Buying property in Mykonos in 2025: a good idea?

Authored by the expert who managed and guided the team behind the Greece Property Pack

Yes, the analysis of the Greek Islands' property market is included in our pack

Who is the author of this content?

INVESTROPA

A team specialized in real estate investing in European countries (Greece, Portugal, Spain, Italy, etc.).

We are a team of financial experts, legal professionals, developers, and local real estate specialists dedicated to helping people like you avoid mistakes when investing in real estate in a foreign place, particularly in Greece. If you'd like to learn more about us, you can check our presentation page.

How have Mykonos property prices changed, and where are they heading?

Mykonos property prices have experienced dramatic growth over the past few years, cementing the island's position as Greece's most expensive real estate market.

Back in early 2022, the average asking price for residential property in Mykonos was approximately €5,714 per square meter, already the highest among Greek tourist destinations. By 2023, this figure climbed further, with luxury villa sales averaging over €1.8 million. The upward trajectory has continued relentlessly, driven by international demand and the island's limited developable land.

As of June 2025, the average sale price has reached €7,574 per square meter, representing a 4.57% increase from May 2024. However, these averages mask significant variations across the island. Properties in the Marmaronisio area start at €5,877 per square meter, while prime locations like Mpaos command €8,072 per square meter. The real premium lies in luxury hotspots like Psarou, Agios Lazaros, and Ornos, where prices routinely exceed €10,000 per square meter, with median home prices ranging from €2.4 million to €4.5 million.

Entry-level luxury villas now start at €1.5 million, while branded properties or those with direct sea access easily surpass €4 million. The market has become increasingly stratified, with the ultra-luxury segment showing the strongest price resilience and growth potential.

Looking ahead to 2026 and beyond, price growth is expected to moderate but remain positive, with projections indicating 3.5-5.5% annual increases. This more sustainable growth rate reflects market maturity while being supported by fundamental factors including supply scarcity, persistent global demand, and severely limited new construction opportunities due to zoning restrictions and archaeological protections.

What's really happening in the Mykonos property market right now?

The Mykonos real estate market in 2025 remains firmly in sellers' territory, with demand significantly outpacing available supply.

Foreign buyers now constitute over 60% of all transactions, with the buyer profile including wealthy Western Europeans, Americans, and increasingly, Middle Eastern investors seeking both lifestyle properties and investment opportunities. This international demand has created a highly competitive environment where desirable properties, especially those with proper rental licenses or in prime locations, often receive multiple offers within days of listing.

There's been a notable shift in buyer priorities from pure capital appreciation plays to properties that can generate immediate rental income while maintaining long-term value. This change reflects both the maturity of the market and new regulatory frameworks around short-term rentals. Investors are now prioritizing properties with existing EOT (Greek Tourism License) permits, as obtaining new licenses has become increasingly difficult.

It's something we develop in our Greece property pack.

Inventory remains exceptionally tight, particularly for renovated, rental-ready properties in desirable locations. The combination of limited new construction, strict building regulations, and owners holding onto profitable rental properties has created a persistent supply shortage that shows no signs of easing in the near term.

What's the complete process for foreigners buying property in Mykonos?

Purchasing property in Mykonos as a foreigner involves a well-defined but complex process that requires careful navigation.

First, establish your budget including all associated costs - expect to add 10-15% to the purchase price for taxes, legal fees, and other expenses. Begin assembling your professional team early: you'll need a licensed real estate agent familiar with international transactions, a Greek lawyer specializing in property law, a notary public, and potentially an engineer for property inspections. These professionals are essential for navigating Greek bureaucracy and ensuring a smooth transaction.

Before viewing properties, obtain your Greek Tax Number (AFM) from the local tax office - you'll need only your passport for this. While not mandatory, opening a Greek bank account is highly recommended for handling transactions and ongoing property expenses like utilities and annual taxes.

During the property search phase, work closely with your agent to identify suitable properties and arrange viewings. Once you've found your ideal property, your lawyer must conduct thorough due diligence including title searches, checking for encumbrances, verifying building permits, and ensuring all property taxes are paid. Don't skip the technical inspection - hire a qualified engineer to check structural integrity, identify potential issues, and verify that any renovations were properly permitted.

After successful due diligence, you'll sign a preliminary purchase agreement and pay a 10% deposit. This legally binds both parties while allowing time to arrange final payment. The final step involves signing the official contract before a notary, paying the remaining balance plus the 3% property transfer tax, and registering your ownership at the Land Registry and Cadastre Office.

Where can you find properties and which agencies should you trust?

Finding legitimate properties and trustworthy agencies in Mykonos requires careful research and verification.

Start your search on established online platforms that specialize in Greek real estate. Indomio, Spitogatos, and Greek Exclusive Properties offer comprehensive listings with detailed information and photos. International platforms like Rightmove and Properstar also feature Mykonos properties, though their listings may be less current. These platforms allow you to filter by price, location, and property type, giving you a realistic overview of market availability and pricing.

For on-the-ground expertise, work with established local agencies that have proven track records. Reputable firms include Mykonos Real Estate, Mykonos Land, MykonosProperty.gr, RE/MAX Pride Mykonos, Markos & Partners, Ideal Mykonos, Dreamyard Real Estate, and Pinhouse Mykonos. These agencies have strong local presence, multilingual staff, and deep knowledge of the island's property market.

Always verify that any agent you work with is licensed by the Real Estate Chamber of Greece - this is your first line of defense against scams. Legitimate agents will have their license number readily available and won't hesitate to provide references from previous international clients. Be extremely wary of anyone offering "special deals" that bypass normal procedures or request payments outside official channels.

When evaluating agencies, look for those with physical offices in Mykonos, established websites with real contact information, and agents who take time to understand your needs rather than pushing specific properties. The best agencies will provide comprehensive support throughout the buying process, including connections to lawyers, notaries, and other necessary professionals.

What can different budgets actually buy in Mykonos?

Understanding what your budget can realistically secure in Mykonos is crucial for setting appropriate expectations.

With €300,000, your options in Mykonos are extremely limited. At this price point, you might find small parcels of land in remote areas requiring significant development investment, or properties needing complete renovation in less desirable locations. Most properties at this level are either outside the main tourist areas or come with significant issues that explain the low price. Honestly, this budget is better suited to other Greek islands where your money goes much further.

A €600,000 budget opens up more realistic possibilities, though still modest by Mykonos standards. You can expect to find small one or two-bedroom apartments in less central areas, or older houses in villages like Ano Mera that need updating. Properties at this level typically lack the wow factor Mykonos is known for - no sea views, pools, or walking distance to beaches. However, they can serve as entry points into the market or renovation projects for those willing to invest additional time and money.

With €1 million or more, you enter the realm of genuine investment opportunities. Entry-level villas with 2-3 bedrooms become available, though usually in non-prime locations requiring a car for beach access. Premium apartments or townhouses near Mykonos Town or Ornos also fall within this range. For prime villas with sea views and quality finishes, expect to pay €1.5-2 million as a starting point. The ultra-luxury segment - villas with infinity pools, direct beach access, and premium finishes - begins at €3 million and rises rapidly from there, with some properties exceeding €10 million.

Which Mykonos areas offer the best investment potential in 2025?

Choosing the right location in Mykonos can make the difference between a good investment and a great one.

Mykonos Town (Chora) remains the island's beating heart, offering unmatched rental demand and capital appreciation potential. Properties here benefit from proximity to restaurants, nightlife, shops, and the iconic windmills. The historic architecture and pedestrian-only streets create unique charm, though this comes with premium pricing, summer crowds, and limited parking. For investors, Chora offers the highest rental rates but also the highest entry costs.

Ornos has emerged as a family-friendly alternative that balances accessibility with a more relaxed atmosphere. Its protected bay with calm waters, good selection of restaurants, and regular bus connections to town make it popular with a broader demographic. Property prices are rising steadily here as more buyers recognize its year-round appeal, though it's becoming increasingly busy during peak season.

Agios Ioannis offers a quieter alternative focused on luxury villa living. With stunning sunset views and relative privacy, it attracts high-net-worth individuals seeking tranquility. The trade-off is fewer amenities and limited nightlife, requiring a car for most activities. For those prioritizing privacy and views over convenience, it represents excellent value.

It's something we develop in our Greece property pack.

Emerging areas like Elia and Kalo Livadi represent the next wave of development, with new luxury projects targeting the €6,500-8,000 per square meter range. These beachfront locations offer more space and better value than established areas while maintaining high-end appeal. Ano Mera, the island's second-largest settlement, provides the most affordable entry point at €5,500-6,500 per square meter, appealing to those seeking authentic Greek island living away from the tourist hustle.

What expensive mistakes do buyers make and how can you avoid them?

The Mykonos property market is littered with cautionary tales of buyers who learned expensive lessons the hard way.

The most catastrophic mistake is failing to hire a reputable Greek property lawyer. Some buyers, trying to save on legal fees or trusting overly helpful agents, have purchased properties with hidden debts, unclear titles, or legal disputes that surface years later. Your lawyer should be independent of the selling agent and conduct thorough due diligence including title searches, tax clearances, and verification of building permits. This isn't an area for cost-cutting - a good lawyer costs 1-2% of the purchase price but can save you from losing everything.

Another critical error is falling for unlicensed agents or under-the-table deals. Mykonos attracts opportunists who prey on foreign buyers' unfamiliarity with Greek procedures. Always verify agent credentials with the Real Estate Chamber of Greece, insist on official receipts for all payments, and never agree to partial declarations to "save on taxes" - this fraud can result in property confiscation and criminal charges.

Many buyers skip proper property inspections, seduced by fresh paint and sea views. Cosmetic renovations often hide serious structural issues, outdated plumbing, or electrical problems that can cost hundreds of thousands to fix. Hire an independent engineer to inspect the property thoroughly, checking for water damage, foundation issues, and verifying that any renovations were properly permitted.

Underestimating total costs is another common pitfall. Beyond the purchase price, budget for transfer taxes (3%), notary fees (1-1.5%), legal fees (1-2%), agent commission (2-3%), and potential renovation costs. Many properties also come with outstanding utility bills or community fees that become your responsibility.

Finally, ignoring zoning restrictions and archaeological limitations can derail renovation plans. Many areas in Mykonos have strict building codes, height restrictions, or sit near archaeological sites where even minor changes require special permits. Always verify what modifications are possible before purchasing with renovation intentions.

What's the real cost of living in Mykonos?

Living in Mykonos full-time involves financial realities that extend far beyond property purchase prices.

Housing costs rank among the highest in Greece, with rental prices for those not owning property reaching extraordinary levels during summer months. Even basic one-bedroom apartments in Mykonos Town command premium rents, while luxury villas can cost tens of thousands per month in peak season. Year-round residents benefit from lower winter rates, but annual averages remain substantially above mainland Greece.

Daily expenses significantly exceed Greek averages due to the island's reliance on imports and tourism pricing. Grocery costs run 30-50% higher than Athens, with even basic items carrying tourist-destination markups. Restaurant dining, while offering world-class options, comes with Riviera-style pricing - expect to pay €50-100 per person for a nice dinner, with beachfront venues charging considerably more.

Utilities present another significant expense due to island infrastructure limitations. Electricity costs more than the mainland, water is precious and priced accordingly, and reliable internet service comes at premium rates. Many properties rely on generators during peak summer demand, adding fuel costs to monthly budgets.

Healthcare on Mykonos offers good private options at prices generally lower than the US or UK but higher than mainland Greece. The island has quality private clinics for routine care, though serious medical issues require transfer to Athens. Most expats maintain comprehensive health insurance including medical evacuation coverage.

Transportation adds another layer of expense - owning a car involves higher fuel costs and maintenance due to limited service options. Taxis are expensive and often unavailable during peak season. Many residents maintain both a car and scooter for flexibility, doubling transportation costs.

What's daily life really like for expats in Mykonos?

The expat experience in Mykonos varies dramatically between summer chaos and winter tranquility.

During peak season (June-September), the island transforms into a 24/7 party destination with crowds, traffic, and a frenetic energy that some find exhilarating and others exhausting. Beaches become packed, restaurants require reservations weeks in advance, and simple errands can take hours due to tourist congestion. However, this is also when the island feels most alive, with endless entertainment options, international cuisine, and a cosmopolitan atmosphere rivaling any major city.

Winter reveals Mykonos's other personality - a quiet Greek island where everyone knows everyone. From November through March, many businesses close, the population shrinks to around 10,000 locals and year-round expats, and life takes on a village rhythm. This is when deep friendships form, Greek language skills develop, and the true character of island life emerges. Some expats struggle with the isolation and limited amenities, while others cherish the authenticity and community bonds.

The expat community itself is remarkably diverse, including retired executives, digital nomads, hospitality professionals, artists, and entrepreneurs. English is widely spoken in tourist areas, making initial integration easier, though learning Greek opens doors to deeper local connections. The community tends to be welcoming but transient - many expats stay for a few seasons before moving on, while a core group has made Mykonos their permanent home.

Practical challenges include limited shopping options (many residents make regular Athens trips for supplies), schooling options for families (the international school is small), and the need to be comfortable with island limitations. Internet reliability has improved dramatically but can still frustrate remote workers during peak usage times.

Social life revolves around beach clubs in summer and tavernas in winter, with a strong emphasis on outdoor living. The natural beauty provides constant inspiration, from spectacular sunsets to pristine beaches, though some miss cultural amenities like theaters, museums, and concerts found in larger cities.

Don't lose money on your property in the Greek Islands

100% of people who have lost money there have spent less than 1 hour researching the market. We have reviewed everything there is to know. Grab our guide now.

Download Now

How do long-term rentals work and what returns can you expect?

Long-term rentals in Mykonos operate differently than typical residential markets due to seasonal employment patterns and tourism dominance.

The most successful long-term rental properties are located in areas with year-round appeal like Mykonos Town, Ornos, and Agios Ioannis. These locations attract a specific tenant profile: hospitality professionals working in hotels and restaurants, digital nomads seeking Mediterranean lifestyle, and affluent individuals wanting seasonal bases without purchase commitments. Your typical tenants will be international, professionally employed, and willing to pay premium rates for quality accommodations.

Rental yields for long-term properties range from 4-8% annually, though this requires careful management of seasonal variations. The key is securing 8-10 month contracts with hospitality workers who arrive in March/April and stay through October/November, allowing you to capture higher short-term rates during peak summer if desired. Some landlords offer discounted annual rates to quality tenants who accept limited summer access, creating stable income while maintaining flexibility.

Monthly rental rates vary significantly by season and location. A two-bedroom apartment in Ornos might rent for €800-1,200 monthly in winter but command €3,000-4,000 in summer. Smart investors structure leases to maximize income - perhaps offering €1,000 monthly for October-May occupancy, keeping June-September free for profitable weekly rentals at €2,000-3,000 per week.

The challenge lies in finding reliable year-round tenants, as many workers leave during quiet winter months. Successful landlords often maintain relationships with major hotels and restaurants, becoming preferred housing providers for their seasonal staff. Property management becomes crucial - someone needs to handle maintenance, payments, and tenant issues, especially if you're not residing on the island.

What about short-term rentals - rules, income, and best practices?

Short-term rentals in Mykonos offer the highest income potential but come with increased complexity and regulatory requirements.

First and absolutely critical: you must have an EOT (Greek Tourism License) to legally operate short-term rentals. The Greek government has significantly tightened enforcement, with heavy fines and property blacklisting for non-compliance. Obtaining new licenses has become increasingly difficult, making properties with existing licenses worth significant premiums. The license requires meeting specific standards including safety certificates, proper insurance, and guest registration with authorities.

Location dramatically impacts short-term rental success. Properties in Mykonos Town, Ornos, and Psarou command the highest nightly rates due to proximity to attractions and beaches. Luxury villas in Agios Ioannis or Elia targeting high-net-worth travelers can achieve exceptional returns through premium positioning. Even properties in less central areas like Ano Mera can succeed with proper marketing and competitive pricing.

We did some research and made this infographic to help you quickly compare rental yields of the major cities in Greece versus those in neighboring countries. It provides a clear view of how this country positions itself as a real estate investment destination, which might interest you if you're planning to invest there.

Guest expectations in Mykonos are exceptionally high. Properties must offer hotel-level amenities including high-speed WiFi, premium linens, fully equipped kitchens, and often pools or hot tubs. Many successful operators provide concierge services, airport transfers, and pre-arrival shopping. This level of service commands premium rates but requires significant operational commitment or professional management.

Income potential varies dramatically by property type and season. A well-located two-bedroom apartment might generate €15,000-25,000 in gross summer revenue (June-September), while luxury villas can earn €50,000-150,000 or more. However, operational costs are substantial - professional management takes 20-30%, utilities run high with constant AC use, and maintenance/cleaning between guests adds up quickly.

Gross yields for compliant, well-managed properties can exceed 8% annually, but this requires professional operation. The seasonality is extreme - 70-80% of income arrives in just four months, requiring careful financial planning. Off-season (November-March) sees minimal demand except for New Year's period, though some operators successfully target remote workers with monthly winter rates.

Is buying property in Mykonos worth it in 2025?

The decision to buy property in Mykonos ultimately depends on your specific goals, budget, and risk tolerance.

For lifestyle buyers seeking a luxurious Mediterranean base, Mykonos offers an unmatched combination of natural beauty, cosmopolitan amenities, and investment potential. The island's infrastructure has matured significantly, with improved healthcare, internet connectivity, and year-round services making full-time residency increasingly viable. If you can afford the entry price and ongoing costs, few places match Mykonos for sheer quality of life during the extended summer season.

From an investment perspective, Mykonos presents both opportunities and challenges. The 4-8% rental yields are attractive in today's low-interest environment, particularly for properties in prime locations with proper licensing. Capital appreciation prospects remain positive with 3.5-5.5% annual growth expected, driven by limited supply and continued international demand. However, success requires active management, regulatory compliance, and acceptance of extreme seasonality.

The market's exclusivity provides both protection and limitation. Your investment is relatively insulated from broader economic downturns due to the ultra-wealthy client base, but this same exclusivity means limited buyer pools when selling and extended marketing periods for properties above €2 million. The strengthening of short-term rental regulations has actually improved the investment landscape by reducing amateur competition and rewarding professional operations.

It's something we develop in our Greece property pack.

For those viewing Mykonos property as a long-term wealth preservation vehicle combined with personal enjoyment, the proposition remains compelling. The island's global brand recognition, physical beauty, and established infrastructure suggest continued appreciation and rental demand. However, success requires realistic expectations, professional support, and sufficient capital to weather seasonal variations and market cycles. In essence, Mykonos property is worth it for those who go in with eyes open, proper financing, and clear objectives - whether that's lifestyle enhancement, rental income, or long-term appreciation.

Conclusion

This article is for informational purposes only and should not be considered financial advice. Readers are advised to consult with a qualified professional before making any investment decisions. We do not assume any liability for actions taken based on the information provided.

Sources

1. Global Property Guide - Greece Price History
2. Indomio - Mykonos Real Estate Market Data
3. The Luxury Playbook - Mykonos Real Estate Analysis
4. Investropa - Greece Property Buying Guide
5. Get Golden Visa - Buying Property in Greece
6. Global Citizen Solutions - Greece Property Guide
7. Rightmove - Mykonos Properties
8. Get Golden Visa - Mykonos Real Estate Guide
9. The Luxury Playbook - Greece Property Pitfalls
10. Expat Exchange - Cost of Living in Mykonos