Authored by the expert who managed and guided the team behind the Greece Property Pack
Yes, the analysis of Thessaloniki's property market is included in our pack
Thessaloniki's property market in 2025 presents a compelling investment opportunity with prices still rising but at a more sustainable pace than previous years.
As we reach mid-2025, property values have increased by over 80% since 2019, yet the city remains significantly more affordable than Athens or other major European destinations. The combination of strong rental yields (4-9%), growing expat community, and upcoming infrastructure improvements makes Thessaloniki an attractive option for both investors and those seeking relocation.
If you want to go deeper, you can check our pack of documents related to the real estate market in Greece, based on reliable facts and data, not opinions or rumors.
Thessaloniki property prices have surged 83.5% since 2019, with continued growth projected at 5-8% annually through 2026.
The city offers strong rental yields and remains 20-30% cheaper than Western European cities, making it attractive for both investment and relocation purposes.
| Market Aspect | Current Status (2025) | Outlook |
|---|---|---|
| Average Price per m² | €2,000-€2,200 | 5-8% annual growth |
| Rental Yields | 4-7% long-term, 7-9% short-term | Stable demand |
| Cost of Living | €1,200-€1,600/month (single) | 20-30% below Western Europe |
| Golden Visa Threshold | €250,000-€800,000 | Unchanged for 2025 |
| Best Investment Areas | Ano Poli, Vardaris, Kalamaria | Growing expat demand |
| Foreign Buyer Activity | High (Germany, Israel, Balkans) | Increasing interest |
| Market Liquidity | 45-60 days (€140k-€220k range) | Competitive market |
How do property prices in Thessaloniki compare today versus 5 years ago, and what's the forecast for the next couple of years?
Thessaloniki's property market has experienced dramatic growth over the past five years, making it one of Greece's fastest-appreciating cities.
As of June 2025, the average asking price for residential properties in Thessaloniki ranges from €2,000 to €2,200 per square meter. Central districts and newly developed areas command higher prices, while suburban locations offer more affordable options. This represents an extraordinary 83.5% increase from Q3 2019 to Q3 2023, followed by an additional 12-13% annual growth since 2023.
The price surge has been driven by several factors: limited supply of quality properties in central areas, infrastructure improvements including the upcoming Metro system, sustained demand from both Greek and foreign buyers, and Thessaloniki's growing reputation as an affordable alternative to Athens and other European cities. Foreign buyers, particularly from Germany, Israel, and the Balkans, have been increasingly active in the sub-€250,000 property segment.
Looking ahead to 2025-2026, property prices are expected to continue rising, but at a more moderate pace of 5-8% annually. This slower growth rate reflects market maturation and improved supply-demand balance as new developments come online. The upcoming Metro completion and continued infrastructure investments will likely support sustained price appreciation.
It's something we develop in our Greece property pack.
Is it cheaper or smarter to buy or rent in Thessaloniki in 2025?
The decision between buying and renting in Thessaloniki depends on your timeline, financial situation, and long-term goals.
Buying makes financial sense for those planning to stay 5+ years, seeking investment opportunities, or qualifying for Greece's Golden Visa program. The break-even point for buying versus renting typically occurs between 5-7 years. With mortgage rates for non-residents starting at 2.9-3.5% and robust price appreciation continuing, buying often proves more economical for long-term residents and investors.
Purchasing allows you to lock in housing costs, benefit from capital appreciation, avoid rising rental prices, and build equity over time. Additionally, buyers can generate rental income if they choose to let the property, with yields ranging from 4-7% for long-term rentals and 7-9% for short-term arrangements.
Renting offers greater flexibility and lower upfront costs, making it ideal for newcomers, digital nomads, or those uncertain about long-term plans. Renting allows you to test different neighborhoods before committing to a purchase and requires significantly less initial capital investment.
Given the current market conditions with rising property values and relatively stable rental rates, buying has become increasingly attractive for those with long-term intentions in Thessaloniki.
What are the current real estate trends in Thessaloniki, and is demand going up or down?
Thessaloniki's real estate market shows strong momentum with demand continuing to outpace supply in many segments.
Current market trends include intense competition for renovated, centrally located apartments, especially those near universities and future metro stations. Properties in the €140,000-€220,000 range are selling quickly, typically within 45-60 days of listing. There's particularly strong demand for 1-2 bedroom apartments in neighborhoods like Ano Poli, Vardaris, and Toumba.
Limited new construction in central districts has created a supply shortage, driving competition for quality existing stock. This scarcity has pushed buyers to consider properties requiring renovation or to expand their search to emerging neighborhoods. The rental market remains robust with vacancy rates below 5% and occupancy rates above 70% in prime areas.
Foreign buyer activity has intensified, with investors from Germany, Israel, and Balkan countries actively seeking properties under €250,000. This international interest, combined with domestic demand from young professionals and families relocating from Athens, maintains upward pressure on prices and rental rates.
The short-term rental market continues to perform well, with Airbnb and similar platforms showing strong booking rates in tourist-friendly areas like Ano Poli and the city center.
What's the step-by-step process for buying property in Greece as a foreigner?
Foreign buyers can purchase property in Greece following a structured legal process that requires proper documentation and professional assistance.
| Step | Requirement | Timeline |
|---|---|---|
| 1. Obtain Greek Tax Number (AFM) | Mandatory for all transactions | 1-2 weeks |
| 2. Open Greek Bank Account | Required for payments and ongoing expenses | 1-2 weeks |
| 3. Hire Local Lawyer | Essential for due diligence and legal compliance | Immediate |
| 4. Property Search | Use licensed agents and verified platforms | 2-8 weeks |
| 5. Make Offer & Preliminary Agreement | Usually requires 10% deposit | 1-2 weeks |
| 6. Arrange Financing | If needed, secure mortgage or transfer funds | 2-6 weeks |
| 7. Final Contract at Notary | Pay remaining balance plus 3% transfer tax | 1 day |
| 8. Land Registry Registration | Ensures legal ownership | 2-4 weeks |
| 9. Tax Registration | Register for ENFIA property tax | 1-2 weeks |
The entire process typically takes 3-6 months from initial search to completed purchase. Golden Visa applicants should note that minimum investment thresholds range from €250,000 to €800,000 depending on the area and property type. Working with experienced professionals is crucial for navigating Greek bureaucracy and ensuring compliance with all legal requirements.
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Where do people usually search for properties—are real estate agents reliable, or are there trusted online platforms?
Property searching in Thessaloniki involves both online platforms and licensed real estate agents, with several reliable options available.
The most trusted online platforms include Spitogatos.gr, which is Greece's largest property portal offering comprehensive listings with detailed photos and property information. Other reliable Greek platforms include XE.gr, Tospitimou.gr, and Spiti24.gr, all part of the Spitogatos network. International platforms like Rightmove, Properstar, Engel & Völkers, and Green-Acres also feature Thessaloniki properties and cater to foreign buyers.
For real estate agents, it's crucial to work only with licensed, reputable agencies. Large networks like Engel & Völkers, Golden Home, and established local firms with strong reviews provide reliable service. These agents understand foreign buyer requirements and can navigate the legal complexities of Greek property transactions.
Always verify agent credentials before engaging their services and avoid unregistered intermediaries who may not have proper licensing. Licensed agents will have official registration numbers and can provide references from previous clients. Many reputable agents speak English and other European languages, making communication easier for foreign buyers.
It's something we develop in our Greece property pack.
What can you get for different budgets—for example, under €100k, between €100k–€250k, and above €250k?
Property options in Thessaloniki vary significantly based on budget, with each price range offering different types of properties and locations.
| Budget Range | Property Types | Typical Locations |
|---|---|---|
| Under €100,000 | Small studios, older 1-bed apartments | Suburbs, outskirts, may need renovation |
| €100,000-€150,000 | 1-bed apartments, some 2-bed in outer areas | Charilaou, Stavroupoli, Evosmos |
| €150,000-€200,000 | 2-bed apartments, renovated 1-beds in central areas | Vardaris, Toumba, parts of Ano Poli |
| €200,000-€250,000 | Larger 2-bed, some 3-bed apartments | Ano Poli, central Vardaris, near universities |
| Above €250,000 | Luxury apartments, penthouses, houses | Kalamaria, Panorama, Nea Paralia |
| Above €400,000 | New builds, sea-view properties, villas | Premium locations with modern amenities |
| Above €600,000 | Luxury houses, high-end penthouses | Exclusive areas, waterfront properties |
Under €100,000, options are limited mainly to small studios or older apartments in suburban areas that may require significant renovation. Between €100,000-€250,000, buyers can find 1-2 bedroom apartments in central or up-and-coming neighborhoods, with many modernized units available in areas like Ano Poli, Vardaris, Toumba, and Charilaou.
Above €250,000, buyers gain access to larger apartments, luxury units, new builds, penthouses, and houses in upscale areas like Kalamaria, Panorama, and Nea Paralia. This price range also qualifies for Greece's Golden Visa program.
Which areas in Thessaloniki are considered affordable, up-and-coming, or upscale—and what are the pros and cons of each?
Thessaloniki's neighborhoods can be categorized into three distinct investment and lifestyle categories, each offering different advantages and challenges.
Affordable areas include Evosmos, Sykies, and Stavroupoli, which offer lower property prices and good family-friendly environments. These neighborhoods provide excellent value for money and are well-connected by public transport. However, they're less central, have fewer amenities, and require longer commutes to the city center.
Up-and-coming neighborhoods like Ano Poli, Vardaris, Toumba, and Charilaou show strong rental demand due to student and expat appeal. These areas offer vibrant cultural scenes, proximity to universities, and good investment potential. The downside is that some properties require renovation, and gentrification is driving up prices rapidly.
Upscale areas such as Kalamaria, Panorama, Nea Paralia, and Ladadika feature sea views, luxury new builds, family-friendly environments, and high resale values. These premium locations offer excellent quality of life and strong capital appreciation potential. However, properties command higher prices and face intense competition from buyers.
Kalamaria and Panorama are particularly popular with families and expats seeking quieter residential environments, while Nea Paralia and Ladadika attract those preferring central locations with nightlife and cultural attractions.
What's the cost of living like in Thessaloniki, especially compared to other Greek or European cities?
Thessaloniki offers significantly lower living costs compared to Athens and most Western European cities, making it highly attractive for expats and retirees.
As of mid-2025, monthly living costs for a single person range from €1,200 to €1,600 including rent, while a family of four typically needs €2,800 to €3,000 monthly. These figures represent approximately 20-30% savings compared to Western European cities and meaningful savings even compared to Athens.
Housing costs vary by location, with 1-bedroom city center apartments renting for €400-€800 monthly. Grocery expenses typically range from €150-€250 per month for a single person, while dining out costs €8-€20 per meal depending on the establishment type.
Transportation is affordable with monthly public transport passes costing around €30, and the upcoming Metro system will further improve connectivity. Utilities average €80-€120 monthly for a standard apartment, while internet and mobile services are reasonably priced at €30-€50 monthly.
The combination of Mediterranean climate, vibrant food and cultural scene, good transport connectivity, and growing expat community creates exceptional quality of life value. Healthcare costs are reasonable, and many services cater to international residents.
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.
What are common mistakes people make when buying property in Thessaloniki—and how can you avoid them?
Property buyers in Thessaloniki can avoid costly errors by understanding common pitfalls and implementing proper due diligence procedures.
Working with fake or unlicensed agents represents a major risk that can lead to fraudulent transactions or legal complications. Always verify agent credentials through official channels and use only established agencies with proven track records. Request references and check online reviews before engaging any agent's services.
Superficial renovations can hide serious structural or mechanical problems that become expensive after purchase. Hire qualified surveyors for thorough property inspections, especially for older buildings. Pay attention to plumbing, electrical systems, insulation, and structural integrity rather than just cosmetic improvements.
Unregistered properties or unclear title ownership can create legal nightmares and financial losses. Have an experienced lawyer conduct comprehensive title searches and verify all property documentation before proceeding with any purchase. Ensure the seller has clear legal ownership and authority to sell.
Hidden debts, liens, or unpaid building maintenance fees can transfer to new owners unexpectedly. Legal due diligence should include verification of all outstanding obligations, utility bills, property taxes, and building management fees.
Buying in restricted zones such as archaeological sites, coastal areas, or forest lands can limit usage rights or prevent development. Verify all permits, zoning restrictions, and future development plans before purchase.
What's life like for expats in Thessaloniki—socially, culturally, and in terms of access to services?
Thessaloniki offers an vibrant and welcoming environment for expats, combining rich Greek culture with modern amenities and international connectivity.
The city hosts a large international student population and growing expat community, creating active social networks through organized events, language exchanges, and professional meetups. Facebook groups, Meetup events, and coworking spaces facilitate connections among international residents from various backgrounds and professions.
Culturally, Thessaloniki provides rich historical experiences, diverse culinary scenes, lively nightlife, and frequent festivals throughout the year. The city balances traditional Greek culture with cosmopolitan elements, making it accessible to foreigners while maintaining authentic local character. Museums, archaeological sites, waterfront promenades, and cultural events offer constant entertainment options.
Service access includes good healthcare facilities with English-speaking doctors, international schools for families with children, reliable high-speed internet infrastructure, and growing coworking spaces for remote workers. Banking, legal, and administrative services are increasingly foreigner-friendly with multilingual staff.
Challenges include occasionally slow bureaucratic processes, language barriers outside tourist and expat zones, and intense summer heat. However, most expats find these manageable compared to the overall lifestyle benefits and cost advantages.
The city's size provides urban amenities without overwhelming complexity, making it ideal for those seeking European city life at affordable prices.
If you want to rent the property out long-term, which neighborhoods are best, what kinds of tenants are typical, what do they want, how much rent can you expect, and what's the yield?
Long-term rental investments in Thessaloniki can generate solid returns when targeted to the right neighborhoods and tenant demographics.
The best neighborhoods for long-term rentals include Ano Poli, Vardaris, Toumba, and Charilaou, which attract students, young professionals, and digital nomads due to proximity to universities and vibrant cultural scenes. Kalamaria and Panorama appeal to families and established expats seeking quieter residential environments with good schools and amenities.
Typical tenants include university students (both Greek and international), young professionals working in the city center, digital nomads and remote workers, expatriate families, and Greek professionals relocating from Athens or other cities. Each demographic has specific requirements regarding location, amenities, and lease terms.
Rental rates vary by property type and location: studios command €400-€480 monthly, 1-bedroom apartments €550-€650, 2-bedroom units €700-€850, 3-bedroom properties €850-€1,050, and 4-bedroom houses or villas €1,200 or more. These rates reflect current market conditions as of June 2025.
Gross rental yields typically range from 4-7%, with higher returns possible for student housing and well-renovated units in prime locations. Properties near universities or metro stations often achieve premium rates and maintain lower vacancy periods.
Successful long-term rental properties require modern amenities, reliable internet, proximity to transport, and responsive property management to maintain high occupancy rates and tenant satisfaction.
If you want to rent it short-term (like Airbnb), what's allowed legally, where should you invest, who are the guests, what are their expectations, how much income can you generate, and what's the return?
Short-term rental investments in Thessaloniki operate under more favorable regulations compared to Athens, though proper registration and compliance are required.
Legal status for short-term rentals is generally permissive with mandatory registration through official channels. Property owners must obtain proper licenses and comply with safety and tax requirements. The regulatory environment is more stable than in Athens, where restrictions have been tightening.
Prime investment areas include Ano Poli for its historic charm and tourist appeal, the city center for business travelers and convenient access, Nea Paralia for waterfront attractions, and Ladadika for nightlife and cultural sites. These neighborhoods attract different guest types and command varying rates.
Typical guests include tourists exploring Greek history and culture, business travelers attending conferences or meetings, digital nomads seeking longer stays, university visitors and parents, and weekend travelers from nearby countries. Each group has specific expectations regarding amenities and location.
Guest expectations include clean, modern accommodations with reliable Wi-Fi, proximity to major attractions and transport, responsive host communication, local recommendations and guides, and competitive pricing compared to hotels.
Income potential shows gross yields of 7-9% with 70-80% occupancy rates in prime locations, though net yields after expenses, management, and taxes typically range from 4.5-6%. Active management is essential for maintaining high ratings and bookings.
It's something we develop in our Greece property pack.
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.
Thessaloniki's property market in 2025 represents one of Europe's most compelling real estate investment opportunities, combining affordability with strong growth potential and attractive yields.
Whether you're seeking a personal residence or investment property, the city offers diverse options across different price ranges while maintaining significantly lower costs than comparable European destinations.
Sources
- The Luxury Playbook - Thessaloniki Real Estate Market
- Indomio - Thessaloniki Property Market
- InvestRopa - Thessaloniki Real Estate Trends
- InvestRopa - Greece Buy Property Guide
- LinkedIn - Housing Trends Thessaloniki 2025
- InvestRopa - Thessaloniki Real Estate Forecasts
- Greek Property Finder - Buying vs Renting in Greece
- Black Investor 360 - Thessaloniki Investment Potential
- Bluestone Realty - Market Analysis
- Global Citizen Solutions - Buying Property in Greece
- Expatistan - Cost of Living Thessaloniki
- The Luxury Playbook - Property Buying Pitfalls Greece