New figures released by the Bank of Greece reveal that property prices in the cash-strapped country are still falling at an alarming rate.
By the end of the second quarter of 2013, average property prices across Greece were 11.6 per cent down on what they were at the same time last year, with prices in the major cities falling quicker than those in rural areas. The biggest price falls were recorded in the country’s capital, Athens, where house values fell by 12.7 per cent.
The Bank also found that prices of older properties are falling by more than newer ones – a reverse of the trend recorded in the country’s property market last year.
By the end of 2012, property prices in Greece were approximately 30 per cent lower that they were at the start of the financial crisis in 2009.
Greece has been one of the worst affected countries in the Eurozone by the global financial crisis. The country’s unemployment rate has more than tripled since the onset of the crisis and currently stands at 26.9 per cent – forecasters predict it will reach 28 per cent before it starts to improve– and the country has already being subject to two EU bailouts and rescue packages, while a set of austerity measures remain in place.
However, in spite of all this – or perhaps because of it – some experts suggest that overseas investors are becoming more interested in Greek properties, looking to purchase while prices are low with the possibility of selling for profit if and when the country emerges from its financial malaise.