The Greek real estate market is in a phase of transition, with a new practice constantly gaining ground: the sale of freehold property while maintaining usufruct. Speaking to Tornos News, lawyer Evropia Synodinou emphasizes that “older people want to stay in their homes, while younger people are looking for a more affordable path to home ownership.” A trend that, as she notes, combines liquidity for the owner and investment prospects for the buyer, reflecting modern socio-economic needs.
The sale of freehold property, i.e. the transfer of “bare” ownership while maintaining the right of usufruct by the seller, has become one of the most discussed phenomena of the last two years. While in the past it was mainly limited to family transfers, today it is increasingly applied to private transactions, especially in large urban centers.
The process is fully institutionalized and takes place before a notary, with mandatory registration in the Land Registry. The buyer pays transfer tax only on the value of the small ownership, which is determined based on the age of the usufructuary, while the latter remains responsible for the use and maintenance of the property.
In practice, this solution responds to two different but complementary needs: the search for liquidity by elderly owners and the difficulty of younger people to acquire a home due to high prices and limited financing options. For many, small ownership now acts as a gateway to the real estate market without excessive financial burden.
Ms. Synodinou, in her interview with Tornos News, points out that this change is not only economic, but also social: “The Greek real estate market is entering a new phase, where the sale of small ownership while maintaining the usufruct is gaining increasing momentum. This practice, which combines liquidity for the owner and an investment perspective for the buyer, reflects the social and economic needs of the time.”
At the same time, she emphasizes the need for information and guidance, as this is a long-term and complex agreement: “Although the market remains small, its upward trend is evident. Despite the advantages, the sale of small ownership requires proper legal and tax guidance, so that it functions as a tool of security and not uncertainty.”
The spread of this practice creates new data for the Greek real estate market. Lawyers and notaries are calling for a clearer framework for informing sellers, in order to ensure a full understanding of the terms and consequences. Correct information and transparency are deemed necessary in order for the institution to develop into a stable tool for balancing liquidity and property protection.
As interest in the sale of small property intensifies, it is clear that Greece is entering a new era of real estate, where solutions are adapted to the needs of citizens and not the other way around.
