The vast majority of properties acquired through Greece's Golden Visa program are not being used as residences by foreign investors. Of the 16,000 properties purchased under the scheme, approximately 15,000 have been reintroduced to the market as long-term rental units. Experts in the sector note that these leases provide stability for both investors and the broader real estate market.
Foreign Investors Favor Long-Term Rentals
Only 6% of Golden Visa holders have chosen to use their properties for personal residence. The remaining 94% have opted to lease them on a long-term basis, significantly increasing the rental supply in key areas such as Attica, the southern suburbs of Athens, and popular tourist destinations like Crete, Rhodes, and Corfu.
Government restrictions on short-term rental platforms, such as Airbnb, have further encouraged investors to pursue long-term leasing. Demand for housing remains high, ensuring a steady market for these rental properties.
Chinese Investors Prefer Guaranteed Rental Income
Chinese nationals make up the largest share of Golden Visa investors and tend to favor rental agreements that offer fixed returns. Companies specializing in Golden Visa investments facilitate this process by providing structured leasing solutions with guaranteed income.
The typical investment model follows these steps:
Property Acquisition and Renovation – Investors purchase properties that have been pre-renovated by real estate firms.
Guaranteed Rental Income – The managing company guarantees a fixed monthly income, regardless of the actual rental status of the unit.
Comprehensive Property Management – The company assumes responsibility for maintenance, utility payments, and overall property administration, providing investors with a hassle-free experience.
Golden Visa's Market Impact and Legislative Changes
Since the program's inception, 12,539 residence permits have been issued, representing around 7% of all property transactions in Greece. However, recent regulatory changes have increased the minimum investment threshold in high-demand areas such as Attica, Thessaloniki, Mykonos, and Santorini to €800,000, while in other regions, the threshold stands at €400,000. These measures aim to curb housing price inflation and improve access to long-term rentals for local residents.
Debate Over the Future of the Golden Visa Program
The Golden Visa scheme has sparked controversy, with political parties like PASOK advocating for its abolition. Critics argue that the program inflates property prices and reduces affordability for Greek citizens. PASOK leader Nikos Androulakis has called for alternative policies that prioritize local housing needs over foreign investment incentives.
On the other hand, industry professionals highlight the program’s economic benefits, citing increased capital inflows and job creation. They argue that the shift toward long-term rentals is stabilizing the housing market and ensuring that investments contribute to growth in targeted areas.
Challenges Faced by Property Owners and Co-Owners
Despite its advantages, the program has also introduced challenges for property management and condominium owners. According to the Panhellenic Federation of Property Owners (POMIDA), some Golden Visa investors neglect financial obligations such as utility payments and fail to provide valid contact details. In cases where properties are resold, outstanding debts are often unfairly transferred to new buyers or neighboring co-owners, creating financial burdens for other residents.
Conclusion
Greece’s Golden Visa program has reshaped the real estate landscape, fostering collaboration between investors and property management firms while contributing to market stability. However, concerns remain regarding its impact on housing affordability and the responsibilities of foreign property owners. As regulations evolve, the challenge will be balancing economic growth with fair access to housing for local communities.
