How to Purchase a Vacation Home in Greece From the US

Buying a vacation home in Greece is a dream for many Americans. With its sun-soaked beaches, historic towns, and stunning islands, Greece offers the perfect getaway. 

However, navigating a property purchase from the U.S. requires careful planning, knowledge of local regulations, and trusted local guidance. With the right steps, U.S. buyers can secure property efficiently, avoid pitfalls, and enjoy a smooth transition into owning a Mediterranean retreat.

This guide outlines key steps for purchasing a vacation home in Greece, from budgeting and location selection to legal requirements, financing options, and practical considerations for 2025.

Set Your Budget and Understand Costs

Before exploring properties, define a realistic budget that includes more than the purchase price. Additional expenses may include:

• Legal Fees: Mandatory attorney support for contracts and title verification.
• Taxes: Transfer taxes, property taxes, and potential VAT on new builds.
• Notary Fees: Required for formalizing contracts.
• Renovation or Maintenance: Updates and seasonal upkeep.
• Annual Costs: Utilities, insurance, and property management if you won’t reside year-round.

Consider whether to pay cash or pursue financing. While Greek mortgages are available to U.S. buyers, they often carry higher interest rates and require extensive documentation. Cash purchases are faster and simplify the process.

Work With a Trusted Greek Real Estate Partner

A local expert is essential when buying from abroad. Using a Greece real estate listings service or a Greek real estate consultancy ensures access to verified properties, legal oversight, and smooth transactions.

Benefits include:

• Property Search Assistance: Verified listings, off-market opportunities, and insights on neighborhoods.
• Due Diligence: Title checks, zoning compliance, and historical ownership verification.
• Legal Support: Coordinating contracts, tax registration, and notary appointments.
• Transaction Management: Handling payments and ensuring local compliance.

Many U.S. buyers rely on a consultancy that can act via power of attorney, allowing them to execute contracts even while abroad.

Choose the Right Location

Greece offers diverse options, each suited to different lifestyles and investment goals:

• Mainland vs. Islands: Cities like Athens or Thessaloniki provide amenities and accessibility, while islands like Santorini or Crete offer scenic appeal and tourism-driven rental potential.
• Urban vs. Rural: Urban areas have services nearby, rural villages offer peace and lower prices.
• Tourism Potential: High-tourist areas may offer better rental income but can come with higher property costs and seasonal regulations.

Visiting potential locations beforehand can provide a valuable perspective on lifestyle, infrastructure, and access to essential services.

Obtain a Greek Tax Number (AFM)

A Greek tax number, or AFM, is required to purchase property. U.S. buyers can obtain it through a local tax office or via their attorney under a power of attorney. 

Essential documents include:

• Passport
• Proof of U.S. residence
• Completed application forms (often handled by your consultancy or attorney)

The AFM is needed for paying taxes, registering the property, and opening local bank accounts if necessary.

Appoint a Local Attorney

Even with a consultancy, an independent attorney is crucial to safeguard your interests. Key responsibilities include:

• Power of attorney
• Contract review
• Closing representation

A combination of a consultancy and an attorney provides streamlined communication, legal assurance, and regulatory compliance.

Understand Closing Costs and Timeline

Closing involves several fees and steps:

• Deposit: Usually 10% upon signing a preliminary agreement
• Notary Fees: 1–2% of the purchase price
• Transfer Taxes: Approximately 3–3.5% of property value
• Legal Fees: 1 to 2% depending on complexity

The full process, from offer to registration, typically takes 6 to 12 weeks. Administrative delays are common, so planning and patience are essential.

Plan for 2025 Rule Updates

New regulations affecting property ownership and taxes are expected in 2025. To stay compliant:

• Monitor Greek government publications and legal advisories
• Confirm that your attorney and consultancy are aware of the coming changes
• Adjust budgeting to accommodate potential updates in taxes or compliance obligations

Finance vs. Cash Purchase

Cash is often the simplest route, but Greek mortgages are an option. Consider:

• Higher interest rates than U.S. mortgages
• Documentation requirements, including proof of income and AFM registration
• Loan-to-value ratios are typically 60 to 70% for foreign buyers

Many buyers combine partial financing with cash for flexibility and liquidity.

Final Thoughts

Purchasing a vacation home in Greece from the U.S. is manageable with careful planning and trusted local support. By budgeting accurately, selecting the right location, obtaining a Greek tax number, appointing a local attorney, and working with a reputable Greek real estate consultancy, buyers can navigate the process confidently. 

Understanding financing, closing costs, and upcoming regulatory changes ensures a smooth transaction and long-term enjoyment of your property.

Also read: What Most Homeowners Don’t Realize About Water and Fire Damage: Hidden Risks and Lasting Solutions