After a period of speculation and mixed messages, the Greek government has finally clarified the updated investment thresholds for the Greece Golden Visa Program.

Recent weeks have seen fluctuating reports and official statements suggesting imminent changes to the program’s real estate investment criteria. Amidst this uncertainty, the government reviewed numerous proposals, contemplating varied investment levels across different regions and considering restrictions on short-term leasing options.

Key takeaways:

• Certain areas of Greece will have a new minimum investment threshold of €400,000, while others will require €800,000.
• Applicants can lock in the current investment thresholds by making a 10% deposit before September 30th and finalizing their investment by December 31, 2024.
• Investors will be prohibited from offering their properties as short-term rentals (e.g., Airbnb and Vrbo).

The revised criteria establish two primary zones for investment:

• A minimum investment of EUR 800,000 in the Administrative Region of Attica (inclusive of Piraeus and the greater capital area), the Regional Units of Thessaloniki, Mykonos, and Santorini, as well as islands with a population exceeding 3,100; and
• A minimum investment of EUR 400,000 for the rest of Greece. Investments must invest in a single property, which should not be less than 120 sqm.

Additionally, the government introduces two significant exceptions to these investment amounts.

A reduced minimum investment of EUR 250,000 applies to:

1. Commercial to residential conversions: Eligibility extends to investors purchasing commercial properties at or above EUR 250,000 and converting these into residential premises. This lower investment threshold is applicable regardless of property location and size, provided the conversion is complete prior to submitting the golden visa application.
2. Restoration of historical or culturally significant buildings: This option is available for investors who acquire and fully restore or reconstruct properties within listed buildings. Like the first exception, the reduced threshold applies irrespective of location and size, with the condition that renovations are completed within five years of residency for visa renewal purposes.

New usage restrictions for properties:

• Investors are prohibited from offering their properties as short-term rentals (e.g., Airbnb and Vrbo).
• Properties obtained through commercial-to-residential conversions cannot serve as registered company headquarters.
• Violations of these restrictions can lead to residence permit revocation and a EUR 50,000 administrative fine.

It remains unspecified whether these new usage restrictions will affect golden visa holders approved prior to these changes.

When will the new law affect golden visa applicants?

The regulations will be effective from the April 2024.

However, a transitional period is in place so applicants can lock in the current investment thresholds by making a 10% deposit before September 30th and finalizing their investment by December 31, 2024.

Investors who meet the initial deposit requirement but fail to complete their investment within this timeframe have until April 2025 to invest in an alternative property and still benefit from the existing thresholds.