FAQ about buying a property
- Can I buy a property in Greece if I am not Greek?
Any citizen can purchase Land or Property in Greece.
- How can I be sure that I legally own my property?
You will have the deeds of the property in your name on completion of the purchase process. There is also a Land Registry office where you will register the purchase in your name either land or building.
- What is a Tax Number?
All land and property purchases in Greece can only take place if the purchaser has a Greek Tax Number. This can be issued quickly, normally without cost, from the local Tax Office. You will need to take your Passport and fill out an application form. A representative of Mantas Real Estate will be available to accompany you to the Tax Office and assist in the process where required.
- Why do I need a Solicitor?
Your solicitor will carry out all searches pertaining to the property and /or land that you wish to purchase. The solicitor will ensure that the property is ‘clean’, which means that all taxes have been paid for the property/land and that there are no debts outstanding in relation to the property. The solicitor will also check the Planning Permission Permit at the Planning Office, and will check and list the previous owners. Mantas Real Estate can provide a list of well respected, experienced and trustworthy solicitors, English speaking of course, for you to choose from. In addition to the above, your solicitor could also act as Power of Attorney on your behalf if you were unable to be here yourself when the transaction is completed.
- What is the Public Notary Job?
The role of the public notary is to compile the conveyance contract in which the ownership of the property will pass from the vendor to the purchaser. Before the signing of the contracts the notary will ensure that each party has completely understood the procedure that has taken place and fully understand what they are about to sign. In order to ensure that everything is legal and transparent you, as the purchaser, will be accompanied by your solicitor and a representative of Mantas Real Estate.
- Is it possible for me to appoint a Power of Attorney?
Yes, a Power of Attorney of your choice can be appointed to represent your interests in the purchase of your property. This can be organized by a visit to the notary whilst you are on the island. If you are not available to visit the office of the Notary of the Public, Mantas Real Estate can forward to you by email or fax all the relevant instructions and forms required to organize this at the Greek Consulate in your own country. The Greek Consulate will then stamp the forms in accordance with The Hague convention. All instructions and forms will be in the language of your choice.
- How can I transfer money?
The first thing to do is open an account with a local Greek Bank into which you can transfer funds to purchase your new property. Mantas Real Estate can assist and advise in this matter to ensure that you achieve your monetary transfer in the most cost effective manner and to ensure that the monies will be used exclusively for the purchase of your property. Once the funds have been transferred the bank will then issue you or your representative with a ‘pink slip’. This is an important step in the purchase process as the Greek Government requires proof that funds used to purchase property has been transferred into Greece from an external country and the ‘pink slip’ is that proof. Failure to produce such evidence may result in penalties being incurred.
- Can I obtain a Loan / Mortgage in Greece?
The quick answer is yes. Mantas Real Estate will help you to secure the amount you require in the most economical manner. Mantas Real Estate can secure for you, at the most economical rate, a loan / mortgage after collecting all the documents required by the lending bank. These will include a tax statement P60, copy of Passport, Tax Number and details of the property to be purchased. Mantas Real Estate will clarify the terms and conditions of the loan / mortgage ensuring that you fully understand the whole procedure.
- How can I open a Bank Account?
After discussing with you the fees that the bank charges for International Money Transfers and the cost of the other services the Bank may offer, Mantas Real Estate can accompany you to the bank to open an account.
- I want to know, with details, all the extra fees for buying a property in Greece.
- Solicitor - Fees for the deed search and presentation on the sale contract are determined upon agreement
- Public Notary - 1% of the contract value + VAT
- Real Estate - 2% of the agreed price, in the case the sale price is low there is a minimum charge which is always agreed between the buyer and the agent. VAT is not included in the rates above.
- Tax - 3% purchase tax on the value of the property valid from 01-01-2014
- Land Registry Fees - 0.475% of the contract value + VAT
Market Value – is the price you purchase the property for negotiated with the vendor.
Tax Value – is the value which the Government assigns to the property, the value being derived from statistical analysis.
* The tax value is almost always lower than the market value.
- I want to know all the fees payable after buying a property in Greece.
Every two months you will receive an electricity bill from the public company. The cost of electricity is dependent upon the size of the property (m²) and the amount of electricity used. Council charges, which are added to the electricity bill, are based on the area of your property.
Every 2 months you will receive a water bill based on your usage plus a standing charge.
- Do I have to employ an accountant?
Yes you do need to employ an accountant to declare the purchase of your property for which you will need a copy of your Deeds, Passport, Tax Number. and pink slips from your Greek bank, Mantas Real Estate can supply you with a list of well respected, English speaking accountants from which you can choose.
At the end of each tax year, your accountant will file a tax return for you. This is a requirement if you are resident at that time or not. The approximate annual cost for this is 80€.