Analysts and economists are revising upwards their forecasts for house prices in both 2026 and 2027, they tell Euro2day.gr.
Just as the broader market appeared to be showing signs of stabilisation, prices seem to be heading upwards again. Higher construction costs for homes, driven by the energy crisis, an increase in mortgage lending and resilient demand at home and abroad are giving prices a fresh boost.
“The market is more buoyant than we had expected. Although we thought the measures on Airbnb and the Golden Visa would lead to a drop in investment, particularly from foreign investors, we are surprised to find that investment in the property market has not only failed to fall, but has increased,” says an experienced economist who closely follows the Greek market.
According to recent data from the Bank of Greece, net foreign direct investment in real estate totalled €1.02bn in the first half of the year, compared with €938.3m in the same period of 2025.
Investment also rose quarter on quarter. In the second quarter of 2026, foreign investment stood at €515.8m, compared with €511.6m in the first quarter.
Inflation changes the picture
On the price front, successive increases are changing the picture for the property market, as they are for all sectors of the economy.
The Bank of Greece’s (BoG) Financial Stability Report, published a few days ago, revised its forecasts for the Consumer Price Index (CPI).
Specifically, the BoG raised its inflation forecasts to 3.5% from 3.1% for 2026 and to 2.7% from 2.4% for 2027, compared with its previous report in May.
House prices are therefore gaining fresh momentum.
New forecast points to a 6% rise
Until recently, analysts were forecasting price growth of 4.8-5% in 2026. But they now see greater upside risks to that forecast. Some, in fact, expect prices to rise by 5.5-6%, while others predict an increase of more than 6% in 2026.
It is worth noting that growth in the Apartment Price Index slowed to 5.5% in the second quarter of 2026, from 6.6% in the first quarter.
The 2027 forecast
A similar picture is emerging for 2027. The forecast that price rises would slow to 3.5% is now being revised, with new projections pointing to house price increases of up to 5%.