Buying a second home in Greece

Buying a second home in Greece? A dream that can become reality. It is important to inform yourself well in advance. The fiscal and financial rules for a second home in Greece are different.

Use the equity on your first home for a second home in Greece

Many homeowners have equity in their first home and this often makes it possible to finance a second home in Greece. We advise you to talk to the bank where you already have a mortgage for your first home. They often weigh the first home favourably, so that you can borrow more money. The chance that the interest rate will be increased is also smaller.

Getting a mortgage for a second home in Greece

It is often difficult to get a mortgage in the Netherlands or Belgium for a second home in Greece. If a bank does want to give you a loan, the conditions are often not very favorable. They often charge a higher interest rate, because they estimate the risk to be higher. Sometimes it is possible to apply for a mortgage at a Greek bank. Usually you can borrow up to 50% of the purchase price. First make sure that the bank can give you a mortgage before the purchase contract is signed.

Mortgage interest deduction second home Greece

It is not possible to deduct the mortgage for your second home in Greece from your taxes in the Netherlands. The loan and the home fall into box 3 of the taxes. The tax authorities see the second home as part of your own assets. In Greece you pay the normal taxes for the house and utilities. It is also important to find out where you have to pay income tax if you are going to live in Greece all year round.

Renting out your second home in Greece

It is interesting to rent out the house if you are not using it yourself temporarily. In that case, you can apply for a special tax number for short-term rental at the Greek tax authorities here in Greece. So you pay tax in Greece on the income.