Investment Opportunities in Greece’s Real Estate Market: Urban & Coastal Residential Growth in 2024 – 2025

Greece’s real estate market remains one of the most dynamic in Europe, with both urban centers and coastal suburbs presenting strong investment opportunities. Areas such as Athens, Thessaloniki and the southern suburbs of Athens are attracting increasing interest from domestic and international buyers alike, thanks to ongoing urban renewal, infrastructure upgrades, and rising demand for modern housing.

Urban Renewal Sparks Investor Interest

Central Athens neighborhoods like Exarchia, Pangrati, and Koukaki have become top targets for residential property investment. These once-overlooked districts have undergone impressive transformations, benefiting from improved transportation, renovated public spaces and a growing number of high-quality, renovated apartments. The surge in demand is driven largely by young professionals, digital nomads, and expatriates seeking centrally located homes with strong long-term rental potential and capital appreciation.

Thessaloniki, Greece’s second-largest city, is experiencing a similar urban evolution. With growing commercial development and an expanding service economy, real estate values in key neighborhoods continue to climb. The city saw an 11.2% increase in apartment prices in 2024—making it one of the fastest-growing urban markets in the country.

South Athens Suburbs: Coastal Living Meets Capital Gains

In parallel with the central urban boom, the southern suburbs of Athens — including Glyfada, Voula, and Elliniko — have emerged as some of the most sought-after areas in Greece’s residential property market. These neighborhoods combine coastal lifestyle appeal with proximity to the city center and airport, offering a unique mix of convenience and exclusivity.

A major contributor to this growth is the Ellinikon project, Europe’s largest urban redevelopment initiative. Set along the Athenian Riviera, this ambitious multi-billion-euro project includes luxury residences, green spaces, cultural venues, and world-class infrastructure. It is expected to significantly boost property values in surrounding areas over the next decade. In 2024, property prices in the southern suburbs rose by approximately 7.9%, outperforming many other regions and further cementing their status as a premium investment destination.

2024 Market Performance: Data Snapshot

According to the Bank of Greece, the nationwide apartment price increase in 2024 stood at 8.7%, slightly down from 13.9% in 2023. Despite this moderation, the market remains solid.
Key data highlights include:

• Athens: +8.2% (2024 vs. 2023)
• Thessaloniki: +11.2%
• Other major cities: +7.1%
• Rest of the country: +10.6%

In Q4 2024 alone, new apartments (up to 5 years old) increased in value by 9.1%, while older properties rose by 4.9%. For the full year, new apartments averaged a 10.1% increase and older apartments rose 7.8%.

Outlook for 2025: Growth with More Stability

Looking ahead, the Greek property market is expected to remain attractive throughout 2025, although with more moderate growth as the market stabilizes after years of rapid increases. Continued foreign investment, the progression of large-scale developments like Ellinikon, and strong demand for high-quality urban and coastal living are likely to support annual price growth in the range of 5–7% nationwide. The southern suburbs of Athens, in particular, are projected to outperform the average due to their unique lifestyle offerings and development momentum.

For investors seeking reliable, long-term value in a growing Mediterranean market, Greece’s residential real estate sector in both city centers and coastal zones continues to offer strong, diversified opportunities.