The dream of an idyllic holiday home on a bucolic Greek island has inspired many non-Greeks to take a closer look at property opportunities in Greece at a time when brighter economic prospects have further fuelled an already booming residential and commercial property market.
Whether it be an idyllic holiday villa on a remote Greek island that has been a distant dream or an apartment under the shadow of the Acropolis, turning that dream into a reality can also bring substantial investment rewards. Most of those who were bold enough to make such a move in the past are already looking at some of the best returns on capital value in Europe as the relatively inexpensive Greek property market has rocketed in the past two decades.

It is true, however, that numerous bureaucratic, legal and administrative hurdles have to be overcome when looking to buy or rent property in Greece. Non-Greeks, as well as the locals, would be well advised to seek expert professional and legal assistance if they don't want to see that dream turn into a potential nightmare.

There has been substantial interest in the Greek property market in recent years from both diaspora Greeks returning to the homeland and foreigners, with demand expected to continue to flourish. Much of that demand from foreigners relates to holiday homes on most of the Ionian and Aegean islands, as well as the Greek mainland.

Most of the demand for holiday homes has so far been in the Cyclades, Corfu, the Dodecanese, the Peloponnese and on Crete, with the majority of buyers Europeans or Americans.

As far as the Cyclades are concerned, Mykonos, Paros and Santorini are the favoured islands for holiday homes as a combination of beautiful scenery and a wonderful climate blend with an active nightlife. These more cosmopolitan islands with their fine beaches are also typically the sort of places that foreigners would have first visited on holiday here and in many ways provide a shopwindow for foreigners considering a Greek holiday home. The majority of overseas purchasers and interested parties in property on these islands tend to be the British, Italians, Germans, Austrians and the French.

The Ionian island of Corfu is the next most popular, along with Zakinthos and Cefalonia (currently the focus of international attention during the filming of Captain Corelli's Mandolin with Nicholas Cage), with the British and Italians showing the greatest interest. This group of islands is made all the more attractive to many Europeans by their close proximity and regular fast ferry boat crossings across the Adriatic to Italy.
Elsewhere, there seems to be a stable interest in property in the Dodecanese islands, with the likes of Rhodes and Patmos among the favourites.

But one should not forget that some of the best value properties on offer, for sale or rent, are often found on more remote islands, as yet undiscovered by the masses. It is therefore worth shopping around and doing your homework before making your move if you're looking for a bargain.

As always, most foreigners are usually interested in holiday villas or apartments near the sea or on Greece's numerous fine beaches. Typically, foreigners tend to prefer villas or residential properties that are ready to move into and need little refurbishment or repair as this is often much harder for non-Greeks to effect than it is for locals.
However, non-Greeks need to be, and usually tend to be, especially careful when considering a property purchase in Greece and tend to avoid paying the silly prices that are sought by some opportunists. It is advisable to do your homework first and contact local real-estate agents and get the necessary legal advice so that a variety of potential disasters can be avoided, ranging from legal title of the property to shoddy construction or over-development in the area that can haunt the new owners in years to come.
Undertake a search in the desired area and look for potential properties through classified advertisements in Greek newspapers (eg blue pages, Ta Nea, To Vima, Athens News etc,) or numerous international magazines or newspapers. There are also numerous Internet websites available.

But always consult professionals and real-estate agents for market values /comparable market evidence and availability of suitable property. The involvement of a lawyer is a prerequisite according to Greek law and is also necessary in order to avoid potential legal complications, which in turn can lead to financial burdens, or ownership title problems.
If you plan to build or develop land, you must consult an architect/engineer on the areas of the property, boundaries and legality of the building according to construction permits. In addition, you should ensure that the building has suitable infrastructure, especially if it is at an out-of-town location or on an island.

Furthermore, if a purchaser of real estate is of Greek nationality but is a permanent resident in another country the transfer tax can be reduced substantially. Transfer tax is one of the major costs involved in real-estate transactions. There has been strong demand in the greater Athens and Attica regions, where land and property prices have surged in the past two decades and the drachma has recently become a more stable currency after Greece became the 12th full member of Europe's economic and monetary union. There has also been growing interest in recent years in the market for neo-classical buildings, old farm houses and old stone houses. However, one should be aware that there is very strict legislation, which can make costs swell dramatically, concerning the renovation of such buildings, with recently-booming central Athens regions like Psiri and Gazi among such examples.

Property values are expected to receive an additional boost from the recently-completed Athens metro, while further benefits are expected as planned extensions to the existing lines materialise. There will also be significant eventual benefits from a host of infrastructure projects, including the new international airport at Spata and a host of facilities in the run-up to the 2004 Olympic Games in Athens. Upgraded road systems and more modern facilities, when they are eventually completed, will help to combat the Greek capital's notorious severe traffic congestion and enhance property values in many areas.

It is also worth noting that there is always increased interest from potential buyers during the summer season, which sees the number of foreign visitors to this country swell significantly, often inflating prices. However, considerably lower interest rates ahead of Greece's adoption of the euro and a multitude of loans and mortgage products continues to make purchases easier for both Greeks and non-Greeks.