The housing crisis in Greece now has clear causes and imprint. The ejecting of price real estatethe slow increase in income and social changes have created an explosive mix that is increasing more and more households. Behind the numbers lies a harsh reality, as today, to buy an average house worth 300,000 euros, it takes almost 19 years of salaries of 1,300 euros, while in 2020 the corresponding distance was shorter, with 16 years of wages for a residence worth 200,000 euros.
This situation highlights an ongoing and dangerous disconnection between salaries and property prices. According to the figures presented at the 18th Red Meeting Point, in the last six years, housing prices have increased by 70%, while salaries by only 25%. This gap leaves no room for misunderstandings, as housing is converted by a luxury.
The imbalance is clearly reflected in the annual data, as in 2023 home value increased by 14.4%, with salaries following afar, with only 6.4% rise. Despite the slightly milder price increase in 2024 (10.8%), the difference remains strong. The result is a housing market cut off from the real potential of citizens.
Social changes reshape demand
The crisis is not only economic – it is demographic. Birth reduction, population aging, urban centers, and the rapid increase in single households are shaping a new landscape: smaller, more flexible homes in areas with high density of services become the new demand. At the same time, the countryside is abandoned, the properties there are exaggerated, and the imbalance is exacerbated.
From ‘Country of Homeland’ to the pressure of rental
The proportion of ownership in Greece has fallen from about 90% to 61%, as CERVED CEO, Dimitris Andritsos, points out. The traditional Greek value of the privately owned housing gives way to forced rent, at costs increasingly burdened by employees. Geographical inequalities reinforce the problem: in urban centers, housing costs are launched, while in the periphery there are real estate that remains unused.
Demographic bend
As Giannis Xylas, CEO of Geoaxis, notes, the fertility has collapsed – from 2.1 children per woman in 1980, at just 1.24 today. At the same time, households are increasing without children or single -persons. “Our society is shrinking and splitting,” he says. Young people stay in the father for more, not by choice, but by weakness. The problem becomes structural, and the political answer remains weak.
Need for new home culture
The benefit so far proves to be inadequate. The housing allowance is based on average terms abstaining from reality. At the same time, housing as an investment, and not as a social good, enhances inequality. “The house has been transformed by a mechanism of social balancing into a wealth concentration tool,” Mr Xylas warns.
The answer cannot be based solely on profit. You need a new social housing plan, incentive policies to exploit the existing reserve residence and a change of mindset to owners and state.
A market that does not cover real needs
Despite the impression of “stock” of real estate, the truly available and affordable homes remain scarce. Servicers manage fewer than 10,000 properties, while the needs are multiple.
The real estate market in Greece is walking on a tight rope: the demand for decent, affordable roof is increasing, but the supply remains accurate, limited and unevenly distributed. As long as the problem of housing is not treated as a social and political issue, the excluded will become more – and the roof, a privilege for few.