Enter the property price to compare the total acquisition cost of a new-build (24% VAT) versus a resale property (3% transfer tax) in Greece.
Extra cost of new-build vs resale
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New build total cost
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Resale total cost
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VAT (new build)
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Transfer tax (resale)
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How new vs old property taxes work in Greece
The most important tax difference between buying a new-build and a resale property in Greece is the levy on the purchase itself: 24% VAT for new builds within five years of completion versus 3% transfer tax for resale properties. This creates a dramatic cost difference. For a 200,000 EUR property, the new-build tax cost is 48,000 EUR compared to 6,000 EUR for a resale, a difference of 42,000 EUR. Other transaction costs (notary, agent, land registry) are approximately equal regardless of property age.
Example calculation
Property price: 200,000 EUR with agent. New build: VAT 48,000 EUR + notary 2,400 EUR + agent 4,960 EUR + registry 1,000 EUR = total 56,360 EUR in costs, acquisition total 256,360 EUR. Resale: transfer tax 6,000 EUR + notary 2,400 EUR + agent 4,960 EUR + registry 1,000 EUR = 14,360 EUR in costs, acquisition total 214,360 EUR. New build costs 42,000 EUR more, all other things equal.
Tips and considerations
Always confirm whether a new-build falls within the five-year VAT window by checking the completion certificate date. Buyers planning to rent the property commercially may be able to reclaim the input VAT on the purchase if they register for VAT as a commercial letting business, but this requires professional tax advice. For most residential buyers, the tax cost difference strongly favours resale properties unless the new build offers significant advantages in location, quality, or expected appreciation.
Frequently asked questions
Is buying a new-build more expensive than a resale in Greece?
Yes, in most cases buying a new-build residential property is significantly more expensive in Greece due to the 24% VAT (FPA) that applies instead of the 3% transfer tax. On a 200,000 EUR property, the VAT on a new build is 48,000 EUR compared to just 6,000 EUR transfer tax on a resale. The total tax burden is 42,000 EUR higher for a new build of the same price. This is partially offset by lower immediate maintenance and renovation costs for a new property, better energy efficiency ratings, and potentially higher rental yields or resale values in the medium term. The economic trade-off depends heavily on how much you discount the renovations and energy costs of an older property.
When does the 24% VAT apply instead of transfer tax in Greece?
The 24% VAT applies to new residential properties sold by a developer (as opposed to an individual) within five years of the property receiving its certificate of use (adeias oikodomes). This five-year window is calculated from the date of the completion certificate, not the date of construction permit. Properties sold by developers after the five-year period, or sold by individuals, fall under the 3% transfer tax regime regardless of the property's age. Mixed situations arise when a developer sells a unit that is part of a larger development where some units have already been sold under VAT and the remaining units are approaching the five-year cutoff.
Do new-build properties in Greece have better energy performance?
Yes. Greek building regulations have progressively tightened energy performance requirements. Buildings constructed after 2012 must meet minimum insulation, glazing, and mechanical services standards (Regulation on the Energy Performance of Buildings - KENAK). Newer buildings from 2020 onwards must approach near-zero energy standards under the EU Directive on Energy Performance of Buildings. Older Greek apartment blocks from the 1970s-1990s typically have single-glazed windows, poor wall insulation, and old oil-heating systems, resulting in high energy bills. A new apartment with a KENAK A or B energy certificate can save 1,000-3,000 EUR per year in heating and cooling costs compared to an unrefurbished 1980s apartment.
What guarantees does a new-build developer provide in Greece?
Greek law requires developers to provide a legal warranty (pragma eggyisi) on new construction. Under the Civil Code, the seller is liable for latent defects for a period of five years from the transfer date for hidden defects in the construction. Structural defects discovered within ten years may also give rise to claims under construction law. In practice, pursuing warranty claims against developers can be time-consuming and contentious, particularly if the developer has dissolved the company used for the specific development. Buyers should obtain the final architect and engineer certificates confirming compliance with the approved building permit.