PROPERTY
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Purpose Are you buying a property to live in, yourself? Rent it for income? Or renovate and sell it? If you’re renovating, which you’ll likely do regardless of purpose, you can expect to pay a minimum of €400 per square meter (more for higher-end materials) with about 3-4 months to complete, depending on scope. Note that quoted costs of some materials (timber or concrete) may be unreliable due to inflation or availability of product. If you’re drawn to rental income, know that you’ll need to register your property with the relevant tax authority and, furthermore, if you’re considering getting into the Airbnb market you’ll likely need a license. Know also that due to the overabundance of short-term rentals in Athens you should expect only about a 15% occupancy rate. In addition, tenants may impose special requirements. I know a friend who, after spending a lot of money renovating her flat, had to spend additional money for subsequent improvements to satisfy a foreign embassy tenant. Finally, as a landlord you’ll come up against strict tenant protection laws which make it notoriously difficult, costly, or even impossible to evict troublesome tenants.
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Limitations to building on land or adding additional sqm onto existing structures. There is a building ratio which cannot be exceeded. For instance, for raw land there is a permissible building allowance which may be different for commercial and residential structures. Even existing structures come with building ratios, so if you buy a top-floor flat in an apartment building in Athens and wish to erect a structure on the roof, your structure will be limited in size (likely a lot smaller than you imagined).
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Understand the sellers you’re buying from. It’s very common for families to own entire buildings with each apartment being owned by more than one person. This ownership structure generally makes it difficult to get everyone to agree in writing to sell or undertake necessary renovations to the building.
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Lack of homeowner’s association rules. Invariably this translates into owners not contributing to the upkeep of the building. Real and recent examples include a malfunctioning front door to the building which was replaced only after more than six months of pleading with owners to pay, non-working elevators or common area lighting due to non-payment of charges, unpaid bills for heating fuel and more.
Service charges. In older buildings you’ll find communal heating which cannot be controlled or regulated by apartment owners. And, yes, you’re liable for such charges even if the property is unoccupied during winter. Further, if you decide to install your own gas or other new heating system, you’ll need to negotiate with the other owners in writing so that you can legally shut off old radiator feeder pipes and get yourself excluded from future communal heating charges.
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Previous renovations. Make sure that everything you’re seeing in any property you’re considering has been legalized and documented, otherwise you may be restricted in selling in future. For example, I know a couple who enclosed a balcony and were prohibited from selling unless and until the enclosure was legalized with documents and fees, or demolished with the space being returned to its original and documented use as a balcony.
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important considerations when buying property in Athens
You’ve visited Athens, fallen for its charms, seen its potential - and like so many before you - decided to buy a property here. Heed Michael Wyatt’s recommendations, who speaks from personal experience and with professional authority, on following a checklist.
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