Real Estate - Greece

Greece

The Real Estate market market in Greece is anticipated to achieve a value of US$1.53tn by the year 2024.
Within this market, Residential Real Estate holds the dominant position with a projected market volume of US$1.28tn in 2024.
It is expected to display an annual growth rate (CAGR 2024-2029) of 3.53%, resulting in a market volume of US$1.82tn by 2029.
In a global context, United States is set to generate the highest value in the Real Estate market sector with US$132.0tn in 2024.
The demand for luxury beachfront villas in Greece has surged, driven by international investors seeking Mediterranean escapes.

Key regions: United States, China, Japan, Germany, United Kingdom

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Analyst Opinion

The Real Estate market in Greece has been experiencing significant development in recent years.

Customer preferences: One of the key customer preferences in the Greek Real Estate market is the desire for properties with a historical charm. Greece is known for its rich history and cultural heritage, and many buyers are attracted to properties that reflect this. Additionally, there is a growing interest in sustainable and eco-friendly properties, with buyers seeking out energy-efficient homes and buildings.

Trends in the market: One of the notable trends in the Greek Real Estate market is the increasing demand for properties in popular tourist destinations. Greece is a popular tourist destination, known for its beautiful beaches and historical sites. As a result, there has been a rise in the demand for vacation homes and rental properties in these areas. This trend is driven by both local and international buyers who see the potential for rental income and capital appreciation. Another trend in the market is the growing interest in urban living. Young professionals and families are increasingly looking for properties in the cities, seeking the convenience of amenities and proximity to work and entertainment options. This has led to a surge in the development of residential complexes and mixed-use projects in urban areas.

Local special circumstances: Greece has a unique geographical advantage as it is surrounded by the beautiful Mediterranean Sea. This has created a strong demand for properties with sea views and access to the coast. Coastal properties are particularly sought after by both local and international buyers, contributing to the overall growth of the Real Estate market.

Underlying macroeconomic factors: The Real Estate market in Greece has been influenced by several macroeconomic factors. One of the key drivers is the country's economic recovery following the financial crisis. Greece has made significant progress in stabilizing its economy and attracting foreign investment. This has had a positive impact on the Real Estate market, with increased investor confidence and a boost in property prices. Additionally, low interest rates have made it more affordable for buyers to invest in Real Estate. This has stimulated demand and encouraged individuals and businesses to enter the market. The Greek government has also introduced incentives and reforms to attract foreign investors, further supporting the growth of the Real Estate market. In conclusion, the Real Estate market in Greece is developing due to customer preferences for properties with historical charm and eco-friendly features, as well as the growing demand for properties in popular tourist destinations and urban areas. The country's unique geographical advantage and the macroeconomic factors of economic recovery and low interest rates have also contributed to the market's growth.

Methodology

Data coverage:

Figures are based on value of residential and commercial real estate, average real estate value, residential estate transactions and leases.

Modeling approach / Market size:

Market sizes are determined by a combined Top-Down and Bottom-Up approach, based on a specific rationale for each market segment. As a basis for evaluating markets, we use data from international organizations and industry associations. Next we use relevant key market indicators and data from country-specific associations such as GDP, price level index, household wealth, household size, number of renter and owner households, housing consumer spending per capita. This data helps us to estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the particular market. For example, exponential trend smoothing. The main drivers are GDP per capita, population, number of renter and owner households, price level index, housing consumer spending per capita.

Additional Notes:

The market is updated twice per year in case market dynamics change. The impacts of the Russia-Ukraine war are considered at a country-specific level.