Greek Real Estate Market: Housing Prices in Thessaloniki Surpass the Capital Athens

The real estate market in Thessaloniki is experiencing a remarkable shift, with housing prices surpassing those in the capital, Athens. Several areas with high demand for vacation homes—particularly from foreign investors—along with certain properties in Thessaloniki’s city center are now being listed at prices significantly higher than in Athens.

While Athens previously enjoyed a wave of foreign investment due to the Golden Visa program and short-term rental platforms, Thessaloniki’s price growth has been even stronger.

From Q3 2019 to Q3 2023, the average housing price in Thessaloniki surged by 83.5%, rising from 1,310 euros/m² to 2,400 euros/m². In comparison, prices in central Athens increased by only 43%, from 1,522 euros/m² to 2,177 euros/m². This reflects Thessaloniki’s delayed but explosive recovery, as its market only began to flourish after 2019, while Athens had already rebounded by 2018.

Currently, housing in Thessaloniki is 10.2% more expensive than in Athens. But it doesn’t stop there—along the nearby coastal region of Halkidiki, housing prices are 12.25% higher than in Athens, reaching 2,445 euros/m². Although demand from Russian buyers has decreased in recent years, strong interest from other countries continues to keep the market vibrant and prices on the rise.

The contrast becomes even more striking when looking at the Cyclades Islands, where luxurious vacation villas with spacious gardens and pools have driven prices up to 3,583 euros/m²—64.5% higher than in central Athens. In recent years, numerous new resort projects have been launched to meet the growing international demand. Even long-time homeowners are taking advantage of the market boom by selling older properties, particularly those built in the mid-2000s, which still meet high construction standards.

Thessaloniki’s real estate market has now emerged as Greece’s new investment hotspot, surpassing the capital in both appeal and growth potential.