Greece has tightened the rules regarding the “Golden Visa” program, which grants residence permits to non-European citizens in exchange for property investments, aiming to address the housing crisis.
According to amendments introduced by Greece’s Finance Ministry on March 22, the required investment amount to benefit from this program has increased from 250,000 euros to 800,000 euros.
The program was launched in 2014 during the economic crisis in Greece when property prices were declining, and construction was stagnant.
According to details, the investment threshold rises to 800,000 euros in areas attracting investors such as the region surrounding Athens, Thessaloniki, Santorini, and islands with a population exceeding 3,100 people, while it is set at 400,000 euros in other areas.
Finance Minister Kostis Hatzidakis stated, “We adopt balanced measures regarding the Golden Visa program, taking into account the population needs of families, without forgetting the necessity to attract investments to the country.”
He added, “These measures are part of the housing policy pursued by the government, aiming, in collaboration with the private sector, to ensure affordable and quality housing for all citizens, considering the need to continue investments in more favorable and balanced conditions.”
According to data from the Bank of Greece, rents have increased by 20 percent since the country officially exited the economic crisis in 2018, leading to a decrease in households’ purchasing power.
Other Southern European countries affected by the crisis, such as Cyprus, Spain, and Portugal, have also implemented similar programs to attract investments.
However, the amendments introduced by the Greek government to the Golden Visa program have sparked criticism.
The Greek Union of Chambers of Commerce and Industry estimated in a letter addressed to Finance Minister Kostis Hatzidakis and Development Minister Kostas Skrekas that “the impact on investments… will be dramatic.”
They added, “It is questionable whether the government’s goals of reducing home prices and increasing the supply of long-term rentals will be achieved.”
According to figures released by the Union, around 20,000 permanent residence permits have been granted so far to property investors, mostly from Turkish, Israeli, and Chinese citizens.
