Owner taxes in Greece: ENFIA, the purchase charge and letting

Greece is an EU country with a full tax system, and holding property here costs more than in the Gulf. That is not an argument against buying, but the costs of ownership have to be known before the transaction: they are recurring and do not depend on whether the property is occupied.

At purchase

• Transfer tax is paid on a resale property, at a rate applied to a taxable value determined by the state valuation system rather than only to the contract price.
• VAT on new build applies instead of that tax; to stimulate the market the state has periodically suspended it on new construction, so the applicable regime is checked at the date of the transaction.
• Notary, lawyer, registration and agency commission add a noticeable share to the price — this is the continental transaction model, and it is not free.

During ownership: ENFIA

ENFIA is the annual property tax paid by the owner. It consists of a main part calculated on the property's characteristics — area, zone, age, floor — and a supplementary part arising for owners of large portfolios. The assessment arrives automatically from register data, and the amount does not depend on whether you live in the property or it stands empty.

To that are added municipal charges included in electricity bills and the costs of maintaining the building.

Letting

An individual's income from letting housing is taxed on a separate progressive scale, independent of the employment income scale. Short-letting to tourists is regulated separately: the property is entered in a dedicated register, the registration number is shown in the listing, and the income is declared. Some municipalities and central districts restrict short-letting, and that restriction should be checked by address.

Sale

Capital gains tax on a sale by an individual in Greece has been repeatedly suspended and reintroduced; the applicable regime is checked at the date of the transaction. What persists is the cost of conveyancing and the obligation to declare the transaction.

What to include in the calculation

• ENFIA is a permanent line for the whole ownership period, independent of whether the property produces income.
• The taxable value may differ from the market value, and it is the base for a number of charges.
• Short-letting requires registration; operating outside the register creates fine risk and leaves you without a legal income history.
• Transaction costs in Greece are higher than Gulf buyers expect: notary, lawyer and registration are compulsory participants.
• Rates and regimes change. Greek tax law is revised often; specific figures are checked at the date of the transaction.