Vacant homes cast shadow of concern
Bureaucracy, regional neglect leave almost a million properties idle as housing demand rises
More than 900,000 properties remain vacant and underutilized across Greece, according to real estate experts. Many of these properties are tied up in legal disputes, owned by the government, banks or institutional creditors. These properties, particularly in urban areas such as Athens and Thessaloniki, are exacerbating the country’s ongoing housing crisis, where demand far outstrips supply, driving prices upward.
At the Athens Real Estate Association’s 2024 Property Show, industry leaders expressed concern that current housing policy measures will fall short of reducing rental and sales prices.
Kosmas Theodoridis, general secretary of the Real Estate Association, highlighted that 500,000 properties are abandoned inheritances or have been disclaimed, while another 400,000 are held by banks due to debt issues.
“In addition to the above we should also take into account that about 1-2% of the country’s building stock – i.e. about 60,000-120,000 dwellings per year – are becoming uninhabitable,” he says, noting that a significant portion of these properties are in rural areas, reflecting the depopulation of the countryside.
Lefteris Potamianos, president of the Athens Real Estate Association, noted that many properties remain untapped because of bureaucratic delays and legal challenges that make it difficult for institutions to bring these properties to market.
The situation is particularly dire in Athens, where, he said, more than 5,000 homes are tied up in unresolved legal disputes, often stemming from inheritance claims. This bottleneck limits housing availability at a time when demand continues to rise.
Experts argue that while government programs like “My Home” aim to foster homeownership, they also drive up demand without addressing the root issue of supply shortages. Potamianos stressed that, while well-intentioned, the measures are likely to push prices even higher, noting that the increase in demand outpaces the limited supply.
Industry professionals like Giannis Revithis, honorary president of the association, emphasize that the problem stems from urban migration. The housing crisis is mainly a problem of overpopulation in Athens, Revithis said, stressing the need for job creation and infrastructure investment in rural areas to reverse the trend.
For his part, Stratos Paradias, president of the Property Owners Association (POMIDA), emphasized that landlords have developed a strong distrust of tenants due to instances of non-payment and their inability to assess the actual financial capabilities of renters.
Another factor contributing to the increase in vacant properties is that 50% of homes typically rented out were built in the 1960s and 1970s, now requiring significant renovations, entailing significant funds.
