Greece 2026 Property Tax Reforms: ENFIA Reductions, Rental Income Tax Adjustments, and Capital Gains Tax Suspension

Starting January 1, 2026, the Greek government implements a series of property tax reforms aimed at reducing holding costs, improving rental returns, and attracting more foreign investors to the Greek real estate market. These reforms cover annual property tax (ENFIA), rental income tax, capital gains tax, and VAT on new constructions, among other areas. For overseas Chinese investors, this means lower tax burdens and higher potential investment returns. The main reforms include:\n\n- ENFIA Reductions: Primary residences in villages with fewer than 1,500 inhabitants receive a 50% reduction in ENFIA (2026), with full exemption planned for 2027; historic buildings valued up to €400,000 are exempt from ENFIA; a 20% ENFIA reduction is available for properties valued up to €500,000 if insured against fire, earthquake, and flooding.\n- Rental Income Tax Adjustment: A new intermediate tax bracket of 25% is introduced for rental income between €12,001 and €24,000, replacing the previous steep jump from 15% to 35%.\n- Capital Gains Tax Suspension: Capital gains tax on personal property sales is suspended until December 31, 2026, provided certain conditions are met regarding the number of properties sold and the sale not being a business activity.\n- Extension of VAT Exemption for New Constructions: Developers can continue to opt for a suspension of the 24% VAT on new‑builds until December 31, 2026; buyers then pay the 3.09% transfer tax instead.\n- Freeze of Objective Property Values: Objective property values used for calculating ENFIA and transfer taxes will remain unchanged until 2027, preventing sudden tax increases.\n- Real Estate Owners Registry: Starting January 2026, Greece will launch a Real Estate Owners Registry to track property, rent, and payment data in real‑time, aiming to increase transparency and combat income under‑reporting.