Thessaloniki: House prices up to 39% higher – The 3 “champion” areas
Year of steady rise in prices sales and rental property In 2022, with the last quarter not recording 8% and 5% average growth, respectively. The big increase in average asking prices compared to 2021 was +7.2%.
Additional factors – challenges – had a significant impact on the image of the real estate market throughout the year. The increase in the prices of building materialswhich clearly affect the sales prices of newly built homes, the increase in regulatory granting of mortgage loans, but also the increase in interest rates due to inflation, have contributed significantly to the higher demand for properties for sale and an increase in their increasing average prices.
“Real estate seems to be an investment with more stable returnsin an environment where inflation needs and largely justifies the steady increased selling prices of goods seen through 2022,” states Dimitris MelachrinosCEO of Spitogatos.
Home sales: Where did the biggest increases occur in 2022?
For 2022 across the territory, the increase in large asking prices compared to 2021 was +7.2% with the biggest changes being observed in the Attica basin in particular in the Northern and Southern Suburbs of Attica, in the Center of Athens and the Suburbs of Piraeus.
Throughout time, the areas of the southern suburbs have attracted both private and investment interest. Of course, the development of these areas in the context of its projects Athenian Riviera, seems to have given them an even bigger boost. For example, an apartment in Drowning for 2022 it had an average purchase price of €5,933/sq.m., an increase of 19% compared to 2021.
Accordingly, in center of Athens, the Historic Center areas and Kolonaki top the list with the highest prices. At the same time, the urban interventions in the center of Athens, in the framework of the Grand Promenade projects, as well as the upcoming renovation and expansion projects of the metro stations in the surrounding areas, contributed to an even greater increase in the average asking prices of real estate. Indicatively, in relation to 2021, there was an impressive increase in real estate prices in Metz (+22%), Ilisia (+21%) and Goudi (+20%).
High prices were also recorded in the center of Piraeus and its Suburbs. For example, in the Center-Port of Piraeus there was a +10% increase in real estate sales prices compared to 2021. The opening of the new metro stations in October 2022 played a very important role in upgrading the wider area.
In Thessaloniki, the “champions” are the Forty Churches, Agios Pavlos and Toumba, with increases in the average sale price of real estate compared to 2021 by +39%, +24% and +20% respectively.
in the rest of Greecehigher prices in property sales increases compared to 2021 were identified in Preveza, Sporades, Halkidiki, Trikala, Larissa, Chania, Corinth and the Cyclades.
Home rentals: The impressive increases throughout the year
In 2022 across the territory, the increase in average asking prices compared to 2021 was +6.7%, with the highest changes to be detected in Vari Varkiza (+23%), Philothei (+21%), Immediate (+18%), Kifissia (+15%), Piraeus (+14%), Kolonaki (+13%), Saint Paraskevi (+12%) and Pagrati (+11).
The ever-popular areas of Attica saw even bigger increases in rental prices, which rather suggests that the areas with higher investment interest are maintaining their great strength.
According to Mr. Melachrinos, “Based on the data so far, the trend of demand remains upward, while the course of real estate in Greece is more dynamic than other European countries which is experiencing a recession, as for example in Germany. There are, however, many challenges for the new real estate, such as the evolution of inflation, mortgage interest rates, the management of non-performing loans, but also programs to support the acquisition of a first home, in an election year. 2023 will be an interesting year.”