Housing prices increased by 13.4% in 2023.

Last year, prices for residential real estate in the country increased on average by13.4%compared to the previous year, according to data from the Bank of Greece. This is significantly higher than in 2022, when the growth was11.9%Analyzing the price indices provided by the Bank of Greece, it can be observed that from the beginning of 2018 until the end of 2023, the average prices for residential real estate in the country have increased by60%However, in Attica, this growth amounted to79%Again reaching levels observed during the period from 2007 to 2008. As real estate market experts note, in some sought-after areas, housing prices have already surpassed those recorded before the financial crisis.

The rate of price increases in 2023

In 2023, Thessaloniki took the "top" position in terms of price increase rates, where a growth is observed in16.2%that is significantly higher than before12.7%In 2022, the average price increase in Attica this year was13.7%which corresponds to a similar indicator in 2022, when the growth was13.9%In other major cities of the country, the price increase in 2023 reached14.5%while in 2022 this figure was11%In the other regions of the country, home prices have increased on average by10.8%, which is also above8.2%for the previous year.

Slowing down the pace of price growth

However, one of the main trends observed in the central bank's data is the slowdown in the rate of price growth. In the fourth quarter of 2023, prices across the country increased by11.8%in comparison with growth12.1%in the previous quarter and15.4%in the first quarter of 2023.

Prospects of the real estate market

This dynamic indicates that buyers interested in real estate market offerings are beginning to show the first signs of resistance. It is expected that this may lead to a decrease in interest in purchases, which will reflect on the overall state of the real estate market. As a result, the current situation creates conditions for a possible change in the trend of rising prices, especially if there is a real slowdown in housing demand. Thus, on one hand, price dynamics remain at a high level, but on the other hand, it is possible that this activity in certain segments could be balanced by a natural market process.