http://www.crete-holiday.org/crete-property-consultant/
A guide investors to buying Real Estate in Greece
Greece has traditionally been a popular tourist destination, but with a relatively interest low in real estate investments. This situation is changing with the recent interest of the European orientation of its recent neighbors.The in Greece after the Olympics 2004 caused worldwide interest thus pushing up demand for tourism and housing. With its serene coastline, cost of living, an enviable history and culture, Greece is an attractive place to invest. The renewed interest in tourism has also brought an increased need for rental. The best part is that in comparison popular with European neighbors like Spain, Portugal and France is a better investment destination.
An overview of the housing market
With a market undervalued assets there could be no better time to invest in Greece and it gets better depending on the choice of place that can give 20-25% yields. Matrix range properties are available, but those in the main islands like Crete, Corfu and Rhodes are more expensive. The options are available from the fine houses of traditional Greek and modern suites, though the location and condition of the houses in determining price. Two bedroom apartments are priced at EUR89, 000 to EUR355, 000 and a three double room costs between EUR148, 000 EUR503, 000. Investments cheaper renewals are possible if you can do.
Vendors market
You can run a business and capture more properties of cheaper fares, but be prepared to spend much on repairs that can sometimes become a nightmare. Depleted buildings with damage to sanitary lines and reconnect the power supply might be more expensive than a new apartment investment int. When it comes to selling a property in a prominent place in Greece is the priority. Although it is difficult to get a property on the islands, it is easier to sell.
Popular places in Greece
Continental Greece is preferred by Eastern Europeans and Scandinavians, but the English for investing in the islands. Crete, with its rich history and peaceful landscape is more sought after by tourists but its quiet location and scenic beauty is the reason why Europeans prefer retirees. Most property is owned by British investors and potential rent increase homeownership rates have shot up by 6-10%. The Peloponnese peninsula, soft and beautiful is ideal for investors with a milder form of investment. A strong history and projecting positive assessment rate, prices have soared by more than 20%. It is also attracting international interest.Greece has strict laws to protect and regulate its coastline, which has led to the untapped maintained, despite all development.Air connectivity to the islands is good and improving with flights from the UK to all major islands, including Crete, Rhodes and Corfu. Direct flights from Manchester to Heraklion and also from Gatwick to Rhodes. GB airlines flights five flights from Gatwick to Heraklion.
The larger islands have well developed island markets.The Rental Peloponnese is separated from the mainland by the Corinth Canal. This isolation is compensated by other channels of transportation as a highway connection railway and the airport of Kalamata. The island is dotted with sandy beaches and rugged mountains and offers warm winters and pleasant summers. Peloponnese is home to the famous Olympia, Epidaurus and Mycenae. English is the largest group of investors as connectivity from Gatwick, Birmingham and Manchester kalmate is strong with the travel time of less than 4 hours. Older properties that can be purchased for 45,000 euros, the range includes stone cottages, houses and villas with traditional architecture.
Property Purchase
A lawyer with knowledge and experience with Greek property procedures is recommended. Good English is an added benefit.
The buying process
The is initiates the process of agreeing a price agreement and closing with a 10% advance, followed by a pre-contract agreement signed by both parties. After all the collection of Information has completed the final deed of sale is signed in front of a notary public. After paying the balance of the owner may be transferred by registration.
Fees and Costs
Compared to other nations for the acquisition tax and registration in Greece is at the top. 13-15 percent of the cost Property taxes are paid, including the transfer of resale tax, council tax to local authorities, legal fees to lawyers and notaries and property registration. The new buildings are charged 19 per cent Value Added Tax.
Financing
There are usually three options when comes to financing a property. Cash, new mortgages and re-mortgaging an existing property are financing options. Although money is the most easy, not always accessible. Mortgages for property can be arranged by a Greek or a lender in the UK. Giving up equity in a property / United Kingdom Ireland can help buy Greek property in cash and thus make it an easy choice. Greece has the highest interest rates compared to its neighbors Europeans. The loans are conservative and applicants must provide proof of income and rent projections are generally not considered.
Taxes Greece
It is recommended that buyers get some tips as imposing Greek legislation are complex. Non-residents may also drop in income support, property, inheritance and gift taxes. From the UK / Ireland has a double taxation treaty with Greece, you are sure to escape paying taxes in both countries. The acquisition of a tax number, called the AFM must participate in all financial exchanges, such as real estate transactions, the purchase of a vehicle or work in Greece. AFM holders must file annual tax returns, regardless of income.
Property Tax Guidelines
To reduce speculation of Greek organizations have implemented capital gains tax that applies to assets purchased after 1 January 2006. The reason is to impose Punishing those in search of quick profits by charging that the inverse of the length of the property is owned. The other tax on property owners is the tax on capital is between 0.3 and 0.8 percent of property value. Wealth tax is not charged on properties with more than 243,600 valuation euros. Apart from the wealth and capital gains that others are local taxes. They take the form of direct and indirect taxes from between 25 to 35 percent of the valuation propertys official.
Greek Economy
Greece mainly trade with EU countries like Germany, Italy, France and also in the U.S. tourism, transportation, food, snuff, textiles, minerals and petroleum products. The sector is rapidly growing service sector. Greek annual GDP growth was 4 per cent during 2003-2005 to touch the periods is above the EU average and it has been performing consistently. The introduction reform and financing of the European Union are the main reasons for this steady growth. The government has been working to strengthen labor and pension mechanism to halt rising unemployment, inflation and national debt.
Communications in Greece
Fixed and mobile phone
The phone market was controlled exclusively by the state through the Agency Tilepikoinonion Ellados (OTE), until the markets opened in 2002. During the years of lost share OTE market, but still controls a significant market share. While other players come from OTE still has an important basic infrastructure such as lines calls. Mobile phone use is important and the pay-as-you-use cards are available in common shops, but only a calling card contract is available by filing a tax number. Payphones are available in abundance.
Using Internet
With the introduction ADSL and broadband, which are faster Internet connections, Internet usage is popular. Large cities and urban areas have access to high speed while ISDN dial-up and are readily available.
Postal
Letters, which are posted on the mainland, may take three days to a week to reach other European countries. The islands take more or less on the basis of their connectivity.
Investing in a property in a different country is a big decision and that require adequate research and many visitors. Planning a budget and work is advisable. It's smart to keep output options available through of the market survey of vendors in the prices of goods and situations do not remain constant. The professional opinion of a local lawyer or consultant of the property would the best way to approach her. Factors such as the valuation of property, income and growth potential are the areas of experience and the best is to hire a consultant tested. A good understanding of the regulations of each country is also essential before signing any purchase contract. Be very careful if this is a partnership or a long-term.
About the Author
Leo Fogarty is Managing Director of overseas property portals www.Overseas-Property.ie and .co.uk . He is also a regular author on greece property, most notably for Property Gallery Magazine in Ireland and is the founder of real estate article directory, PropertyArticles.org