Greece Raises Investment Threshold for Golden Visa to Rs 8 Crore in Major Cities

The Greek government has raised the minimum property investment requirement for its Golden Visa program in key locations like Athens, Mykonos, and Santorini from €500,000 to €800,000, effective September 1. This move is seen as a significant shift for foreign investors, particularly from India, where the investment now equates to approximately Rs 8 crore. Varun Singh, Managing Director at XIPHIAS Immigration, commented, "The increase in property investment is a major setback for Indian investors, who previously enjoyed more affordable entry into the Greek real estate market." Greek Prime Minister Kyriakos Mitsotakis acknowledged the housing shortages, particularly in Athens, while maintaining that the government is focused on attracting foreign investors. Between 2021 and 2023, Greece secured €4.3 billion in investments through its visa program.

Surge in Indian Investors Before Policy Change

Ahead of the price hike, Indian investors acted swiftly, acquiring properties in Greece at an unprecedented rate. According to Leptos Estates, a Cyprus-based property developer, Indian property purchases surged by 37% between July and August as buyers sought to secure residency before the new rules took effect. While exact data on Indian applicants for the Golden Visa program is limited, industry estimates suggest up to 200,000 applications have been made from Dubai and India, with many aimed at Greece.

The Greece Golden Visa Program: An Overview

Introduced by Greece and several other eurozone countries in 2012 as a response to the European debt crisis, the Golden Visa program offers residency or citizenship in exchange for substantial investments in real estate, government bonds, or other approved sectors. The program has become popular among wealthy Indian investors seeking second homes in Europe, offering benefits such as rental income, European healthcare access, and business opportunities within the EU. A March 2024 report by the Institute of Labor Economics noted that these visa programs have spurred economic development in participating countries. However, the report also warned of risks, including potential money laundering and the gentrification of local communities.

Key Benefits of the Greece Golden Visa

According to Henley & Partners, the Greece Golden Visa offers several advantages:

Visa-free travel within the Schengen Area
No residency requirement in Greece
Residence permits issued within 90–120 days, with no expiry date
Opportunity to rent out the investment property
Family residency, including spouse, children under 21, and parents
Eligibility to apply for citizenship after seven years
Ability to hold shares and receive dividends from a company registered in Greece

Why Indians Are Drawn to the Greece Golden Visa

"The Greece Golden Visa has been highly appealing due to its relatively affordable property options near beaches and the flexibility it offers with minimal residency requirements," said Singh. "Until recently, Greece was the most cost-effective European residency option, making it particularly attractive to Indian investors." With the recent price increase, Cyprus has emerged as a competitive alternative, offering a similar visa for €350,000.

How the Greece Golden Visa Works

The Greece Golden Visa grants residency in exchange for property investment, with minimal stay requirements of just seven days per year. It also allows for free movement across the EU, making it a favored option for investors seeking both European residency and property.

Key Investment Options:

€250,000 for converting commercial properties into residential use or restoring listed buildings €400,000 for property purchases with a minimum size of 120 sqm €800,000 for properties in prime locations such as Athens, Thessaloniki, and larger islands Alternative investment options include hotel time-sharing agreements, fixed-term deposits, government bonds, and shares in mutual funds dedicated to investing in Greece. As Greece continues to attract global investors, these changes signal a growing emphasis on high-value investments, positioning the country as a key player in Europe’s competitive residency programs.