New Taxes May Make Greek Properties Cheaper to Buy For Foreigners

The Greek government has announced newAs part of the package of measures announced
taxes that make various Greek propertiesby the Greek government at the end of April, the
cheaper to buy and many foreign buyers may1% property transaction duty was abolished and
benefit from the changes. These new tax lawsthe transfer tax for resale property was reduced
will also help to boost the real estate market infrom 11% to 10%. Capital gains tax was also
2010. As a result the property market is likely toeradicated.
remain stable.However, for newly built houses and apartments
Purchasing Greek property is generally consideredVAT rose from 19% to 21% which will cancel out
to be a good investment. Although with so manythese tax cuts for some buyers. A new annual
changes in the law it is prudent to get legal advicelevy on more expensive property will increase
and follow the laws provided to safeguard buyers.costs, adding from 0.1% for property of
People who choose to ignore such processes€400,000 to 2% for property costing €5
frequently do so at a financial cost.million or more.