The Golden Visa Program is a “residence by investment” program, providing residence permits to non-EU investors who invest in real estate in Greece, in activities with a positive impact on national development and the economy, or in securities and bank deposits in Greece. In the case of investment in real estate, in particular, applicants can take advantage of the low cost of living in Greece, the opportunity to travel visa-free across the Schengen Area, access to a thriving real estate market and the various tax benefits aimed at specific types of individuals including retirees and digital nomads, making it the most successful part of the program. Although most applicants are Chinese investors, applications from high-net-worth U.S. citizens have also increased, positioning Greece as Americans’ third choice among similar programs. Moreover, since Portugal and Ireland have now canceled their residence-by-investment programs and China has lifted travel restrictions, it is expected that the Greek program will perform even better.
The recent increase in golden visa applications is also due to recent changes to the Immigration and Social Integration Code (Law no. 4251/2014), which increased the minimum investment threshold from €250,000 to €500,000 for properties in certain districts of Athens, Thessaloniki, Mykonos and Santorini. For real estate investments in other areas, the limit remains at €250,000. Unless a further extension is provided, the new limits are now set to apply as of August 1, 2023. On a transitional basis, investors may take advantage of the lower limits provided that they have paid at least 10% of the purchase price and signed a notarial pre-sale agreement by July 31, 2023, and complete their purchase by December 31, 2023.
According to government officials, the recent changes to the law will align the Greek program with similar programs in other countries and make the Greek real estate market more affordable for young locals. At the same time, market experts appear optimistic that this change will attract further foreign direct investment into Greece.
Please contact us for more information about the Greek Golden Visa Program and other investment opportunities in Greece.
Client Alert 2023-159
