Greek Property Renovation Surge amid Economic Constraints

Recent data indicates a significant uptick in property renovations across Greece, a trend fueled by the impact of the pandemic and associated lockdowns. Despite this surge, economic constraints pose challenges for many seeking to upgrade their properties, leading them to increasingly rely on financial aid for renovations and energy efficiency enhancements.

One notable initiative addressing this need is the government’s “Save Energy” program, which offers subsidies and favorable financing terms to support property owners in improving energy efficiency, with a focus on tasks like insulating buildings and updating heating systems.

However, Stratos Paradias, President of the Greek Federation of Property Owners, view such efforts as insufficient. Paradias argues that the program’s funding falls short of meeting the substantial renovation demands faced by many property owners.

Highlighting the urgency of addressing Greece’s aging building infrastructure, a recent analysis by the National Bank underscores the scale of the challenge. The analysis suggests that years of economic turmoil have left thousands of properties uninhabitable, creating a pressing need for renewal.

Paradias emphasizes the necessity of renovations, whether for aesthetic, functional, or energy-related reasons, predicting that energy upgrades may soon become mandatory. However, he notes the current difficulties, including rising material costs and a shortage of skilled labor.

Practically speaking, despite the increase in renovation activity, property owners are opting for smaller-scale projects with lower-quality materials. Giannis Petropoulos, head of a technical office, highlights the significant increase in construction material prices, which have surged by over 50% in recent times. This has led to a notable escalation in renovation costs, with average prices per square meter exceeding previous norms and reaching even 1,000 euros in premium locations.

Source: tovima.com