Objective property values will remain unchanged at least until 2027, confirmed Deputy Finance Minister Giorgos Kotsiras in a recent interview. This decision aims to prevent further tax burdens on property owners and marks an official shift in real estate taxation policy for the coming years. According to Mr. Kotsiras, any potential increase in objective values could trigger a new cycle of rising property prices and impose additional tax pressure on citizens. In practice, freezing zone prices means that the government will not proceed with a new adjustment of objective values for at least two years, keeping the tax base at the levels set during the last revision in 2022.
This stability brings much-needed relief, especially for property owners. With objective values held constant, taxes calculated based on these values—such as ENFIA (property tax), transfer taxes, parental gifts, and donations—remain stable. This is particularly beneficial for areas that saw dramatic increases during the last adjustment, including Perama, Menidi, and parts of Western Attica, where this decision prevents further escalation of tax obligations.
Moreover, maintaining zone prices facilitates inheritances and property transfers, giving households the ability to carry out legal and financial adjustments without fear of added costs. However, it’s important to note that objective values are used exclusively for tax purposes and do not directly influence actual market prices or rental rates, which are determined by supply and demand dynamics.
In a climate of heightened investment activity, particularly from foreign capital, lower objective values favor transactions and offer tax incentives—without mitigating the upward pressures in the housing market. These pressures stem largely from limited housing supply. Rents continue to rise, and access to homeownership remains difficult for younger generations, as real estate costs are dictated more by demand-supply imbalances than by official valuations.
It’s worth noting that objective values were last updated in 2021 and have remained unchanged since January 1, 2022. Despite this freeze, commercial property prices have continued to rise rapidly, widening the gap between tax-assessed and market values. According to data from the Bank of Greece, residential property prices increased cumulatively by approximately 37.5% during the period 2022–2024, with an average annual growth rate exceeding 11%. As a result, there is growing misalignment in the market, as transfer taxes and ENFIA are still calculated based on static assessed values, while rents and sale prices continue to climb steadily.