Greece: house prices set for a decline of some 15 pct

Prices in the residential property market are expected to fall by 15 percent this year, while the decline could prove even greater if the country’s financial situation worsens. Based on the level of transactions carried out in the market in 2011 (defined as one of the worst years for the sector) the prices of old and new properties suffered a decrease of about 20 to 30 percent, market experts say.

According to Lefteris Potamianos, owner of the Search And Find agency, as well as treasurer of the Attica and Athens real estate agents association, the price drop concerns transactions carried out through real estate agents’ and buyers’ negotiations.

"While the asking prices were about 10 to 15 percent lower compared to previous years, the end prices were often lowered by another 10 percent following negotiation," noted Potamianos. Nevertheless, according to the real estate agency owner, the most important decline was recorded in relation to older properties, where in a number of cases the financial needs of those selling was the driving force behind the transaction. 

Source: Ekathimerini.com