1.
What are the costs associated with this procedure for the buyer? 
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The buyer has to cover the following costs to complete the transaction:
- LAWYERS´S FEE: This depends on the value of the
property purchased and ammounts to 1% on the value up to 44.020
€ puls 0,5% for the value above the 44.020 €. This is
the fee payable to the lawyer for representing the buyer and does
not include the title search procedure.
- FEE OF PUBLIC NOTARY: 1% on the value of the property.
- TRANSFER TAX: This is payable to the local tax authority
and ammounts to 9% for the value up to 15.000 € plus 11% for
the value above 15.000 €. In areas that are not coveres by
fire department these figures drop to 7% and 9% respectively.
- MUNICIPALITY TAX: This ammount to 3% of the above transfer
tax and also payable to the local tax authority.
- REGISTRY OF MORTGAGES: The fee payable to the registry
of mortgages ammounts to 0,5% of the property value.
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| 2.
Are there any yearly costs related to property owner ship? |
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Yearly property taxation in Greece is limited to the following:
- LOCAL MUNICIPAL TAX: The council tax ranges from 0.025
% - 0.035 % on the assessed value of the property and is incorporated
in the electricity bill.
- YEARLY PROPERTY TAX: Owners of property pay a yerly property
tax ONLY if the assessed value of their ownershp´s exceeds
the ammount of 243.000 €. The tax amounts 0.3 % to 0.8 of
the assessed value of the property
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| 3.
What is the "assessed value" of a property and what is
its use? |
| The
"assessed" or "objective" value of a property
is the minimum accepted value for transaction purpose set by the
State. These values are calculate by the Public Notary and the Inland
Revenue service for each individual property and are based on public
data relating to prices per square meter as well as other location
or specific property characteristics. Assesed Valus constitute public
information readly avaible. The other use of the assessed values,
as previouslt stated, is for the calculation of yearly property taxes. |
| 4.
How the ownership of property secured in Greece? |
| The
ownership of property in Greece is secured, by a state authority
called Registry of mortgages. Titles to property are kept there,
where all encumbrances on properties are registered. Property is
filled under the names of the owners and lawyers are entitled to
check property belonging to any individual or company. A title search
is performed in order to find out if the are any claims, liens and
encumbrances on the property. A title search will also show you if
the property was properly transferred. This is always done during
the contract process. |
| 5.
How can I transefer funds from my home country to pay for the property? |
| It
can be done by a simple bank transfer from your account to an account
in Greece. Buyers are advised to officially document any funds improved
for buying property so that in case of a subsequent sale of the property,
the proceeds can be repatriated. |
| 6.
Can I draw-up a loan to buy property in Greece? |
|
Greek banks are well developed and equipped in offering a variety
of financing programs. They have branches throughout the world and
similarly many international banks have branches in Greece. Financing
in order to buy property in Greece can be arranged by both. Greek
and international banks with branches in Greece.
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| 7.
Is there value added tax in Greece? |
| Yes,
there is VAT in Greece for goods and services purchased and the standard
rate is 18%. Property purchase is currently exempt from VAT. |
| 8.
What about property insurance ? |
| Propert
is insured through insurance companies. Property insurance contracts
cover all type of possible damages. Insurance costs are normally
billed by bi-annually though annual payments are also acceptable.
Property insurance is not obligatory, but is required by the financial
institutions mortgaging the property. |
