The new National Housing Strategy 2026–2035, which has been released for public consultation, opens the door to rent caps, particularly for low-quality or energy-inefficient housing. At the same time, it proposes a new version of the “My Home” housing program with cheaper mortgage loans, a special Golden Visa for properties offered for long-term rental, and tax incentives for the construction of affordable housing.

These are four interventions aimed at increasing the supply of housing and addressing the country’s housing affordability crisis.

National Property and Rent Index

The first measure involves creating a national property and rent price index based on data from property transfers, rental agreements, bank valuations, tax returns, and other available market information.

The goal is to provide a more comprehensive picture of actual housing purchase and rental prices at national, regional, and local levels, while also identifying areas experiencing significant housing pressures.

The noteworthy aspect of the proposal is that the index would not be used solely to monitor housing prices. According to the strategy, it could serve as the basis for targeted interventions in the rental market, including the possible establishment of maximum rent ranges depending on a property’s characteristics.

Using objective data on location, construction quality, condition, and energy efficiency, authorities could determine which categories of properties would remain under a fully free-market rental system and which could be subject to special tenant-protection rules.

The proposal explicitly states that:

“Particularly for low-quality or energy-inefficient dwellings, the index could be used as a reference tool for setting maximum rent ranges or other forms of market regulation.”

In other words, the proposal goes beyond merely recording prices and opens the discussion on regulating rents according to housing quality, condition, and energy performance.

A Permanent “My Home” Mortgage Program

The second proposal concerns expanding the “My Home” program on a more permanent basis.

Under the proposal, banks would offer mortgages at reduced interest rates to young people and low- or middle-income households in exchange for tax relief rather than direct subsidies from government or EU funds.

In practice, the support mechanism shifts from the borrower to the lender. Instead of the state directly subsidizing mortgage interest rates, it would provide tax incentives to banks so they can offer more favorable financing terms for first-home purchases.

The objective is to create a permanent mechanism for housing access that does not depend on temporary funding sources such as the Recovery Fund.

A New Golden Visa Focused on Long-Term Rentals

The third proposal introduces a specialized category of Golden Visa.

Unlike the current system, investors would be allowed to acquire more than one property, provided that those properties are made available exclusively for long-term rental within a specified timeframe.

According to the consultation document, the goal is to link investment activity with increasing available housing supply and reducing the number of vacant or inactive properties.

For this reason, uses that do not serve this objective—such as short-term rentals through platforms like Airbnb—would be explicitly excluded. A monitoring mechanism would also be established to ensure compliance.

Essentially, the proposal seeks to transform part of the Golden Visa program from a tool for foreign property purchases into a tool for expanding housing supply in the Greek market.

Reduced VAT for Social and Affordable Housing

The fourth measure proposes a reduced VAT rate for the construction of social and affordable housing.

The proposal takes advantage of provisions in EU legislation that allow member states to apply lower VAT rates to housing projects serving social-policy objectives.

The aim is to provide tax incentives for developers to invest in building homes that will subsequently be rented at affordable or social-housing rates.

This measure would complement other tools included in the strategy, such as public-private housing partnerships and the use of state-owned properties for housing purposes.

The Major Challenge: Empty Homes

The biggest challenge remains bringing thousands of vacant homes back onto the market.

The strategy estimates that approximately 800,000 homes currently remain vacant, excluding second homes and vacation properties. This figure is part of the broader total of 2.2 million empty dwellings recorded by the Greek Statistical Authority.

The problem is compounded by the age of the housing stock:

• 32.7% of vacant homes were built between 1961 and 1980.
• 30.7% were built between 1981 and 2000.
• More than 22% were built before 1960.

As a result, many vacant properties require substantial renovation or energy-efficiency upgrades before they can be returned to the housing market.