Greece - Empty Apartments in Attica

Housing crisis in Attica — causes and consequences of empty apartments

Greece, and especially the Attica region, is facing a serious housing crisis. According to the latest data, about 25% of all apartments in the region are empty. This phenomenon has far-reaching consequences for both the economy and society as a whole. In order to understand the scale of the problem and find possible solutions, it is necessary to delve into the causes of this phenomenon.

Economic factors — one of the main reasons for the large number of empty apartments in Attica is the sharp increase in rents in recent years. From 2018 to 2022, rental prices for family housing increased by 37.2-42.1%, and in the student housing segment, the increase was even more significant — 53% in Athens and 49.23% in Patras between 2017 and 2022. Such a rapid increase in prices has made housing unaffordable for many families and young people on a limited budget. In addition, the boom in short-term rentals via platforms like Airbnb has also affected the housing market. Many owners prefer to rent out their apartments to tourists rather than long-term tenants, which leads to a shortage of affordable permanent housing and further increases in prices. This problem is especially acute in popular tourist areas.

Social consequences — the lack of affordable housing has serious social consequences. Unlike many Northern European countries, Greece does not have a developed social housing system. Housing is distributed mainly through the private sector, which makes the housing issue especially acute for economically vulnerable groups of the population. The government is taking some steps to improve the situation. For example, the «My Home» program provides for the rehabilitation of empty houses with the aim of subsequently renting them out to low-income citizens. However, the scale of this initiative is not yet sufficient to solve the problem as a whole.

Potential of empty properties — according to some estimates, there are up to 900,000 empty or closed properties in Greece, a significant number of which are located in Attica. This not only has a negative impact on the housing market, but also creates opportunities for their return to economic circulation through state and municipal programs. However, this requires coordinated efforts at all levels of government, as well as cooperation with the private sector and public organizations.

Changes in investment policy — in 2024, Greece amended its «golden visa» program, which allows foreign investors to obtain a residence permit in exchange for the purchase of real estate. Now the minimum value of properties for participation in the program has been increased to 800,000 euros in Attica and to 400,000 euros in the rest of the country. In addition, the new rules prohibit the rental of properties purchased under this program. These changes are aimed at reducing the number of empty properties and improving the situation on the long-term rental market. However, the effectiveness of these measures has yet to be assessed.

The need for an integrated approach — solving the problem of empty apartments in Attica requires an integrated approach and coordinated efforts at all levels. It is necessary to develop and implement effective strategies to integrate empty properties into the housing market, as well as to expand social and affordable housing programs for vulnerable groups. It is also important to stimulate the development of the long-term rental market and limit the negative impact of short-term rentals on housing affordability. This could include regulating platforms like Airbnb, tax incentives for owners who rent out housing for long terms, and supporting the construction of new affordable housing.

The role of the public and the media — solving the housing crisis in Attica is impossible without active public participation and extensive media coverage. It is necessary to raise awareness of the scale and consequences of the crisis among citizens, as well as to involve them in the discussion and implementation of potential solutions. The media can play a key role in this process by covering the problem from different angles, providing a platform for discussions and drawing attention to the most successful initiatives and projects in the field of affordable housing.

The problem of empty apartments in Attica is therefore a complex and multifaceted challenge that requires a comprehensive approach and the participation of all stakeholders. It is necessary to develop and implement effective strategies to integrate empty properties into the housing market, expand social and affordable housing programs, and stimulate the development of the long-term rental market. Only through coordinated efforts by the state, local authorities, the private sector and the public can this crisis be overcome and affordable housing provided to all residents of the region. This will not only improve the quality of life of people, but will also contribute to the sustainable economic and social development of Attica and Greece as a whole.