Golden Visa Changes in Greece Spark Controversy Among Real Estate Professionals

In recent months, Greece’s popular Golden Visa Program, which offers foreign investors a pathway to residency through real estate investment, has undergone a series of amendments. Real estate experts, however, are voicing significant concerns over these changes, highlighting unintended consequences for the property market and questioning their effectiveness in addressing Greece’s housing crisis.

The program’s new regulations, aimed at controlling the housing market and benefiting residents, instead seem to have triggered a surge in permit applications, sparking market distortions. Dimitris Biniaris, President of the Federation of Real Estate Brokers of Greece, emphasized the complexity of these changes and their ramifications.

“Golden Visa Program Never Contributed to Housing Crisis,” Experts Assert

The Greece Golden Visa Program, launched as a residency-by-investment scheme, is structured to offer residency permits to foreign nationals investing in the Greek economy, most commonly through real estate. Recently, however, as part of an effort to address Greece’s housing challenges, the Hellenic Republic implemented stricter regulations on this program, including increased minimum investment thresholds in popular regions.

Real estate experts argue, however, that the program did not contribute to the housing crisis in Greece. Biniaris pointed out that the properties sold under this scheme were not traditionally owner-occupied residences but were rented at rates 10–15% lower than comparable properties in major cities like Athens and Thessaloniki. “The Golden Visa Program never caused housing shortages,” Biniaris noted. “These properties served an entirely different market segment and did not impact the availability of local housing.”

Minimum Investment Thresholds Reach €800,000 in Select Areas

One of the more controversial amendments introduced by Greek Prime Minister Kyriakos Mitsotakis is the increase in the minimum investment requirement in certain high-demand areas. The new rules, effective as of September 1, mandate a minimum real estate investment of up to €800,000 in prominent locations—a significant jump from previous levels. While designed to ensure higher-quality investments and curb excessive demand, this change has sparked criticism from real estate professionals.

Biniaris expressed frustration with the unilateral decision-making process, highlighting a perceived lack of consultation with industry experts. “Too often, decisions are made without input from those with deep insights into the property market. This has led to unexpected outcomes,” he said.

Northern Greece Emerging as a Prime Investment Destination

Kostas Georgakos, CEO and Co-Founder of Prelevits and Georgakos Real Estate, shared further insights on the rising interest in Northern Greece as an investment hotspot. Popular areas such as Thessaloniki, Halkidiki, Kalamaria, Pieria, and Kavala are now prime targets for real estate investment under the Golden Visa Program.

These areas attract substantial interest due to their close proximity to neighboring countries, allowing easier access for international investors, many of whom are business owners from nearby nations actively engaged in real estate development.

“We have 30 to 40 million people who can drive to Northern Greece,” Georgakos explained. “This ease of access has made Northern Greece one of the most desirable areas for new investments.”

The Economic Impact of Greece’s Golden Visa Program

Despite the challenges and recent changes, the Golden Visa Program remains a significant driver of foreign direct investment in Greece. According to data from Imi Daily, the program contributed over €1.2 billion to Greece’s economy within the first seven months of this year alone. This financial boost underscores the program’s importance not only to the real estate sector but also to Greece’s broader economic landscape, making it a vital component of national fiscal strategy.

Real estate professionals acknowledge the benefits but continue to advocate for balanced approaches that leverage foreign investments while addressing domestic housing needs. The Federation of Real Estate Brokers urges ongoing collaboration between government bodies and industry experts to refine the program, ensuring it continues to attract foreign investment without disrupting local market dynamics.

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