Old vs New Property in Greece: Making Your Optimal Investment Choice

Reading time: 12 minutes

Table of Contents

• Introduction: The Greek Property Landscape
• Defining “Old” and “New” in Greek Real Estate
• Cost Analysis: Upfront Investment vs Long-Term Value
• Character and Charm: Architectural Considerations
• Location Dynamics: Where Old and New Properties Dominate
• The Renovation Reality: What to Expect with Older Properties
• Energy Efficiency and Sustainability Factors
• Legal Considerations and Documentation
• Rental Potential: Tourist Appeal and Yield Differences
• Real-World Experiences: Buyer Case Studies
• Your Decision Framework: A Practical Approach
• Frequently Asked Questions

Introduction: The Greek Property Landscape

Thinking about buying property in Greece? You’re facing a fundamental choice that goes beyond aesthetics or price: old versus new property. Each option carries distinct advantages, challenges, and potential returns that might dramatically impact your investment satisfaction.

The Greek real estate landscape is as diverse as its 6,000 islands, with property options ranging from centuries-old stone houses to ultramodern seafront apartments. After a decade-long economic crisis that saw property values plummet by over 40%, the market has entered a recovery phase with foreign investment playing a crucial role in its renaissance.

Maria Papadopoulou, a seasoned Athens-based real estate consultant, notes: “The choice between old and new properties in Greece isn’t merely about building age—it’s about lifestyle priorities, investment horizons, and your appetite for hands-on involvement.”

Let’s navigate the Aegean of property options to help you determine whether Greece’s architectural heritage or its construction future aligns better with your Mediterranean dreams.

Defining “Old” and “New” in Greek Real Estate

Age Classifications in the Greek Context

In Greece, property age classifications carry nuanced implications that differ from other European markets. Generally speaking:

• New properties: Typically built within the last 10-15 years, conforming to contemporary building codes established after 2010, especially regarding earthquake resistance and energy efficiency.
• Intermediate properties: Constructed between 1980-2005, often representing the first major tourism-driven construction boom.
• Old properties: Built before 1980, ranging from mid-century structures to historic buildings that may be centuries old in traditional villages.
• Heritage properties: A special category of protected structures (often designated as diatiritea) with historical significance, subject to strict renovation regulations.

Unlike Northern European markets where “character properties” might be 30-40 years old, Greek “old properties” often have histories spanning generations. A traditional stone house on an island like Crete might have witnessed Ottoman rule, while an “old” apartment in Athens might date to the post-war construction boom of the 1960s.

The Construction Evolution

Greece’s construction approaches have evolved significantly:

Pre-1980s buildings typically feature thicker walls, smaller windows, and less standardized layouts. They were built before the implementation of modern seismic standards and energy codes.

The transition years (1980s-2000s) saw increased concrete usage and the beginning of more standardized approaches, though still often relying on traditional craftsmanship.

Modern construction (post-2010) emphasizes energy efficiency, earthquake resistance, and contemporary amenities, often incorporating smart home technologies and sustainability features previously rare in the Greek market.

Cost Analysis: Upfront Investment vs Long-Term Value

Initial Purchase Price Differentials

The price gap between old and new properties varies dramatically by location. In Athens’ prime neighborhoods like Kolonaki or Glyfada, new construction can command a 30-40% premium over similar-sized older units. However, on islands like Santorini, charming centuries-old cave houses might actually fetch higher prices than new builds due to their unique character and limited supply.

Consider this comparison of average price per square meter in different regions:

The Hidden Costs Equation

The initial price tag tells only part of the story. With older properties, consider these additional potential expenses:

• Renovation costs: Older properties often require significant updates, potentially adding 30-60% to your initial investment.
• Energy efficiency upgrades: Improving insulation, replacing single-glazed windows, and modernizing heating systems can cost €15,000-30,000 for a typical apartment.
• Structural reinforcements: Properties predating modern seismic codes might require structural interventions costing €40,000+ for a small house.
• Plumbing and electrical rewiring: Outdated systems usually need complete replacement at €8,000-15,000.

Conversely, new properties carry their own financial considerations:

• Higher property taxes (ENFIA): Newer properties generally have higher taxable values.
• Developer premiums: New builds often include a 15-25% developer profit margin.
• Landscaping costs: New properties may have unestablished gardens or outdoor spaces requiring significant investment.

Nikos Papadimitriou, a property developer in Rhodes, shares: “Many foreign buyers underestimate renovation timelines in Greece. What might take 3 months elsewhere often requires 6-9 months here due to supply chain issues on islands and the seasonal nature of the construction workforce.”

Character and Charm: Architectural Considerations

Aesthetic Value and Authenticity

Greece’s older properties offer distinct architectural elements that new constructions often struggle to replicate authentically:

• Stone-built walls with irregular textures and natural insulation properties
• Hand-crafted wooden beams and traditional ceiling treatments
• Original terracotta floor tiles with patina developed over decades
• Authentic features like stone ovens (fournoi), traditional cisterns, and courtyard configurations
• Natural integration with the surrounding landscape developed over generations

Elena Karagianni, an architectural preservationist, observes: “Traditional Greek buildings weren’t designed on paper but evolved through accumulated wisdom about local climate conditions. Their positioning relative to prevailing winds, sun exposure, and natural water sources represents centuries of environmental adaptation that modern architects are only now beginning to appreciate.”

Spatial Layout Differences

The design philosophy between old and new properties differs fundamentally:

Older properties typically feature:

• Compartmentalized spaces serving specific functions
• Smaller windows strategically placed for cross-ventilation
• Thicker walls creating natural temperature regulation
• Outdoor spaces integrated as essential living areas
• Irregular room dimensions following terrain or historical expansions

Newer properties typically emphasize:

• Open-concept layouts prioritizing visual connectivity
• Larger windows maximizing views and natural light
• Standardized room dimensions for furniture compatibility
• Built-in storage solutions and contemporary spatial efficiencies
• Technical spaces for modern systems (HVAC, networking hubs)

Location Dynamics: Where Old and New Properties Dominate

The geographical distribution of old versus new properties follows distinct patterns across Greek regions, creating location-specific considerations for buyers.

Urban Centers: The Transformation Tale

In Athens and Thessaloniki, property age often correlates with neighborhood character:

The historic centers feature predominantly older buildings, many dating to the mid-20th century construction boom. These areas offer authentic urban Greek living with proximity to cultural sites but often lack amenities like parking or elevators.

The emerging districts seeing new development tend to be former industrial zones now experiencing regeneration (like Gazi in Athens) or expanding suburban areas with better infrastructure but less distinctive character.

Urban property specialist Dimitris Alexopoulos notes: “Central Athens neighborhoods like Koukaki and Pagrati are experiencing a fascinating phenomenon where older apartments are being completely reimagined as boutique accommodations, blending historical bones with contemporary design.”

Island and Coastal Considerations

Greece’s islands present a complex property landscape:

• Tourist-saturated islands (Mykonos, Santorini): Older properties in prime locations command premium prices, while new construction often occupies secondary locations.
• Emerging destinations (Paros, Milos): Balanced availability of both property types, with new developments targeting international buyers.
• Under-the-radar islands (Leros, Amorgos): Predominance of older properties, often at compelling value points but requiring significant renovation.

The mainland coastal regions show distinct patterns as well. The Peloponnese features numerous traditional stone houses in hillside villages with sea views, while areas like Halkidiki showcase more contemporary vacation developments.

The Renovation Reality: What to Expect with Older Properties

The romance of restoring a traditional Greek property often collides with on-the-ground realities that can test both patience and budgets.

Common Structural Challenges

Older Greek properties frequently present these structural issues:

• Dampness and water intrusion: Traditional building methods often lacked effective moisture barriers, leading to salt damage on coastal properties.
• Roof integrity: Older tile roofs may have underlying structural weaknesses not immediately visible.
• Foundation concerns: Properties built on slopes or with inadequate foundations may show settlement or shifting.
• Seismic vulnerability: Structures predating modern earthquake codes may require significant reinforcement.

Civil engineer Georgios Mavridis warns: “Always conduct thorough structural surveys before purchasing older properties, particularly those built before the 1980s when more rigorous seismic codes were implemented. What looks like superficial cracking could indicate more serious structural issues.”

Navigating the Renovation Process

Renovating in Greece has distinctive characteristics:

The permitting maze: Renovation permits can be surprisingly complex, especially for properties in designated heritage areas, near archaeological sites, or on islands with special building regulations. The process typically takes 3-6 months but can extend to a year for complex cases.

Seasonal construction realities: On many islands, construction effectively halts during the peak tourist season (May-September). This means renovation projects often face extended timelines compared to mainland Europe.

Finding skilled artisans: While Greece has excellent stoneworkers and traditional craftspeople, they’re increasingly scarce, especially for specialized work like traditional plaster techniques or stone restoration.

Case Study: American couple Sarah and Michael purchased a 120-year-old stone house on Lesvos for €75,000, budgeting €100,000 for renovations. Their actual costs grew to €145,000 as they discovered the need for foundation reinforcement and complete replacement of electrical systems. Their timeline extended from an anticipated 6 months to nearly 18 months due to permitting delays and seasonal workforce availability.

Energy Efficiency and Sustainability Factors

Energy performance represents one of the starkest contrasts between old and new Greek properties, with significant implications for comfort, operating costs, and environmental impact.

The Energy Performance Gap

Greek properties are rated on an energy performance scale from A+ (most efficient) to H (least efficient). This classification impacts everything from comfort to resale value:

• Most pre-1980 properties fall into the E-H categories without renovations
• Properties built 1980-2000 typically achieve D-E ratings
• Post-2010 constructions generally achieve B-C ratings
• Only the newest premium constructions reach A or A+ standards

This efficiency gap translates directly to utility costs. A typical 100m² older apartment might require €1,800-2,500 annually for heating and cooling, while a new energy-efficient equivalent might require only €700-900.

Environmental engineer Eleni Konstantinidou explains: “The most significant thermal losses in older Greek properties come from inadequate insulation and single-glazed windows. While the thick stone walls of traditional houses provide some natural thermal mass, they typically lack proper moisture barriers and insulation layers.”

Modernization Potential and Limitations

Upgrading older properties faces varying degrees of difficulty:

• Insulation additions: External insulation systems (common in northern Europe) may be prohibited on traditional buildings with protected facades.
• Heating system conversions: Transitioning from older oil-based systems to heat pumps often requires significant electrical upgrades.
• Window replacements: Heritage properties may face restrictions on changing window appearances, requiring custom solutions.
• Renewable energy integration: Solar installation permits can be complex, especially in protected architectural zones or scenic areas.

However, Greece offers the “Εξοικονομώ κατ’ οίκον” (Save at Home) program, providing subsidies for energy upgrades. Foreign property owners should note that eligibility requirements can be complex and change frequently.

Legal Considerations and Documentation

The legal landscape differs significantly between old and new properties, presenting varying levels of complexity and risk.

Title Clarity and Ownership Verification

Older properties in Greece often present more complex ownership documentation challenges:

• Inheritance complexity: Properties passed through generations may have multiple co-owners, sometimes unaware of their rights.
• Historical title gaps: Documentation may be incomplete or contain discrepancies, especially in rural areas.
• Boundary disputes: Older properties often lack precise boundary definitions common in modern land registry entries.

Greece’s ongoing Cadastre (National Land Registry) project aims to systematize property records, but the transition creates temporary complications. Areas not yet integrated into the system rely on older property registration methods at local mortgage offices (ypothikofilakeia).

Legal advisor Adonis Petrakis cautions: “Never proceed with a property purchase without a thorough title search going back at least 20 years. This is especially crucial for older properties in rural areas where informal family arrangements may have superseded proper legal transfers.”

Compliance and Building Legitimacy

A critical issue with older properties involves building legitimacy:

Many older structures have unauthorized additions or modifications (afthereta) added over decades. Greece has implemented successive legalization programs allowing owners to declare and legitimize such modifications, but properties with unresolved illegalities can face difficulties with utility connections, renovations, or resale.

Newer properties should have complete building permits and documentation, though buyers should verify that the final construction matches approved plans.

A crucial document for any property purchase is the “Certificate of Legality” (Veveosi Nomimotitas), required for property transfers since 2011. This document certifies that any illegal construction elements have been properly declared and legalized.

Rental Potential: Tourist Appeal and Yield Differences

For investors, the rental potential of Greek properties varies significantly between old and new options, influenced by changing tourist preferences and operational considerations.

Market Appeal Patterns

The short-term rental market shows distinct preference patterns:

• Authenticity seekers: A growing segment of travelers specifically seeks authentically restored traditional properties offering “local living” experiences.
• Comfort prioritizers: Family travelers and luxury seekers typically favor newer properties with modern amenities and predictable standards.

Data from major booking platforms suggests authentically renovated traditional properties can command 15-25% higher nightly rates than comparable modern units in the same location. However, they typically experience higher seasonality, with sharper drops in occupancy during shoulder seasons.

Tourism consultant Georgia Papadaki notes: “The most successful short-term rental properties in Greece blend authentic architectural elements with modern conveniences. Stone walls and wooden beams create atmosphere, but guests still expect efficient air conditioning and reliable Wi-Fi.”

Operational Considerations

The operational realities of managing rental properties differ significantly:

Newer properties typically offer:

• Lower maintenance requirements and emergency repair frequencies
• Better energy efficiency, reducing operational costs
• More standardized management approaches
• Easier compliance with safety regulations

Older properties often involve:

• Higher ongoing maintenance costs (typically 30-40% more annually)
• More complex guest instructions for property-specific features
• Greater vulnerability to seasonal issues (humidity, heating challenges)
• Higher insurance premiums in some cases

Case Study: British investor Robert purchased two equivalent-value properties on Crete: a renovated traditional stone house in a hillside village and a new two-bedroom apartment near the coast. The traditional house generates 22% higher average nightly rates but operates at 65% annual occupancy versus 78% for the apartment. When accounting for higher maintenance costs, the traditional property’s net yield is approximately 5.8% compared to the apartment’s 6.3%.

Real-World Experiences: Buyer Case Studies

Beyond statistics and market analysis, individual experiences illuminate the real-world implications of choosing old versus new in the Greek property market.

The Village Restoration Project

Canadian couple Marc and Stephanie purchased a 150-year-old stone house in a mountain village on Crete for €65,000 in 2018. Their experience highlights the emotional and financial journey of traditional property ownership:

Initial attraction: “The history embedded in the walls, the connection to traditional village life, and the unbeatable authenticity of a house that had sheltered generations.”

Unexpected challenges: Their renovation budget doubled from €85,000 to €170,000 when structural engineers discovered that the rear wall required complete rebuilding due to subsidence issues. The project timeline extended from 8 months to 17 months.

Satisfaction assessment: Despite the financial overruns, Marc reflects: “When we sit on our terrace watching the sunset over the mountains, knowing we’ve preserved a piece of Cretan heritage, the extra cost feels worthwhile. But I’d advise anyone considering a similar project to double their contingency budget and halve their timeline expectations.”

The New-Build Advantage

German retirees Klaus and Ingrid purchased a newly constructed two-bedroom villa near Kalamata in the Peloponnese for €280,000 in 2019. Their experience highlights the streamlined path of contemporary property:

Initial attraction: “Energy efficiency, minimal maintenance, and the peace of mind that comes with modern construction standards. We wanted to enjoy Greece, not become project managers.”

Realization of benefits: The couple moved in within three weeks of purchase completion, requiring only minor personalization. During their first winter, they noted heating costs approximately 35% lower than friends with similar-sized traditional properties.

Satisfaction assessment: “For our life stage, the new property was absolutely the right choice. We spend our time exploring Greece rather than dealing with contractors. The only downside is that our house looks similar to others in the development—we sacrificed uniqueness for convenience.”

Your Decision Framework: A Practical Approach

The old-versus-new decision ultimately hinges on your personal priorities, resources, and vision for Greek property ownership. Consider this framework to clarify your optimal path:

Honest Self-Assessment Questions

Before property hunting, answer these fundamental questions:

1. Time horizon: How long do you realistically intend to own this property? Shorter timeframes (5-7 years) might favor newer properties with easier exit strategies.
2. Usage patterns: Will this be a vacation home, rental investment, or permanent residence? Each pattern favors different property characteristics.
3. Project tolerance: How comfortable are you with uncertainty, delays, and remote project management? Renovation projects require significant tolerance for all three.
4. Budget flexibility: Can your finances absorb a 30-50% cost overrun without creating hardship? If not, new construction offers more predictability.
5. Local presence: How much time can you physically spend in Greece during any renovation period? Remote management significantly increases complexity.

Strategic Compromise Approaches

Many successful buyers adopt middle-path strategies:

• The “bones and location” approach: Prioritize structural integrity and prime location, accepting cosmetic improvements as your contribution to the property’s evolution.
• The “renovated traditional” solution: Seek properties where someone else has already completed major structural renovations but left room for personalization.
• The “new build with character” option: Some developers now specialize in new constructions incorporating traditional architectural elements and materials.
• The “phased renovation” strategy: Purchase a livable but dated property, implementing improvements gradually as budget allows.

Real estate advisor Stavros Kondylis suggests: “Consider focusing your authenticity requirements on the aspects most important to your daily experience. Perhaps traditional stonework and wooden beams matter more than an authentic kitchen or bathroom, areas where modern functionality significantly enhances quality of life.”

Beyond Binary Thinking: Your Greek Property Journey

The “old versus new” question in Greek real estate isn’t truly a binary choice but rather a spectrum of possibilities with hybrid options emerging as popular solutions. The most satisfied owners typically approach their purchase with clear-eyed pragmatism balanced with heartfelt connection to what makes Greece special.

Your optimal property match ultimately depends on aligning your personal values with practical realities:

• If authentic connection to Greek cultural heritage drives your purchase, a thoughtfully renovated older property might deliver deeper satisfaction despite higher costs and complexities.
• If your priority is hassle-free enjoyment with predictable costs, newer properties offer substantive advantages that may outweigh their relative standardization.
• If investment return is your primary focus, location specifics often matter more than building age, though operational efficiencies usually favor newer constructions.

The Greek property market’s evolution continues to accelerate post-pandemic, with changing work patterns enabling longer stays and deeper integration into local communities. This trend favors properties—whether old or new—that facilitate authentic connection to place while providing the functional necessities for comfortable extended living.

As you embark on your Greek property journey, remember that the most valuable investment you’ll make isn’t in the building itself but in the relationships you develop with neighbors, local advisors, and the community that will ultimately transform a house into your Greek home.

What vision of your Greek life feels most authentic to you? And which property path—traditional, modern, or somewhere in between—best supports that vision?

Frequently Asked Questions

Are there restrictions on foreigners buying older properties in traditional villages?

Non-EU citizens face additional requirements when purchasing in border areas and certain islands designated as security-sensitive. This includes a special permit application process through the local decentralized administration. EU citizens have fewer restrictions but should still verify if a property is in a controlled border area. Additionally, properties with special heritage designations may have ownership restrictions regardless of nationality—always verify with a local lawyer specializing in real estate transactions.

How do financing options differ between old and new properties in Greece?

Greek banks typically offer more favorable terms for newer properties, with higher loan-to-value ratios (up to 70-80% for new builds versus 50-60% for older properties) and lower interest rates. Properties requiring significant renovation may be ineligible for standard mortgages, instead requiring

Article reviewed by Dominic Rossi, Historic Real Estate Specialist | Renaissance Palaces to Modern ROI, on May 15, 2025