More than a quarter of a century after joining the EU, Greece is on its way of 'moving' from its periphery to its core. This visual game of geometry is due to the EU enlargement eastward. There are all reasons to believe that Greece will use this big chance to attract more international interest by becoming the gate toward part of this brave new capitalist world. Doing so it will at the same time keep its reputation as one of the best places for real estate investment and relocation in the whole region.

More than 25 years ago Greece became the first completely non-rich country to enter the EU, at the time called European Community. By doing this, the rich club tried, successfully as it turned out to be, to consolidate the young democracy in this country after years of military dictatorship. This membership not only consolidated the political democracy but also made Greece what it is now, part of the club of the richest countries in the world, although still lagging behind some of the richest countries in Europe. It may need about ten more good economic years to eliminate the remaining difference.

The EU enlargement eastward may further make Greece look more like EU-core nation than a periphery country. By 2007 two other Balkan countries, Romania and Bulgaria, much poorer and much less organized than Greece in any imaginable way, may become EU members. Within years another Balkan country Croatia may follow suit. Athens wants becoming transport, communication and energy gate from the world leading toward these new club members and vice versa. And it's obvious that this 'gatekeeper' will add another rent-seeking power to the others it has already collected as the only EU Balkan state for more than 25 years. This isn't a bad thing after all, any country tries to maximize its relative advantages and it seems that in the years to come Greece will reach the apogee of its influence. When the other Balkan countries, Serbia, Montenegro, and Macedonia, are ready to join the EU in 10 years or so, the club of EU Balkan rent-seekers will be much larger and Greece perhaps won't be given any particular status, at least not similar to its current status.

So for Greece to become or not as rich as Germany or France is really a matter of using or wasting this golden opportunity in the years to come. The real estate market is one of the pillars Greece may use to solidify its lead over its new and future Balkan EU-companions and to assert to the Western public that their investment 'highways' to the region mandatory pass through the Greek market. EU nationals without restrictions and non-EU nationals with some minor restrictions regarding the area can buy real estate in Greece, and these liberal regulations apply to both structures and land. Money for buying should be properly declared while entering the country or while making bank transfers and deposits, otherwise they might be considered as domestic incomes and therefore taxed.

Very important moment is the capital gains tax that can reach up to 25% and is calculated using a special scale taking into account the length of ownership. This tax however can be eliminated when moving from one property to another within Greece. Other important tax issues concern buying luxurious estates, which are subject to Wealth Tax of up to 2% of the property value. On the other hand, the annual tax for most of the other properties is in the range of 0.25% of their values. One-time fees while buying properties in Greece can reach in total 15-20% of their market values.

Greece country profile:

• Area: 131,940 sq km
• Population: 10.7 million (July 2006 est.)
• Population growth rate: 0.18% (2006 est.)
• Net migration rate: 2.34 migrant(s)/1,000 population (2006 est.)
• Life expectancy at birth: 79.24 years
• GDP real growth rate: 3.3% (2005 est.)
• GDP per capita: purchasing power parity $22,800 (2005 est.)
• Main trading partners: EU countries, Russia, USA.
• Internet users: 3.8 million (2005)

(Source: CIA World Factbook 2006, Reuters)

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See also the directory of companies providing real estate services in, and general real estate information of Greece.