PROPERTY

Major hike in residential rates

major-hike-in-residential-rates

The Athens residential market ended the third quarter with asking rents up 38.3% year-on-year and asking prices having grown by 25%, according to data from the Spitogatos Property Index. Across Greece, asking rents increased by 1.3%, while asking prices grew 7.1 %.

The reason new rental rates showed such a small increase around the country is that several areas adjusted to market conditions this year after having soared over the previous three years.

In Petroupoli, West Attica, the average price asked for by residential property sellers soared 25% from last year to 1,923 euros per square meter, while in Holargos, northwestern Athens, the average rate reached €2,767/sq.m., with the increase amounting to 23.7% on an annual basis. Vrilissia, northern Athens, saw asking prices rise 21.2% to €2.666/sq.m. while the more affordable district of Rentis also increased 23%, to €1,294/sq.m.

The analysis by the online classified ads platform showed that the biggest jumps in sale prices are now being seen in areas far away from the capital’s center, while the greatest increases in rental rates are to be found by the sea and at resorts close to Athens: For instance, Anavyssos in southeastern Attica saw a 38.3% hike in asking rents to €8.3/sq.m., followed by neighboring Palaia Fokaia with a 26% increase to €7.6/sq.m. At Moschato, in southern Athens, rates leapt 24.4% to €9.4/sq.m.

In Thessaloniki the biggest asking price increases are also noted in areas away from the city center: For instance, at Vardaris the rise came to 32.2%, to a rate of €1,461.5/sq.m., and at Triandria it amounted to 25.7%, reaching €1,571/sq.m.

As far as rents are concerned, Panorama boasted the highest growth, up 21.4% year-on-year to €8.8/sq.m., followed by Agios Pavlos (up 18.6% to €7.9/sq.m).

Spitogatos chief executive Dimitris Melachroinos notes that “the pandemic appears to have permanently changed the demands of users, with buyers and tenants preferring larger properties.”