Greece’s recent election continues to have positive effects on the foreign investors that are interested in investing in the country. These include many of its Golden Visa applicants that are looking forward to get Greek residence permits. The newly appointed government of Greece has now decided to remove the Value-Added Tax from purchases within the real estate market of the country.
No VAT for Real Estate Investments in Greece
The newly found center-right government of Greece will promote investments in the real estate market by not collecting VAT for three years. It means that the options in the Greek real estate market became even cheaper for the common foreign investors. Kyriakos Mitsotakis, the newly elected president of the New Democracy party is following a plan that is at odds with its left-wing predecessors. Instead of increasing the taxes, Mitsotakis is introducing many new tax cuts in order to combat the adverse effects the economic crisis had on the country.
Greek GDP is Showing Signs of Improvement
Greek GDP was improving even before the election, signaling that the era of recession is finally coming to an end. But the new government may have triggered better growth for the country. Although it is still below the pre-crisis figures, Greece’s GDP in 2019 is believed to set to grow at a rate acceptable of 2%. It is expected that the current tax-cutting policies of the new government will stimulate the economic space of the Mediterranean country even further and that the Greeks will likely gain momentum in their GDP growth in the upcoming years.
This is the Perfect Opportunity to Buy Real Estate in Greece
It is no secret that the real estate prices in Greece are now lower than ever, but that will not stay that way forever. Prices are well below their peak in 2006. Mortgages are rare thus, most people cannot buy houses, allowing foreign investors to step in. Chinese investors are now at an all-time high and they are certainly bringing the prices up. Ultimately, this new three-year long tax relief for real estate related capitals is a great way to finish off an already opportune moment to make your own investment in the Greek real estate market. The Greek Golden Visa program is also ongoing which is a charm on its own for foreign investors.