Real estate economics

Nearly half (44%) of more than 200 Greek property market executives who participated in Cerved Property Services' annual market survey expect further growth in property prices, which is set to happen for both new-build and old homes.

The Greek housing market is showing a deficit of over 10,000 residences, according to realty professionals, as a result of which supply is unable to meet demand for both the purchase and rental of quality properties.

At the same time, this deficit is also fueling a rally in prices, which in turn makes it increasingly difficult to meet the housing needs of households.

Demand for rental houses is expected to pick up further in the next couple of months, stoking concerns that tensions between landlords and tenants will only intensify.

Property prices continue to rise, but there are already signs of a slowdown in growth. It is expected to be more pronounced in the second half of the year, since the more significant increase last year was also registered then.

The first signs of a slowdown have emerged in the housing market, in terms of the number of purchases and sales.

After the price rally observed in the last two years, the areas where demand comes mainly from Greek buyers have started to record a decline, as has the number of those who have the financial ability amid the current climate of uncertainty and high interest rates.

The residential property market of Athens ranks fourth among numerous European cities in terms of how attractive it is as a destination for investors interested in exploiting real estate, according to data prepared by investment company ProfitLevel.

The average long-term U.S. mortgage rate topped 7% for the first time in more than two decades this week, a result of the Federal Reserve's aggressive rate hikes intended to tame the nation's stubbornly high inflation.

The property boom is coming to an end, according to a study by Swiss bank UBS, with Frankfurt and Toronto topping the list of imbalanced markets.

The bank's annual study of the world property market looked at prices in 25 major cities across the globe.

The residential property market is on the government's radar, while excessive price movements are being closely watched, Treasury and Finance Minister Nureddin Nebati has said.

A comprehensive study on the sharp increases in the real estate market has been launched, Nebati said. "We are doing and will continue to do what is necessary."

The rise in demand for properties over the past few months, not just due to interest from foreign buyers and investors but also thanks to an improvement in sentiment among the Greek buying public, has shaken up the residential property market by creating new conditions.