There are some real bargains out there for people thinking of buying a holiday home in Greece, as a third consecutive slump year with little interest on the part of local or foreign potential buyers has compelled owners, as well as construction companies, to introduce generous discounts. It is estimated that over the past two years, prices for newly constructed holiday homes have dipped on average by 30%, with the greatest drop noted last year, when it became apparent to sellers that demand was going to remain low after seeing sales drop to even lower levels than in 2009. So far this year the market has seen a further decrease in prices by up to 15%, a figure that is estimated to even out to an average of 10% by the end of 2011. Taken together with the decrease in prices from previous years, the overall average cost of a holiday home in Greece has dropped by nearly 40% in comparison to the summer of 2008, as daily Kathimerini reports. Nevertheless, according to experts, sales remain at low levels due to the economic crisis, which has made buyers skeptical of investing in what they consider luxuries. With Greek buyers appearing to have turned their backs on the holiday home market, it seems however that buyers from overseas aren’t likely to make up the difference given that over the past decade no more than 3,000-4,000 holiday homes have been sold to foreigners. While potential buyers from abroad have increased in number over the past couple of years (especially this one), they don’t seem quite ready to invest as the Greek market does not offer the abundance of choices they are looking for. Even in special cases like the popular islands of Myconos and Corfu, where there are luxury villas going for up to 45% less this year than in 2009, there is little buying interest from abroad. The reason for this, according to experts, is competition from similar markets in southern European destinations such as Spain and Portugal, as well as Turkey.
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