FAQ'S
ABOUT BUYING A PROPERTY
ABOUT BUILDING AND RENOVATING
LIVING IN GREECE
CAN ANYONE BUY PROPERTY
IN CRETE?
Any EU citizen may buy property in Crete. For citizens from
those countries regarded as "friendly" non-eu countries,
there is a special procedure, which takes time, but it is
possible.
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HOW LONG WILL IT TAKE
BEFORE THE PURCHASE IS FINALISED AND I AM THE OWNER?
If all documents are correct it would be possible to have
it finalised within 3 weeks, however, our experience is that
it is more likely to take 6 weeks – 3 months. Of course
there are those cases where it takes even longer, but if
you want to own your dream property/piece of paradise, persistence
gets you there.
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DO I NEED TO RETURN
TO CRETE TO SIGN THE CONTRACT?
No, not unless you would like to be here for the great occasion.
You can sign a Power of Attorney with our agency lawyer,
and you will be kept informed every step of the way. Alternatively
if you want a few days to think it over at home before making
your final decision, it is possible to have a Power of Attorney
drawn up in your home country.
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IS THERE ANYTHING I SHOULD DO WHILE I
AM IN CRETE IN ORDER TO MAKE THE TRANSFER OF PROPERTY EASIER?
Open a bank account with the minimum amount and make sure
you give the appointed lawyer signing power or have the availability
to do this should you need to do so. If things do not work
out you can always close the account or revoke the signing
power.
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HOW MUCH EXTRA SHOULD
I ALLOW TO COVER COSTS INVOLVED WITH THE PURCHASE?
All expenses including legal expenses and taxes usually come
to approximately 12% of the purchase price. This figure will
cover all the expenses involved. These include fees charged
by the lawyer, notary, courts, deeds registry, taxes and
commission. There are occasions when it is less but very
rarely more.
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WHAT ABOUT PROPERTY TAX?
There is a one-off title transfer tax when the property changes
hands. There is no annual property tax. There is a possibility
of additional tax if the property is in the luxury bracket
i.e. where the property value is over 243 000 € for
a single owner or over 487 000€ for married buyers.
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WHAT IS REQUIRED WHEN
SENDING THE FUNDS FOR PAYMENT?
It would be prudent to have proof of transferring the currency
to Crete and declare it as being for the purchase of property.
In the case of those living outside of the euro-zone, it
is recommended that the currency be converted to euros in
Greece. As there seem to be some changes to the tax office
requirements it would be best to check at the time of your
purchase.
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ARE MORTGAGES AVAILABLE
IN CRETE?
There is not a culture of home loans in Greece, so it would
be more difficult to obtain one in Crete. While all banks
are now giving good mortgage terms, home loans are generally
given to those who have lived in Greece from some years and
have proof of a sustainable income either from within or
from abroad.
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WHAT IS A REALISTIC
BUDGET?
Rather than put a figure on this, I would suggest you look
through the website and see what is available in the budget
range you have. Obviously it is no longer possible to find
a ready-to-live-in 2 – 3 bed roomed home, with a garden
and close to the beach for 30 000 – 40 000 Euros. If
your budget is fixed you may need to compromise one of the
other requirements. There are still good buys, but do not
wait in the hope of finding something wonderful for next
to nothing.
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WHAT IF I FIND A PROPERTY
WITHOUT THE HELP OF AN AGENT?
Nothing stops you from proceeding directly with acquiring
your dream property. Without trying to scare you, let us
just say that most of the hard luck cases we come across
are people who tried this. If you have found a property in
the area in which we operate, we would for a reasonable fee,
be prepared to introduce you to our legal and architectural
teams and any other services you may need. I am sure that
reputable agencies in other areas would be prepared to do
the same.
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WHAT IS THE DIFFERENCE
BETWEEN BUILDING WITHIN OR OUTSIDE OF THE CITY OR VILLAGE
LIMITS?
Building within the village limits means
that you may build on a smaller plot, where the infrastructure
is set up and you pay only connection fees to services such
as electricity and telephone. The density which you may build
on a village plot is much higher.
Building in the countryside, means that
you are required to have a minimum of 4000 sq metres, (there
are a few exceptions.)
You are responsible for costs involved for services to be
brought to your house. This can be expensive and problematic,
so be sure to understand how these will be provided. However,
in typical Greek style there generally is more than one solution.
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WHAT IS INVOLVED
IN BUILDING A HOUSE?
You need to have a plan drawn by a locally registered
Architect/engineer who will do all the necessary work to
make your plans/requirements comply with local building office
laws and submit it to the Planning office.
Once the regional Planning office has approved the plans,
a builder needs to be appointed.
If you wish, we will introduce you to
an architect and builders with whom you can converse, and
help you through the process to the final stage.
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MAY I DO RENOVATING
OR BUILDING WORK MYSELF?
Yes, it is possible, if you are a DIY enthusiast. However,
major renovations or building which requires a building permit,
will need locally registered tradesmen to either do the work
or sign off on your work. There is an estimated number of
man-days work to be covered by the National Insurance (IKA)
and this will need to be paid, even if you did the work yourself.
Tradesmen generally speak only Greek and you would need to
rely on others to act as interpreters unless you make the
heroic effort to learn to speak some Greek.
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MAY I ASK FRIENDS
AND FAMILY TO COME TO CRETE AND HELP ME WITH BUILDING,
PLUMBING AND ELECTRICS?
Yes, but the above conditions still apply.
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HOW RELIABLE AND GOOD ARE GREEK BUILDERS?
We have a few builders with whom we have worked and would
recommend, who are both reliable and good. They are builders,
both Greek and foreign, who have been in the trade for many
years and will finish your home to a fine standard. For those
who are on a tight budget and prepared to do the finishing
off, one can agree how much of the basic structure the builder
will do, BUT, you need to have a very clear understanding
on this. Basically, you get exactly what you pay for; thereafter
the DIY rules outlined above apply. With regard to materials,
all the usual stuff is readily available, and prices are
reasonable.
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HOW MUCH DOES IT
COST TO BUILD?
A 1000 euros per sq metre is a "ballpark figure which" will
give you some idea of what you can expect to pay to get a
completed home of good quality.
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DO I NEED TO LEARN
GREEK?
You will be able to get by with a few phrases. If you are
in a small village you will soon find yourself frustrated
to the point of making an effort to learn more. There are
always Greeks who are willing to help you when you attempt
to speak Greek. I am often surprised at how many people do
manage to learn Greek, despite the fact that it is not the
easiest of languages to acquire.
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MAY I BRING MY CAR?
Yes and No. If this is going to be your first home, then
yes you are entitled to bring the car, tax free, into Greece
and acquire Greek number plates. There is a fee for this
registration. You do need to arrange all the paper work
with the Greek Embassy in your country of origin before
coming to Greece. It is not possible to initiate this procedure
once you are here. If this is your second/holiday home,
then you will only be able to bring the car for a 6 month
period in each year. After the 6 months expires you are
obliged to take the car out of Greece.
The penalty for not complying is high. Cars imported into
Greece must be gasoline-operated with a catalytic converter.
There are several more rules which apply to the type of vehicle
you are allowed to bring. It would be best to obtain the
details from the Greek Consulate in your home country. You
may buy a new or used car in Greece, register it in your
name, and keep it here for your own use but you should research
this as used car prices in Crete are higher than in many
other countries.
Alternatively, one can rent a car – saloon
or 4 x 4 - and if one does so on a fairly regular basis it
is possible to agree quite competitive rates. (A long eared
4 x 4 – donkey - is also an option, but you’d
better have a lot of patience.)
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MAY I WORK OR OPEN A BUSINESS?
All European Union citizens have the right to live and work
in Greece. You will need a residence permit that also serves
as a work permit. This is now a relatively simple procedure
and there is a very small fee. It is obtained for the nearest
Police Headquarters. An accountant or lawyer will help you
with the formalities of opening a business.
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DO I NEED REGISTER
FOR TAX PURPOSES?
If you want to work in Greece, or buy property or a car,
you will need a tax number. It has become a fairly simple
procedure, but is usually obtained by your lawyer or accountant.
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DO I NEED TO PAY
TAX?
Like any of the other EU countries, if you earn a living
in the country – yes. If you have an income from outside
of Greece, you will still need to do an annual tax return
as a formality, but you will not need to pay tax.
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HOW WILL I PAY FOR
SERVICES SUCH AS ELECTRICITY/TELEPHONES WHEN I AM NOT RESIDENT?
It is possible and a fairly simple procedure to sign a debit
order against your bank account.
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DO I NEED TO
CARRY I.D. DOCUMENTS WITH ME AT ALL TIMES?
Yes. It is law. You do need to carry your identity documents
and your drivers licence. If you would prefer to keep your
documents in a safe place, certified photocopies are acceptable.
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