The government is launching a comprehensive set of initiatives to boost the housing supply and tackle the ongoing housing crisis through social rent and the release of residential properties currently held by Servicers.
These measures are top priorities for the government’s economic team, expected to significantly alleviate housing challenges faced in major cities, especially in Athens and Thessaloniki.
A key focus for the Finance Ministry is to establish arrangements that will facilitate the entry of approximately 25,000 unused properties owned by Servicers into the market, as many remain inactive due to urban planning and related issues.
Minister of National Economy and Finance Kyriakos Pierrakakis is currently engaged in discussions with banks and Servicers who have proposed solutions to these challenges. Following the finalization of decisions, a relevant regulation is anticipated to be introduced to help address the difficulties in bringing this substantial stock of homes to market.
Simultaneously, the government’s economic team is expediting the implementation of the social consideration initiative, which will allow private individuals to develop housing on currently unused public properties.
The plan aims to initiate bidding for the first batch of 1,000 public sector properties by year-end, potentially sooner after summer. This batch is part of 6,500 public properties (EDF) earmarked for private development under the social consideration framework. According to the proposal, private entities will construct residential units on these sites, with 30% designated based on social criteria and the remaining 70% available for sale. It is projected that around 10,000 homes could be built from this initial package, with a longer-term potential of 25,000 to 30,000 homes from all EBRD properties.
Addressing the housing crisis is a top priority for the government. This was underscored during a meeting chaired by the Prime Minister this week, where the new digital platform, stegasi.gov.gr, was introduced. This platform allows citizens to access information about programs related to property acquisition, renovation, repair, or upgrading, alongside available subsidies, tax reliefs, and other incentives for owners and tenants.
The new digital portal provides detailed insights into 43 housing initiatives supported by a total budget of €6.5 billion. These initiatives include 21 housing programs such as “My House 1”, “My House 2”, and “Renovate – Rent”, which offer energy upgrade options and rent reimbursement. It also features 11 tax policies aimed at reducing ENFIA, exempting long-term rentals, and regulating short-term leases. Citizens can utilize the platform to calculate potential benefits from each scheme and initiate the application process.
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