Greece raises price of golden visas after influx drives housing crisis

GREECE tightened its golden visa rules yesterday, raising the required investment in property to as much as €800,000 as Athens attempts to ease a housing crisis.

The programme, which attracted 6,405 Chinese in 2021, was launched in 2014 when it granted foreigners a renewable, five-year residence permit in return for buying a €250,000 home.

The finance ministry announced that from yesterday, that figure would rise to €800,000 in desirable regions, such as Attica, around Athens, Thessaloniki, Mykonos, Santorini and islands with a population of more than 3,100.

In other areas, a €400,000 investment will be sufficient, while for historic property and industrial buildings converted into living accommodation, the threshold has been set at €250,000. Investors must purchase a property of at least 120 square metres.

“These measures are part of the government’s overall housing policy, which aims, in cooperation with the private sector, to ensure affordable and quality housing for all citizens,” said Kostis Hatzidakis, the country’s finance minister.

According to Bank of Greece data, rents have increased by 20 percent since 2018 when the country officially exited a near-decade-long crisis.

Migration ministry data for last year show record demand, with 10,214 applications for initial visa-related acquisitions or renewals. A total of 5,701 golden visa permits were granted in 2023 and 8,800 applications are pending. Investment hit at least €1billion over the year.

However, the Association of Public Limited Companies and Entrepreneurship has warned that it is “highly doubtful” the government will achieve its goal of reducing house prices and increasing the availability of homes for long-term rental.

Some 20,000 permanent residence permits have been granted to real estate investors to date, according to the migration and foreign ministries.