Real estate prices are approaching a new all-time high

Real estate levels in Greece are facing an "explosive price increase" that will soon drive real estate prices, especially for new properties, to new historic heights. In addition to the excess of demand over supply, prices of construction materials continue to rise much faster than the consumer price index.The Hellenic Bank will soon announce the status of the real estate price index for the fourth quarter of 2023 and for all of last year. Another surge should even be taken for granted as all signs point in that direction.

With a further increase in the overall price index, it will approach the historical maximum recorded - always on the basis of Hellenic Bank data - in the third quarter of 2008, just before the "crash" of the real estate market.Especially for new properties that experience faster price growth, a recovery of historical highs is likely to be observed in 2024. The limited ability to finance investments in the real estate market due to the increase in interest rates in the last two years does not seem to be preventing price increases for the time being.