kathimerini.gr
Greek Golden Visa Program Sees Shift in Investment Patterns
Astons identifies three new investment trends in Greece's Golden Visa program: regional properties, repurposed buildings offering lower investment thresholds, and luxury properties in prime locations. Concerns exist regarding potential market distortions in regional areas, while a surge in applications (16,359 since early 2023) highlights the program's continued popularity and processing challenges.
- What are the key changes in investment patterns within Greece's Golden Visa program, and what are their immediate impacts on the real estate market?
- The Greek Golden Visa program is witnessing a shift in investment patterns, with buyers increasingly exploring properties outside Athens and Thessaloniki due to lower costs and better opportunities. This trend is evident in increased transactions reported by notaries in regional areas, with properties valued at €400,000 becoming more common. However, concerns exist about potential market distortions due to inflated prices.
- What are the potential long-term consequences of these emerging investment trends, and what measures could mitigate potential risks, such as market distortions and processing delays?
- The influx of Golden Visa applications, reaching 2,732 in the September-November 2024 period alone, signals a potential for further market changes. The repurposing of older buildings, while offering a lower investment threshold, could lead to a surge in renovated properties by the end of 2025 or early 2026. The long processing times for applications (11,368 pending as of November 2024) indicate the need for streamlined processes to manage the growing demand.
- How do the different investment categories identified by Astons (regional properties, repurposed buildings, luxury properties) contribute to the overall trends in the Greek real estate market?
- Astons, a British investment migration company, identifies three emerging investment categories: properties in regional areas, properties resulting from the change of use of older buildings, and luxury properties in affluent Athenian suburbs and islands. The shift to regional areas is driven by lower costs for Golden Visa eligibility (€400,000), while the repurposing of older buildings (e.g., hotels, offices) offers an alternative at €250,000, even in Athens and Thessaloniki. This strategy encourages more productive investments and increases the housing supply.
Cognitive Concepts
Framing Bias
The article frames the increase in applications for Golden Visas positively, emphasizing the economic benefits and the potential for increased housing stock. While it mentions concerns about market distortions, this concern is presented as secondary to the positive economic impact. The headline (if any) would likely also emphasize the positive aspects of the rising number of applications. The focus on Astons' analysis might also present a slight bias towards the perspective of investment companies.
Language Bias
The language used is largely neutral, focusing on factual reporting. However, phrases like "smart measure" in reference to using older buildings for conversion might be slightly loaded, suggesting a positive evaluation without fully exploring potential drawbacks. The description of the price increases as an "increase" rather than a potential "spike" or "surge" is a slightly understated way to describe a rapid price increase.
Bias by Omission
The analysis focuses heavily on the perspectives of real estate companies and market sources, potentially overlooking the views of residents or those negatively impacted by increased real estate prices in specific regions. The impact on local communities and potential displacement due to rising prices is not directly addressed. There is also a lack of data regarding the nationalities of investors and whether the program is benefiting specific countries disproportionately.
False Dichotomy
The article presents a somewhat simplified view of investment options, primarily focusing on three categories without exploring other potential investment avenues within the Greek real estate market. This might lead readers to believe these three are the only viable options.
Sustainable Development Goals
The article discusses a shift in real estate investment towards regional areas in Greece, potentially contributing to more balanced urban development and reducing pressure on major cities like Athens and Thessaloniki. This aligns with SDG 11, which aims to make cities and human settlements inclusive, safe, resilient, and sustainable. Investing in infrastructure and housing outside major urban centers can alleviate overcrowding, improve living conditions, and promote sustainable urban growth.