The Ministry of National Economy and Finance in Greece has introduced significant amendments to the Golden Visa provisions aimed at addressing the country's housing problem. Effective from March 31, 2024, the new thresholds for investors' permanent residence permit applications present revised minimum property values, eligibility criteria, and conditions for renewal. This article provides a comprehensive analysis of these changes, highlighting their implications for real estate investment and economic development in Greece.
Revised Thresholds and Eligibility Criteria
The revised Golden Visa thresholds outline minimum property values based on geographic location and property type. In designated high-demand areas such as the Region of Attica, Regional Units of Thessaloniki, Mykonos, Santorini, and islands with a population exceeding 3,100 residents, the minimum property value stands at 800,000 euros. In the rest of Greece, including rural areas and smaller islands, the threshold is set at 400,000 euros. Additionally, investors may qualify for the Golden Visa by investing a minimum of 250,000 euros in listed buildings meant for restoration or non-residential buildings converted into residences. However, in the latter cases, completion of the restoration is a prerequisite for permit renewal whereas the conversion from non-residential to residential should be completed before the filing the Golden Visa application.
Conditions for Permit Renewal and Property Usage
To ensure the sustainability of investments and discourage speculative activities, the revised provisions impose stringent conditions for permit renewal and property usage.
Investors must maintain ownership of a single property with a minimum area of 120 sq.m. Long-term leasing arrangements are permissible, whereas short-term leases, such as those facilitated by platforms like Airbnb, are no longer permitted. This shift reflects a broader policy objective to prioritize permanent residency and community integration over transient tourism-driven rentals.
Transitional Arrangements and Compliance Deadlines
Acknowledging the need for a smooth transition, the Ministry has outlined specific arrangements for investors under the previous regime. Investors who have deposited at least 10% of the property's value by September 30, 2024, and complete the purchase by December 31, 2024, are eligible for the existing scheme. However, if the deposit is paid but the purchase is not completed within this timeframe, the investor can opt for an alternative property and finalize the transaction until 30.04.2025.
To sum it up, the updated Golden Visa provisions aim at revitalizing Greece's real estate market. Through adjusted investment thresholds, strengthened eligibility criteria, and encouragement of sustainable property practices, these reforms seek to draw conscientious investors, encourage enduring residency, and bolster socio-economic advancement nationwide.
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