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The "Golden Visa" program is a significant institution that has been developed in most EU countries to synchronize, through an internal monitoring mechanism with corrective actions, with the continuous evolution of each country's real estate market. In recent years, several member states have partially or entirely revised the "Golden Visa" program in an effort to balance investment and housing needs.

In our country, it was introduced during a period of deep economic crisis when the real estate market was in prolonged decline. To stimulate investment interest, the state implemented the "GOLDEN VISA" program through Law 41446/2013.

To fully understand the property values of that time, it is enough to mention that a property worth €250,000 today was being negotiated between €70,000 and €90,000 in 2013—and in some cases, even lower. The program grants a five-year residence permit, renewable, to non-EU citizens who purchase property worth at least €250,000, thus allowing investors free movement within the Schengen Zone and facilitating the acquisition of a work permit.

However, when a program is not framed by a regulatory plan with a strategic approach to its development and management, its side effects inevitably outweigh its benefits. As a result, ten years later, while significant revenues have been recorded, numerous distortions and dysfunctions have emerged due to the unstructured investment environment in the real estate sector.

What are these side effects?

In some areas, asking prices skyrocketed to unreasonable levels, particularly by property owners who, with an arbitrary and overly simplified mindset, assumed that foreign investor interest automatically turned their area into an investment paradise.

Until 2023, the program was left without reforms or adjustments to market changes—especially after 2017 when property prices gradually approached pre-crisis levels. In 2019, there was a record number of applications, and the trend continued in the following years, with the only exception being 2020 due to the pandemic. Notably, Chinese investors have consistently been the leading participants in the program, followed by investors from Turkey, Israel, Lebanon, Russia (before the war), and Egypt.

A new amendment has raised the investment threshold from €250,000 to €500,000 in areas of high investment interest, specifically in the municipalities of Athens and Thessaloniki, as well as popular islands such as Mykonos and Santorini. This change aims to balance the housing market by increasing the availability of owner-occupied properties. Initial indications suggest that investors are shifting their focus to areas like Piraeus and Kalamaria, leading to rising prices due to high demand.

Another major change is that, unlike the original program—where the €250,000 investment could be split across two or more properties—under the new amendment, the €500,000 must be invested in a single property.

In recent months, there has been considerable discussion regarding the transition period of the "Golden Visa" program. Since it has been proven to significantly boost state revenues, there is an argument to maintain it with certain modifications.

However, industry professionals, stakeholders, and property owners must weigh the opportunity cost through a comprehensive development study. This will prevent the real estate market from repeating its previous cycles of uncontrolled fluctuations while simultaneously upgrading certain areas strategically. Encouraging residency investors to invest in a safe and modern urban model will promote a high-quality living environment.