New cut for Enfia property tax on the cards for 2020

Greece is expected to move ahead with a further cut to the Enfia property tax in 2020 after having reduced the levy this year, says Finance Minister Christos Staikouras.

Following July's elections win, conservatives New Democracy cut the Enfia tax by an average of 22 percent, one year ahead of promises made in its elections campaign. The move has added momentum to the real estate market where prices have been recovering in the last two years, particularly in residential property in the last few quarters.

Introduced in 2011, the Enfia tax was initially imposed on real estate assets as a temporary levy to prevent Greece from going bankrupt but was kept on and has weighed heavily on demand in the sector.

The minister pointed out in an interview in published in weekly Vradini tis Kyriakis that Greece's commitment is to cut the tax by 30 percent over the next two years and that it has already moved faster than its initial implementation plan.

"Our target is to make the taxing of property more efficient and socially fair. We estimated that we will have the room to move ahead with a new cut in Enfia as of 2020," he says.

The conservatives are investing heavily in the housing market in Greece, a country with one of the highest homeownership rates in Europe. The government has also announced a freeze on a 24 percent VAT rate paid on newly built apartment buildings in what is seen as playing a key role in lifting demand in the sector.

The decision started to have a knock-on effect in constructions as the lastest data from the country's statistics office show that private building activity in August jumped 28 percent, on the back of strong growth in the broader Athens area and Western Macedonia, northern Greece.


Featured homes for sale in Athens from Epsilon Team:

Greece real estate

Greece property home hunting


The perfect view. Wake up in the mornings and feel inspired by the Acropolis. This fourth level apartment covers 161 square meters and features large balconies, two spacious bedrooms (one master) and two bathrooms. Priced to sell.


Special price for readers.

Greece home Athens Golden Visa

Greece real estate home buyers


Neoclassic beauty. This 1936 detached house is in top condition. Split over two levels, its provides 3 bedrooms, 3 bathrooms, two fireplaces and inner stairs. It stretches over 270 square meters and also features wooden floors, garden and storage areas. For those looking for more independent living.


Special price for readers.