2025 Real Estate Trends: Top Cities in Greek Market
Real Estate Market Analysis: The Cities That Stand Out in 2025
The Greek real estate market is currently experiencing a strong upward momentum, with residential property prices continuing to rise across the country. Certain cities are emerging as frontrunners. Demand from both Greeks and foreign buyers is bolstered by investment incentives, infrastructure projects, and the need to allocate capital into real estate as a hedge against inflation.
Athens: The Heart of the Real Estate Market
The capital continues to absorb the largest share of demand. In the first quarter of 2025, prices increased by +5.5% year‑over‑year. In areas such as the Athenian Riviera, prices exceed €7,200 per square meter, while in the southern suburbs the average sale price reaches €4,052/m².
Athens remains a benchmark for both homeownership and investment, with short‑term rentals further intensifying demand.
Thessaloniki: A Dynamic Investment Hotspot
Thessaloniki recorded a +10% price increase in Q1 2025. In the city center, the average sale price for older properties is €2,645/m², while new developments reach €3,635/m².
The city appeals to students, professionals, and investors, and projects such as the metro add value. The housing market in Thessaloniki offers a more affordable entry compared to Athens while maintaining high growth potential.
Patras: The Regional Surprise
Patras shows steady growth: +13.2% in 2023 and +11.9% in 2024. The presence of a large university and new infrastructure—such as the Patras–Pyrgos highway—supports demand for both rentals and purchases.
Heraklion: Crete on an Investment Trajectory
Crete continues to record significant increases. In Heraklion, prices rose by +9.2% in 2023 and +5.7% in 2024. In the first half of 2025, the average price for homes up to 80 m² was €2,158/m², and for properties between 81–120 m² it was €2,377/m².
Strong demand from foreign buyers is supported by tourist growth and the new Kasteli international airport.
Larissa: Stability in Central Thessaly
Larissa distinguishes itself by price stability and continuous demand from students. While extreme increases are not recorded, the city attracts investors seeking lower risk and steady returns.
New vs. Old Properties
The market differentiates by the age of the property:
- New constructions: Scarcity of supply and increasing costs push prices up to 30% higher than older properties.
- Older buildings: More economical choice, but usually require renovations. They attract investors aiming for capital gains after upgrades.
- Energy efficiency: Homes with energy upgrades command stronger demand, reducing operating costs and increasing resale value.
Prospects for the Next Two Years
The Greek real estate market is expected to continue its upward trajectory through 2026.
- The Golden Visa program and demand from foreign investors boost liquidity.
- Greeks are turning to real estate as a safe investment.
- New infrastructure projects (Thessaloniki metro, Athens redevelopments, new airport in Crete) are expected to add value to local markets.
- However, further price increases may drive stronger demand for rentals, especially in student and tourist cities.
Conclusion
The picture of the Greek real estate market in 2025 shows strong differentiation by city, but the common denominator is growth. Athens and Thessaloniki remain engines, while Patras, Heraklion, and Larissa emerge as promising regional destinations.
For investors, the strategic choice of region and property type remains a deciding factor in securing either high capital gains or stable income. Real estate investment in Greece continues to be one of the strongest options for capital deployment, with prospects that exceed the borders of domestic demand.