According to a study conducted by the research and analysis department of the Re/Max Athmonon real estate agency and the Char. Meidanis & Associates legal firm, the real estate market has all but collapsed, with about half of sales being bellow the taxable objective value.
The study focused on the registered sale of real estate property in affluent suburbs of Athens such as Marousi, Vrilissia, Melissia, Kifisia, Ekali, Nea Erythrea and Drosia, between 1st of January 2013 and the 31st of December 2013.
In 61% of sales the property was sold bellow the objective taxable value! In 2013 there were only 591 transactions in the aforementioned suburbs, far fewer than in previous years. Even though the greatest demand was for property up to 15 years old, 51% of sales in Marousi involved property over 20 years, 69% in Ekali and 59% in Kifisia. In Marousi 59% of sold dwellings were between 70 and 120m2, while in Vrilissia it is 54%, in Melissia 83% and in Kifisia 50%.
The areas where the objective taxable values are significantly higher than the actual market process are Marousi, where 53% of sales were bellow objective value, followed by Ekali (40%) and Drosia (56%). In most other areas the sales bellow objective taxable values were between 28% and 37%. Marousi and Kifisia remain the most popular municipality to buy real estate in the northern suburbs, while most sales are for apartments (51% – 89%), except for Ekali and Kifisia.
Only 3% to 11% of property currently on sale in the real estate market was sold, with 28% to 61% of sales being bellow objective taxable value. The study shows that even buildings under 15 years old are being sold bellow taxable objective values.
Despite the crisis, there is still some interest for land and while the average buyer has a lower budget than in the past, there are many more opportunities if they are willing to go for something smaller or older. The greatest demand is for property situated nearby subway, suburban rail and other public transport.
