September 14th, 2024 at 12:13 pm

Greece Raises Minimum Investment for Golden Visas to €800K in 2024

The investment requirement for Greece’s Golden Visa program has been increased to €400,000 for less-saturated areas and €800,000 for high-demand areas. Investors can lock in the lower threshold through December 31, 2024, during a transitional period.

Greece’s resident permits in exchange for real estate investments have been made possible by the Golden Visa scheme, which was launched in 2013. This program is a well-liked option for individuals looking to establish a presence in Europe since it grants non-EU residents a five-year residency in Greece and visa-free entry to the Schengen Zone.

Global Investors Attracted by Low Initial Investment

At first, Greece had one of the lowest minimum investment requirements in Europe at just €250,000. Investors were drawn to this convenient entry point, which fueled the Greek real estate market’s expansion, especially in strategic locations like Athens and the islands. However, the higher demand also brought about a sharp surge in real estate prices, which forced the government to review the investment threshold.

Reasons for Greece’s Increase in Investment Requirements

Greece is set to raise the minimum investment requirement for its Golden Visa program to €800,000 in high-demand destinations like Athens, Thessaloniki, Mykonos, and Santorini, effective September 2024.

The purpose of this modification is to counteract the sharp rise in real estate costs that have resulted in rising housing costs for citizens. By increasing the barrier, the Greek government intends to encourage investment in less crowded areas and balance the growth of the real estate market, so distributing the benefits more fairly throughout the nation.

Important Modifications and Transitional Clauses

Starting in September 2024, there will be a substantial increase in the minimum investment requirement for Greece’s Golden Visa program. By directing investments toward less crowded areas, this action seeks to control the real estate market’s expansion and support balanced development nationwide.

• In high-demand locations like Athens, Thessaloniki, Mykonos, and Santorini, a new investment requirement of €800,000.
• Tiered Approach: To promote wider development, invest up to €400,000 in less desirable locations.

Time of Transition for Current Investors

For both present and prospective investors, there is a changeover time. The first €250,000 ceiling is still available to those who complete the purchase by December 31, 2024 and submit a 10% down payment by August 31, 2024.

Effect on the Real Estate Market in Greece

Due to Greece’s higher Golden Visa requirements, investors may become more interested in Portugal Spain, or other European nations with lower entry requirements. While the €400,000 tier may encourage investments in less well-liked places, a short-term spike in real estate transactions is anticipated as investors scramble to satisfy the existing lower level.

Prospects for International Investors

For international investors, the new developments present both opportunities and challenges. Greece’s Golden Visa is still desirable because of its resident privileges and visa-free travel to Schengen, even with the higher investment criterion.

Greece offers a unique opportunity to enter the European market at the present reduced cost by placing a 10% down payment before August 31, 2024, and completing the acquisition by December 31, 2024. Greece’s stable economy, rich culture, and strategic location enhance value.

Conclusion

The Golden Visa program in Greece is about to undergo some major adjustments that will drastically alter the real estate market in that nation. Although the program’s initial appeal may be diminished by the higher investment level, its goal is to promote more equal and sustainable growth throughout Greece.