The distinction between an announced policy and a law already in force is particularly important in property transactions, where even a small difference in tax treatment can significantly change the total acquisition cost.
FAQs
Is the 15% property transfer tax already in effect in Greece?
No. The announced 15% property transfer tax for certain non-EU buyers is not currently in effect.
At present, the standard property transfer tax in Greece remains 3% of the taxable value of the property, with the applicable additional municipal levy calculated on the main tax.
The new measure has been announced, but the final legislation and detailed implementation rules still need to be confirmed.
Who will have to pay the 15% property transfer tax?
Based on the information announced so far, the higher rate is intended to apply to certain residential property purchases by buyers from third countries, meaning countries outside the European Union.
However, the exact definition of the buyers covered by the measure and any exemptions will depend on the final legislation.
Will EU citizens have to pay the 15% tax?
The announced measure specifically targets buyers from outside the European Union.
Based on the information currently available, EU buyers are not the group targeted by the proposed 15% rate.
However, the final legislation will determine the exact scope of the measure.
How much is the property transfer tax in Greece currently?
The standard property transfer tax is currently 3% of the taxable value of the property.
The buyer is generally responsible for paying the tax before the final property transfer is completed.
Other transaction expenses, such as notary, legal and registration costs, should also be considered when calculating the total cost of purchasing property in Greece.
Will Golden Visa investors have to pay the 15% tax?
This is one of the important issues that still requires clarification.
Golden Visa investors are third-country nationals, so the announced measure could potentially affect many buyers using the programme.
However, the final legislation needs to clarify exactly how Golden Visa investments will be treated and whether any categories or transactions will receive different treatment.
What about the €250,000 Golden Visa property route?
The €250,000 Golden Visa route currently applies to specific categories of property, including qualifying commercial-to-residential conversions and certain listed buildings.
Whether these transactions will be subject to the announced 15% transfer tax or receive different treatment will depend on the final legislation.
Investors should therefore avoid assuming that the tax treatment of the €250,000 route has already been determined.
How much would the tax be on a €250,000 property?
Using the headline rates as a simplified example, a 3% transfer tax on €250,000 would equal €7,500.
At 15%, the equivalent amount would be €37,500.
This represents a difference of €30,000.
However, this is only an illustration. The actual amount payable would depend on the taxable value of the transaction, the legislation in force at the time and any applicable exemptions or additional rules.
Could the 15% tax reduce property prices in Greece?
It could influence some parts of the market, but it does not automatically mean that property prices will fall.
If non-EU buyers become more price-sensitive because of higher acquisition costs, sellers in markets with significant foreign demand may face stronger negotiation.
However, property prices are also influenced by domestic demand, EU buyers, housing supply, construction costs, location and the overall economy.
Should non-EU buyers purchase before the new tax begins?
The possibility of a higher future tax may affect the timing of some investment decisions.
However, buyers should not rush into a transaction simply to complete it before a possible tax change.
Legal due diligence, property condition, market value, investment potential and Golden Visa eligibility where relevant should still be properly evaluated.
Buyers should also confirm which tax rules apply to their individual transaction before signing the final purchase contract.
What happens if I have already paid a deposit?
The treatment of transactions already underway will depend on the transitional provisions contained in the final legislation.
Important factors could potentially include the date of the deposit, preliminary agreement or final notarial deed.
Until the legislation is published, buyers should not assume that paying a deposit automatically guarantees treatment under the current tax regime.
When will we know the final rules?
The complete position will become clearer when the relevant legislation and implementation details are officially published.
Until then, details concerning exemptions, Golden Visa investments, transactions already in progress and the exact categories of non-EU buyers affected should be treated as subject to change.