For an investor pursuing the Greece Golden Visa, the real estate asset is more than a home; it is the legal foundation of their residency and a significant component of their global portfolio. In this context, property due diligence transcends a standard procedural check; it is the primary instrument of risk mitigation.
The Greek real estate market, particularly since the implementation of the new tiered investment rules in 2024, presents unique complexities that require a forensic level of scrutiny. This guide provides a definitive framework for the property due diligence process for the Greece Golden Visa. We will dissect the essential legal, technical, and financial verifications required to secure your investment, protect your capital, and ensure your chosen property fully complies with the program’s stringent requirements. This is not merely about avoiding problems; it is about guaranteeing the integrity and long-term viability of your strategic investment.
Investor’s Quick Brief
- Three-Pillar Approach: Comprehensive due diligence is built on three pillars: Legal Due Diligence (clear title, no encumbrances), Technical Due Diligence (structural integrity, permit compliance), and Financial Due Diligence (tax clearance, no hidden debts).
- Independent Verification is Non-Negotiable: Never rely solely on reports or assurances provided by the seller or their agent. Appointing your own independent team—a lawyer and a civil engineer—is critical.
- Title Search is Foundational: The legal due diligence for real estate in Greece begins with a thorough title search at the Hellenic Land Registry (Ktimatologio) to confirm ownership and identify any mortgages, liens, or legal claims (encumbrances) against the property.
- Permit Compliance is Crucial: Technical due diligence must verify that the property as it stands matches the official building permits. Unlawful structures or alterations can render a property ineligible for the Golden Visa and create significant legal liabilities.
- New Rules, New Risks: The 2025 investment tiers introduce new property types, especially commercial-to-residential conversions at the €250,000 level. These require specialized due diligence to verify change-of-use permits and construction compliance.
- Your Team: A successful due diligence process is managed by a team: a Golden Visa lawyer in Greece to handle legal verification and a licensed Civil Engineer to conduct the technical audit.
Why Standard Due Diligence is Insufficient for Golden Visa Investments
A typical property buyer may focus on location, aesthetics, and price. A Golden Visa investor must go deeper. The property is not just an asset; it is the qualifying instrument for a government program. A seemingly minor legal or technical discrepancy can jeopardize the entire residency application. For example:
- An undeclared extension, common in older properties, can invalidate the transaction for Golden Visa purposes.
- A property classified incorrectly in zoning maps could prevent future development or even nullify its residential status.
- An outstanding tax liability, such as the ENFIA tax, inherited from the previous owner can encumber the asset.
Therefore, the due diligence process must be approached with the dual objective of protecting the investment’s financial value and guaranteeing its eligibility for the residency program.
The Three Pillars of Due Diligence for Greek Real Estate
A robust verification process is methodical and multi-faceted. We structure our approach around three distinct but interconnected pillars.
Pillar 1: Legal Due Diligence – Securing Your Title and Rights
Managed by your appointed lawyer, this is the legal bedrock of your acquisition.
The Title Search (Ktimatologio)
This is the starting point. Your lawyer will conduct an exhaustive search at the relevant Hellenic Land Registry office to confirm:
- Current Legal Owner: That the seller is the undisputed legal owner.
- Chain of Title: A history of the property’s ownership to ensure no breaks or disputes.
- Property Description: That the legal description (size, boundaries) in the registry matches the actual property.
Verification of Ownership and Encumbrances
The search will reveal any encumbrances on the Greek property. These can include:
- Mortgages or loans secured against the property.
- Legal claims or lawsuits (diekdikiseis).
- Tax liens.
- Easements or rights-of-way that may affect your use of the property.
- Hereditary claims from previous owners.
A clean title, free of unacceptable encumbrances, is essential before proceeding.
Compliance with Zoning and Land Use Regulations
Your lawyer, in coordination with the engineer, will verify that the property complies with local zoning laws. This includes checking for any special designations (e.g., archaeological site, coastal protection zone) that could severely restrict renovations, rebuilding, or the property’s use.
Pillar 2: Technical Due Diligence – Assessing the Physical Asset
Managed by a licensed Greek Civil Engineer, this pillar audits the physical state and regulatory compliance of the building itself.
The Role of the Civil Engineer
The engineer acts as your independent technical expert. Their report is as critical as the lawyer’s legal report. Their audit provides a clear picture of the property’s condition and legality.
Verifying Building Permits and Structural Integrity
This is one of the most critical steps. The engineer will:
- Obtain the original building permits and architectural plans from the municipal planning office.
- Conduct an on-site survey to ensure the existing structure precisely matches the approved plans. Any discrepancies (e.g., a closed balcony, an added room, a converted basement) must be identified.
- If discrepancies exist, the engineer will advise on the process and cost of legalizing them, if possible. Failure to do so is a major red flag.
Energy Performance Certificate (EPC)
An EPC (Energeiako Pistopoiitiko) is mandatory for all property sales in Greece. The engineer will verify its validity and assess the property’s energy efficiency, which can impact future utility costs.
Pillar 3: Financial Due Diligence – Evaluating the Numbers
This pillar, handled jointly by your lawyer and accountant, ensures you are not inheriting financial liabilities.
Verifying Tax Obligations (ENFIA)
The Unified Property Tax (ENFIA) is an annual tax paid by property owners. Your team must obtain certificates proving the seller has paid all outstanding ENFIA and other municipal taxes (TAP). Any unpaid taxes can become a lien on the property.
Assessing Hidden Costs and Future Liabilities
This includes investigating potential upcoming shared building expenses (for apartments), service charges, and any other financial obligations tied to the property. Understanding these hidden costs of buying property in Greece is key to an accurate ROI calculation.
Specialized Due Diligence for the New 2025 Investment Tiers
The tiered investment system introduced in 2024 requires specific verification points.
The €800,000 Prime Asset: Confirming Area and Size
For investments in the prime zones (Attica, Thessaloniki, Mykonos, Santorini, etc.), the law mandates a minimum investment of €800,000 in a single property of at least 120 sq.m. Your engineer’s technical report is crucial to legally certify that the property meets this size requirement.
The €250,000 Conversion Project: A High-Risk, High-Scrutiny Process
This tier allows investment in a commercial property to be converted to residential. This path carries the highest risk and demands the most intensive due diligence. Key verification points include:
- Change-of-Use Permit Feasibility: Confirming with the local planning authority that a permit for conversion from commercial to residential use can be obtained.
- Structural Suitability: Assessing if the building’s structure can support residential conversion.
- Full Cost Analysis: A detailed budget for the conversion work is required to ensure the total project cost aligns with your financial planning.
Your Due Diligence Team: The Required Experts and Their Roles
A successful outcome depends on a coordinated team of independent professionals who represent your interests exclusively.
- The Lawyer: Your primary representative. Manages the legal due diligence, drafts/reviews contracts, oversees the transaction, and protects your legal rights.
- The Civil Engineer/Architect: Your technical expert. Audits the property’s physical and regulatory state, ensuring it is legal, safe, and compliant.
- The Public Notary: A state-appointed neutral official who drafts the final deed, witnesses the signing, and officially registers the transaction. While neutral, they work closely with your lawyer to ensure the deed accurately reflects the terms of your agreement.
The Path Forward: From Verification to Secure Acquisition
Due diligence is a foundational phase, not an optional extra. It provides the clear, data-driven intelligence needed to proceed with a property acquisition confidently. A positive due diligence report gives the green light for your lawyer to proceed with drafting the final purchase contracts and arranging the closing.
To confidentially discuss how to structure a rigorous due diligence process for your specific investment target and ensure your acquisition is secure, we invite you to schedule a consultation with one of our senior advisors.
Investor Frequently Asked Questions (FAQs)
- How long does a comprehensive due diligence process typically take in Greece?
- For a standard residential property, a thorough legal and technical due diligence process typically takes 2 to 4 weeks, depending on the complexity of the property and the efficiency of the local land registry and planning offices.
- What happens if the due diligence report reveals a significant problem?
- If a problem is found, you have several options. If it’s correctable (e.g., a small tax debt, a minor building irregularity that can be legalized), you can require the seller to resolve it before the sale or negotiate a lower price. If the problem is major (e.g., a significant title dispute, illegal construction that cannot be legalized), the strong recommendation is to walk away from the transaction. Your initial deposit should be protected by a clause in the preliminary agreement covering such findings.
- Can I just use the technical report provided by the seller’s engineer?
- Absolutely not. This is a critical point of risk. The seller’s engineer works for the seller. You must commission your own independent civil engineer to conduct a technical audit. This ensures you receive an unbiased, objective report that serves your interests alone.
- What is the difference between the preliminary check at the Land Registry and the full title search?
- A preliminary check might confirm the name of the owner. A full, comprehensive title search, conducted by your lawyer, investigates the entire history of the property for the past 20 years or more. It uncovers the complete chain of ownership and identifies all registered encumbrances, providing a much deeper level of security.
- Does due diligence cover the rental potential or market value of the property?
- No. Legal, technical, and financial due diligence are focused on risk mitigation and compliance. A property valuation or market analysis is a separate process, often conducted by a real estate appraiser, to determine the asset’s investment potential and fair market value. Both are essential components of a prudent investment strategy
