Dramatic measures designed to tackle Greeceââ¬â¢s economic problems have seen property taxes in the country rise by almost 600 per cent in the last three years. If youââ¬â¢re thinking of buying a property in Greece then you will face increased taxes on your home, and analysts believe that these taxes are having an adverse effect on foreigners buying property in Greece.
Greek government collects 10 times the property taxes they did in 2010
According to recent figures, Greece collected property taxes worth ââ¬2.75 billion (ã2.37 billion) in 2012, compared to ââ¬526 million (ã455.4 million) three years ago. The state is expected to collect ââ¬3.2 billion (ã2.77 billion) in 2013, equivalent to six times the amount generated in 2010. Property Abroad reports that Greece currently has forty different taxes related to property.
Stratos Paradias, the Chairman of POMIDA, the Greek Property Federation, said that many Greeks were looking to reduce the amount of tax they had to pay by listing their homes for sale. However, a lack of domestic and overseas buyers mean there is not a huge demand for property in Greece.
25 per cent of the countryââ¬â¢s population is currently finding it difficult to meet their mortgage payments, and an additional 48 per cent believe that itââ¬â¢s just a matter of time until they face the same dilemma. And, a significant proportion of Greek citizens (82.7 per cent) say that owning a property in the country is not worth it anymore and over 50 per cent of respondents say that renting a home in the country is better than owning one.
Property taxes have been one of the ways in which the Greek government have sought to raise additional revenue, However, increased taxes have left thousands of homeowners struggling to meet both their mortgage repayments and their tax liabilities.
I wonder if this will put overseas property buyers off or help drive down demand and Greek property prices.
Author :
Nick
Marr
Are you looking to buy property in Greece ? Athens , Poros , Paros , Athina , Thessaloniki
Are you looking to rent property in Greece ? Athina , Athens , Santorini , Αθήνα , Mykonos
Author
Nick Marr
I am an internet entrepreneur with a passion for driving big audiences and a love for real estate. I have had plenty of ups and downs which has given me the experience to help others launch their own businesses. I enjoy projects that save consumers time and money, challenge convention and add real value to peoples lives.