Housing supply will outweigh demand until 2047-PwC

Housing supply will outweigh demand until 2047

Demand in Greece's housing market is not expected to match supply levels until 2047, assuming the country's economy recovers as expected, said PwC.

Despite Greece's economy having returned to growth, supply levels in the real estate market far outweigh demand as home owners struggle to meet increased property tax obligations amidst a weak labour market.

In a report, PwC said that the Greek housing market collapsed between 2007 to 2016 leading to a drop of investments of 67 percent.

"The balancing of supply and demand levels for Greek homes will come about at around 2047 due to excessive supply, high tax rates and limited finance for homes," said the report.

Greece's economy, which has shrunk more than 20 percent during Greece's debt crisis, is returning to pre crisis levels in 2030, added the report.

Investments in housing are not expected to play a large role in the economy in the mid term as they will remain at very low levels of some 4.5 billion euros per year, PwC said.