Rates boost local holiday pads

The sharp and large increase in the European Central Bank interest rates is developing into a strategic advantage for the Greek holiday home market: It has made potential buyers focus on markets such as Greece, where it is still possible to acquire a holiday home without needing a bank loan.

According to a relevant analysis by Elxis, a Greek company that specializes in this market and is based in the Netherlands, the new trend is resulting in a steady increase in buying interest for holiday homes in Greece.

"After the increase in interest rates, we see that among our customers the desire for bank loans, in the context of acquiring a holiday home, has frozen. This has happened because the interest rate of the loan, amounting to 4-5%, essentially nullifies the return that an investor can have from the exploitation of the holiday home he buys," explains Giorgos...