The Most Affordable and The Most Expensive Areas in Thessaloniki 2024

Introduction

Property prices have shown an upward trend from 2016 to 2022 and a significant and continuous increase from the end of 2022 up to the present. According to the Spitogatos Price Index, the average price of houses for sale in August 2023 was €1,927 per square meter, with an increase of 10.11% compared to January 2023 (€1,750 per square meter). Over the past 2 years, the average price in the Thessaloniki area reached its highest point in August 2023, with an average price of €1,927 per square meter. The lowest asking price was recorded in March 2022: for a property for sale, the average asking price was €1,326 per square meter.

While for rentals prices were:

August 2023 - €8.15 per square meter.

January 2023 - €7.40 per square meter.

March 2022 - €5.21 per square meter.

The Most Affordable Areas and Why

Property Purchase:

The most affordable areas are Evosmos, Ampelokipoi and Kordelio.

The reason for this trend towards lower prices is usually due to some unfavorable characteristics, such as reduced resale value, inadequate infrastructure, and lack of cultural and entertainment activities. Additionally there are fewer options for education and healthcare. Furthermore, affordable areas may have less accessibility to transportation and be far from the city center.

Property Rental:

In the most affordable areas for renting a residence, we find Hortiatis, Oreokastro, Mikra, Kordelio, and Polichni.

The lowest price is due to the more rural or suburban nature of the areas, as well as the limited supply of services and amenities compared to more central areas. Additionally, lower demand for rental properties may lead to lower rental prices in these areas.

The Most Expensive Areas and Why

Property Purchase:

In Thessaloniki, the most expensive areas for property purchase are, in order, Kalamaria, Pylaia, the city center, Botsari, and finally Toumpa.

Common characteristics contributing to the higher property prices in these areas include their prime location and subsequent access to public services and amenities. Additionally, the quality of life offered by these areas, with green spaces, parks, shops, restaurants, and numerous entertainment options, contributes to increased demand and, consequently, property prices. Moreover, their proximity to the city center and easy access to public transportation may increase interest in property purchase in these areas.

Property Rental:

Regarding property rental, the most expensive areas are the city center, Pylaia, Botsari, Ano Poli, and the areas of Voulgari – Martiou.

The high rental prices of properties are due to excellent access to public transportation, proximity to educational institutions, shops, restaurants, and other services. Furthermore, good neighborhood infrastructure and a variety of activities offered increase demand for rental properties in these areas, resulting in higher rental prices.

Conclusion

Overall, property price trends in Thessaloniki highlight a variety of factors influencing property values in different areas. While some areas offer more affordable options for property purchase or rental, others show higher prices due to their prime location, better infrastructure, and quality of life. Therefore, prospective buyers or renters must consider the differences between areas and choose according to their needs and preferences. Additionally, continuous monitoring of price trends can help identify the best real estate investment opportunities in the market. Stay informed about market trends and prices by exploring the best property options. Click here to see property price trends.

Bonus ReWize Expert Tip

A smart strategic move for potential real estate investors is to focus on purchasing properties in central areas rather than peripheral ones. We observe from the data that although the purchase price in the center is usually higher, the demand for rental properties is simultaneously high. Additionally, rental prices in the center are often higher compared to other areas, making the return on investment in properties there quite attractive. With increased demand for rentals in the center, investors have the opportunity to generate higher capital returns by purchasing property in this location.