Greece on the Path to Economic Recovery: Impact on the Real Estate Market in 2024

Greece is emerging from a decade of economic instability, showing steady growth. In 2024, these changes are reflected in the real estate market, which serves as a key indicator of the country’s improving economic situation. Let’s explore how this affects various sectors: residential, commercial, and tourism real estate.
Economic Revival and Market Activation
The growth of GDP, a reduction in unemployment, and an influx of investments are driving the development of the real estate market. Greece attracts both local buyers and foreign investors seeking income and long-term opportunities.
Key factors supporting growth include:
1. Infrastructure projects: Expansion of the road network, modernization of airports, and urban development increase the demand for real estate.
2. Foreign investments: The golden visa program continues to draw investors from the EU, Asia, and the Middle East.
3. Tourism as a catalyst: Rising tourist inflows stimulate demand for rental and resort properties.
Residential Real Estate: Demand and Accessibility
Housing prices in 2024 are on the rise, particularly in Athens and Thessaloniki. This trend is driven by economic recovery and growing interest from international buyers.
Key trends:
• Rising prices: Housing becomes more expensive due to high demand and new projects.
• Market stimulation: Renovation of old buildings and the construction of modern residential complexes.
• Foreign investments: Real estate is seen as a means of capital investment and obtaining residency.
However, rising prices make housing less accessible for the local population, particularly for young people and low-income groups. Authorities are developing support programs to mitigate this issue.
Commercial Real Estate: Sustainable Growth
Commercial real estate, including office and retail spaces, is actively developing due to revived entrepreneurship. City centers remain prime locations for businesses.
The focus is on:
• Energy-efficient buildings: Modern projects increasingly comply with environmental standards.
• SME growth: Office and retail rentals are growing along with economic activity.
These properties are in demand among both Greek entrepreneurs and international companies expanding their presence in the country.
Tourism Real Estate: A Focus for Investors
Greece retains its status as one of Europe’s top tourist destinations, sustaining high demand for tourism-related properties.
Notable trends include:
• Short-term rentals: Apartments and villas in popular regions like Crete and Santorini remain in consistent demand.
• New resorts: Development of vacation infrastructure attracts major developers.
• High returns: Investments in tourism properties provide stable income.
This sector serves as a significant source of revenue for property owners and real estate companies.
Challenges and Prospects
Despite positive trends, the real estate market faces several challenges:
1. Rising construction costs: Increased prices for materials and energy slow project implementation.
2. Bureaucracy: Complex processes for obtaining permits and completing transactions remain a significant hurdle.
3. Housing inequality: Rising prices call for government measures to support vulnerable groups.
In the long-term, Greece’s real estate market retains significant growth potential, supported by stable economic recovery and international investor interest.
Conclusion
In 2024, the real estate market becomes a key indicator of Greece’s economic revival. Residential, commercial, and tourism real estate are showing positive dynamics, strengthening the country’s position on the international stage. For sustainable development, addressing existing challenges and maintaining a balance between investments and accessibility are crucial. This will allow Greece to consolidate its economic progress and establish a strong foundation for future achievements.