General Purchase Procedure
We are here to guide you through the general procedure of purchasing property in Crete, ensuring a smooth and hassle-free transaction.
So, let’s get started…
Once you have found a property you wish to purchase and have agreed on a price with the seller, these are the typical steps from the initial agreement to the completion of the purchase:
1. Appoint a Local Solicitor
Appoint a local solicitor in Crete to advise you and represent you throughout the property transaction. You will need to grant the solicitor Power of Attorney (PoA) so they can act on your behalf. This can be easily arranged at a public notary in Crete or through the Greek Consulate in your home country.
If you do not already have contact with a local solicitor, we will be happy to recommend one.
2. Legal Check of the Property
Your solicitor’s first task will be to conduct a thorough legal check of the property to ensure that valid title deeds are available and that the property is free of any debts or encumbrances.
3. Preliminary Agreement & Deposit
Once your solicitor confirms that everything is in order, a deposit – typically 10% of the purchase price – should be paid. At this stage, a preliminary agreement is signed to secure the deal for both parties. The property is then taken off the market and reserved for you until the purchase is completed.
The preliminary agreement, prepared by a public notary, details the mutually agreed terms and purchase price.
4. Technical Inspection
It is advisable to have a local civil engineer or architect assess the property’s condition and confirm its legal compliance (for buildings) or building rights (for plots of land). If required, we can assist you in finding a qualified professional.
5. Obtain a Greek Tax Number
To purchase and own property in Greece, you will need a Greek tax identification number (AFM). With your PoA, your solicitor can obtain this number for you by registering you at the local tax office in Crete.
You will need to provide your solicitor with:
- A copy of your passport
- Your birth certificate
- A recent utility bill as proof of your permanent address
- A copy of your most recent tax return
6. Open a Greek Bank Account
Your solicitor can also open a Greek bank account in your name, which is required for the transaction.
7. Completion of the Purchase
It may take several weeks to a few months to gather all necessary documents and certificates before the final purchase contract can be signed. The timeline depends on the workload of the involved parties (lawyers, notaries, public authorities) and any unforeseen delays.
Purchase Expenses
The total purchase costs typically amount to approximately 8–10% of the agreed purchase price and include the following:
- Property purchase tax: 3.09%
- Solicitor’s fees: as agreed with your solicitor
- Notary fees: approx. 1% + 24% VAT
- Cadastre (land registry) registration: 0.7%
- Our estate agency’s commission: 2% + 24% VAT (minimum €1,200 + VAT for properties priced under €60,000)
The estate agency’s commission is payable upon signing the final purchase contract.
Important: All money transfers into Greece are documented, and receipts are issued by your Greek bank. These documents must be retained as proof for the tax authorities that no income was generated in Greece. If you bring cash into the country, it must be declared to the relevant authorities at your first port of entry.