Apartment prices drop 0.3% - Bank of Greece

Greek apartment prices off 0.3%-Bank of Greece

Apartment prices in Greece fell by 0.3 percent in the last quarter of 2017, with homes in the northern city of Thessaloniki recording the sharpest drop, said the Bank of Greece, the country's central bank, on Thursday.

Figures show that apartment prices fell 0.6 percent in the third quarter of last year versus a drop of

1.2 percent in the second quarter and a slide of 1.9 percent in the first three months of the year.

For the whole of 2017, apartment prices gave up 1 percent, versus a 2.4% drop in 2016.

Property prices have tumbled by more than 40% amidst the country's eight year economic downturn. Although, the pace of price drops is slowing due to improving economic conditions, the increased number of forced homes sales by the country's banks is adding downward pressure to the market.

Real estate in Greece has been drawing strong interest from foreign buyers in countries such as Russia and China looking for a cheap home on the beach but domestic demand remains very low.

The bank data shows that property prices in Athens were almost unchanged (-0.1 percent) for the last three months of the year, versus a 0.6 percent drop in apartment prices in Thessaloniki.