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Buying property in Crete - general guidelines

Since 1990 E.U.citizens  have been allowed to own property in most areas of Greece with minimum formalities.

Non-E.U. citizens can also buy in Greece. The process is a little more involved but can be dealt with by a qualified lawyer.

N.B This purchase would be a private sale, and so there would be no estate agents fees to pay.


Legal Aspects of Property Purchase

Firstly you will pay a deposit of 10%.  On payment of the deposit an agreement is signed which confirms both parties details, the description of the property and other conditions pertinent to the sale. Your lawyer will hold the deposit until all the requirements have been satisfied and the sale is authorized.

By Greek law the deposit is non-refundable should the prospective purchaser back out after the agreement has been signed.

If the vendor backs out of the sale the deposit is refunded plus a 10% indemnity paid by the vendor.

Property transactions are always executed by a notary and in the presence of a lawyer.

The lawyer of your choice and the Notary will carry out the necessary  searches to ensure that the property has a clean title.

Your lawyer will deal with the local regulations, and carry out the searches. The Notary will not allow any sale to proceed should any of the papers or deeds not be in order.

Should the prospective purchaser not be present, the usual procedure is to give Power of Attorney to the purchasers lawyer. Power of  Attorney can also be arranged in the respective purchasers country of origin, via the Greek Consulate.

Should the purchaser change his/her mind then this Power of Attorney can be cancelled at any time.

Expenses

Notary's  Fee        

Lawyers Fee          

Purchase tax (based on the assessed value of the property)         

Architectural Survey
(Topograph): This is a  formal document prepared by an architect and gives a technical description of the property. Based on this the  Notary Public makes the written description of the property and a copy of this forms part of the contract.

The prospective purchaser meets the above expenses

The assessed value for tax purposes is usually considerably lower than the actual purchase price and is evaluated by the tax office.

Property Taxes

There is no significant cost of ownership of property in Greece.

Community charge and television licences are paid with your electricity bill every second month.

Transfer of Funds

When you have transferred funds from your bank account to Greece, it is a good idea to retain the documentation (known as pink slips) in order to ensure that you are exempt from local taxes. You will need to open a Greek bank account and obtain a tax number from the tax authorities. Your lawyer will do this for you.

  This information is a general guideline only.

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