Why Greece’s property tax take fell 7.4% in 2025 despite booming sales

Greece property receipts fall even as transactions rise

The Greece property market produced a surprise in 2025: property transfer tax revenues fell by 7.4% even though the number and value of transactions increased. That tension—lower tax receipts alongside rising deal activity—is central to understanding how demand patterns and public policy are changing the market for housing and investment real estate in Greece.

In this article we unpack the numbers, explain why tax collections dropped to €607.93 million from €656.49 million in 2024, and outline what buyers and investors should do next. Our analysis combines Bank of Greece data and transaction records to show which buyer groups are expanding, which are shrinking, and where risk is concentrated.

Market snapshot: the headline figures

Here are the key statistics you need to know to follow the market in plain terms:

• Property transfer tax receipts in 2025: €607.93 million (down 7.4% from €656.49 million in 2024)
• Total transfer declarations submitted in 2025: 223,267, up from 211,590 in 2024 and 174,475 in 2023
• Foreign capital inflows (Jan–Sep 2025): €1.46 billion, a drop of 24% from €1.92 billion a year earlier
• Tax-exempt declarations for primary residences under My Home II (2025): 30,325, with a recorded value of about €3.4 billion; in 2024 these were 24,653 worth €2.4 billion
• An additional 7,701 tax-exempt transfer declarations were recorded in 2025 with a combined value of €870 million

Those numbers show more people are buying—but the composition of buyers has shifted.

Why tax receipts fell: buyer mix and policy effects

On paper it looks odd: more transfers but less tax revenue. The explanation is straightforward and tied to who is buying.

• A surge in first-home purchases that qualify for tax exemptions has reduced the taxable base. The My Home II program led to 30,325 tax-exempt transfer declarations for primary residences in 2025, up from 24,653 in 2024, and the declared value rose from €2.4 billion to €3.4 billion. Those transactions are large in volume but generate limited or no transfer-tax revenues.
• Foreign investment cooled. Bank of Greece reports show foreign inflows into real estate for January–September 2025 fell 24% to €1.46 billion, compared with €1.92 billion a year earlier. Fewer foreign buyers or smaller average purchase sizes reduce high-value taxable transactions.
• Reduced interest in residency-linked purchases such as the Golden Visa program is a factor. The BoG report notes that Golden Visa figures and net foreign direct investment receipts for property purchases show a slight weakening relative to the prior year.

Put simply: the market grew in volume, but a growing share of transactions are either tax-exempt or come from smaller domestic buyers rather than foreign investors who tend to buy higher-value assets that produce larger tax receipts.

What this means for investors and buyers

These shifts have direct consequences for strategy, pricing expectations, and risk management.

For buy-to-let and commercial investors

• The drop in foreign inflows reduces competition for premium assets such as central Athens apartments, island holiday homes, and commercial premises. That can create selective buying opportunities in markets where pricing pressures ease.
• Be mindful that lower foreign demand can mean longer holding periods to rent or resell to international buyers. You should stress-test exit strategies against slower cross-border demand.

For first-time and primary-home buyers

• The growth of tax-exempt purchases under My Home II is a real incentive to enter the market now: 30,325 exemptions in 2025 indicate the program is changing buyer behavior.
• Buying a primary residence may reduce immediate tax outlay, but buyers should check eligibility rules and confirm how local transfer taxes and ancillary fees apply.

Pricing and yield expectations

• The overall market is still reporting upward price pressure, but the BoG warns that price growth is expected to continue at a slower pace in 2026 and will depend on international macroeconomic and geopolitical developments.
• For investors, this means focusing on assets that generate clear cash flow (commercial leases, long-term rentals) rather than relying solely on capital appreciation driven by foreign demand.

Policy and program drivers: My Home II and Golden Visa

Government programs are a primary reason the tax base has shifted.

• My Home II is credited with stimulating first-residence purchases: 30,325 tax-exempt transfer declarations in 2025 with a total value of €3.4 billion. That is an increase of nearly 23% in the number of tax-exempt declarations year-on-year and a larger jump in declared value.
• The Golden Visa program and related residency-linked investment schemes showed weaker signals of demand in 2025. The BoG report references reduced interest in Golden Visa grants and lower net receipts from foreign direct investment into real estate.

Policy-driven demand reshapes the taxable mix. Put simply, tax incentives for first-homes can expand homeownership but reduce transaction tax revenues until either policy changes or buyer profiles revert.

Regional patterns and asset types to watch

The Bank of Greece data and transfer declarations do not fully map geography in the public figures, but transaction trends indicate where interest is concentrated.

• Investment demand remains focused on commercial properties, holiday homes, and income-producing assets. These asset classes typically attract foreign buyers and institutional capital and drive larger tax receipts when sold.
• Primary-residence demand appears stronger in suburban and regional markets where affordability aligns with families using My Home II benefits.

For buyers and investors, this suggests a bifurcated market: high-end, tourist-oriented and commercial assets driven by international money; and growing domestic demand for smaller, tax-advantaged primary homes.

Risks and headwinds investors must consider

We aim to be frank about where the market is exposed.

• Dependence on foreign capital makes some segments vulnerable to swings in global liquidity and sentiment.