Guide to Buying Property in Crete: Essential Tips for 2024
Are you dreaming of owning a slice of paradise? Crete, the largest of the Greek islands, offers a blend of beautiful landscapes, historic charm, and modern amenities perfect for both vacation and permanent homes. From affordable village houses to luxurious waterfront villas, Crete’s property market has something for every buyer.
Whether you’re looking for a quiet retreat in the countryside or a lively spot by the sea, it’s important to understand the entire process to make your purchase go smoothly. Here at Blue Skyline, our main priority is to guide you through the various steps needed to spot and buy the property of your dreams. From choosing the best ready-made house to constructing the house of your dreams, our top-tier team and collaborators can make your plans become a reality.
Let’s start by taking a look at the main steps for ensuring that you choose the best property for you, as well as some tips to help you navigate the real estate market.
Step 1: Understand the Cretan Property Market
The Cretan property market presents unique opportunities for buyers, with distinct market trends and significant price variations. In recent years, property prices in Crete have shown steady growth, driven by the island’s rich history and natural beauty. Popular areas like Chania and Rethymno are seeing a rise in the number of properties for sale. This is partly due to the island’s popularity among expats and retirees.
Property prices in Crete vary depending on the location and property type. Urban areas like Heraklion tend to have higher prices, while more rural regions like Lassithi offer more affordability. In 2023, prices started to stabilize after fluctuations caused by economic changes. Despite past economic crises, Crete remains a solid choice for property investment due to its resilient market.
Tip: Affordability can be found in a variety of property types, from apartments in bustling cities to villas overlooking the sea. Knowing your budget and desired amenities will help you narrow down the options. Contact us to stay informed about economic trends and the market successfully, as well as tips for choosing the best location depending on your wants and needs.
Step 2: Keep in Mind the Legal Considerations
The second step focuses on the very important legal considerations regarding the purchase of real estate in Crete. You need to familiarize yourselves with the legalities involved in property purchases and understand the need for a lawyer, notary services, and the relevant regulations.
Tip #1: Always conduct a due diligence check on the property in order to confirm that there are no liens, encumbrances, or zoning issues.
Tip #2: Obtain all necessary permits and legal documents ahead of time, so that the process might continue smoothly. These documents include: 1) a tax number (AFM/VAT number), 2) a Greek bank account, and 3) an EOT license if needed.
Our team of top-tier notaries, lawyers, and engineers can help you solve all the puzzles of this crucial step before you move forward with your purchase. Contact us today and we will help you navigate this process in the smoothest way possible.
Step 3: Clearly Define and Budget for Extra Costs
Before buying property in Crete, it’s crucial to understand all associated costs and navigate taxation and financing – and all of this, having already taken into account your specific budget for this purchase. Securing a mortgage and considering residency benefits like the Greek Golden Visa can also influence your financial planning.
Purchasing property in Crete involves more than just the sale price. Costs can add up to 10-12% of the property’s value, including agency fees or transfer tax.
Tip: Always factor in the additional costs prior to your purchase to prevent financial strain and difficulties during or after the purchase.
Bear in mind that, if you invest at least €250,000 in property, you may qualify for the Greek Golden Visa Program. This program offers:
- Residency for you and your family
- Freedom to travel within the Schengen Zone
- No need to reside in Greece to maintain the visa
Tip: If you are looking to live or frequently travel in Europe, then try to secure the Greek Golden Visa Program, as it will make every step easier. At Blue Skyline, we can help guide you through every step of this process.
Step 4: Be Prepared for the Buying Process
The property buying process in Crete typically involves an initial offer, negotiations, and a final purchase agreement.
Once you find a property you like, make an offer. This step usually involves negotiating terms such as price, payment plans, and any included items like furniture or appliances. It’s essential to ensure that the agreed price and terms are clearly stated in the purchase contract.
A deposit is often required to secure the property. This deposit is part of the final price, usually around 10% of the final price. After your offer is accepted, the completion process begins. This involves due diligence check, transferring funds, signing contracts, and registering the property in your name. Remember to budget for the additional 10-12% of the value.
Tip: Be patient during the process, as it can take time to finalize all the legalities and paperwork involved. We will make sure everything is in place before we allow you to proceed to the final contract.
Step 5: Learn How to Manage Your Property
After purchasing your property in Crete, you will need to manage ongoing responsibilities. This includes setting up utilities, conducting maintenance, managing renovation projects, and understanding legal residency requirements.
Once you take ownership of your property, setting up utilities such as electricity and water is your first task. You will have to visit local offices or use online services to establish these connections, as every bill needs to be under your own name.
Tip: Don’t neglect to do regular maintenance to keep your property in good shape. Hiring local professionals for tasks like cleaning, landscaping, and swimming pool maintenance can save time and effort.
Step 6: Understand Residency and Legal Status
Owning property in Crete does not automatically grant you residency in Greece. There are specific conditions you must meet to obtain legal residency. If you plan to stay long-term, applying for a residence permit is necessary. Residency permits often require proof of income, health insurance, and background checks.
Tip: Seek our professional advice to navigate the legal requirements. Being informed about these regulations can help you avoid any legal complications while living in Crete.
Step 7: Enjoy Your New Home
Living in Crete offers a relaxed lifestyle with a strong sense of community, shaped by its unique culture and traditions. Once you’ve secured your new property, take the time to enjoy everything Crete has to offer. From its beautiful beaches and stunning mountains to its rich culture and history, there’s always something new to discover.
Crete’s lifestyle is laid-back, reflecting the deep-rooted traditions and the slow pace of island life. Most locals and expats enjoy a healthy, active lifestyle, spending a lot of time outdoors. The climate is mild, with hot summers and winters that are rarely harsh.
Participate in festivals and traditional events to understand Cretan culture better. Local markets, or “agoras,” are great places for fresh food and social interaction. Retirement in Crete can be fulfilling due to the low cost of living and the welcoming community.
Tip #1: Get involved in the local community. Engage with neighbors, partake in local events, and immerse yourself in the Cretan way of life.
Tip #2: To integrate smoothly, learning some Greek is very beneficial. This shows respect and helps in daily interactions. The locals value hospitality, known as “philoxenia,” and are generally warm and welcoming to newcomers.
Conclusion
Preparation and knowledge are key when buying property in Crete. Factor in additional costs such as lawyer and notary fees, which can add up to 9-12% of the purchase price. Choose your location wisely, balancing price and amenities.
Partnering with a reliable agency can simplify the process. At Blue Skyline, we offer a great variety of properties listed on our website. Our team can guide you through every step, ensuring you make an informed decision.
Visit our listings to explore the various options available and find your perfect property in Crete with Blue Skyline.