Significant increase in the volume of construction activity mainly due to demand from abroad -

Significant increase in the volume of construction activity mainly due to demand from abroad

The increase in demand from abroad for the acquisition of a country house in Greece and in places such as southern Crete, Western Greece and the Ionian Islands, has the result of a vertical strengthening of the rate of private building activity in the above areas.In fact, the increase is several times that of Attica, in a clear indication that housing development has accelerated in areas of high demand for holiday homes.According to the latest available data from the Hellenic Statistical Authority (ELSTAT), processed by Elxis-At Home in Greece (, during the last 12 months, an increase in the volume of construction activity up to 58 .2%.This performance is found in the Ionian Islands, where there was also an increase in the number of building permits by 31.3%, while the increase based on surface area amounts to 50.2%. These percentages concern the annual comparison of the last 12 months (March 2023-February 2024), with the immediately preceding 12 months, i.e. the period from March 2022 to February 2023.

Significant increase in the volume of construction activity

During the same period, the increase in the volume of construction activity in Crete reaches 37.4% and in Western Greece 38.1%. This year’s first two months of the year is developing even more dynamically, as the volume of construction activity in the Ionian Islands has increased by 157.4% annually, in Crete by 73.8% and in Western Greece by 21.4%. On the opposite side, in Attica, a 3.4% decrease in volume was observed.

Both Crete and Western Greece are areas where Elxis, a specialist company in the market of holiday homes based in the Netherlands, detects significant buying interest, which is even higher this year than last year. Areas on the southern side of Crete, overlooking the Libyan Sea, but also the mainland of Western Greece, from Preveza to Igoumenitsa and further south to Palairos and Mytikas of Aitoloakarnania, i.e. the entire part of the mainland that “gets wet” » from the Ionian Sea, are “hotspots” of demand for holiday homes from foreigners.

As noted by Mr. Giorgos Gavrielidis, managing director of Elxis, “we see that there is an intensification of investments for the start of new buildings, in order to satisfy this demand from abroad. In fact, especially this year, our customers, who mainly come from the markets of north-west Europe, prefer holiday homes that are more expensive and of higher quality standards, compared to previous years. This is now also reflected in the sales prices, which show an annual increase of between 8% and 10%”.

Now, this is also reflected in the price indices of the Bank of Greece (BoG). During this year’s first quarter, the increase in prices in the regions of the region with tourist activity, amounted to 12.1% annually, compared to an increase of 10.3% in the other large cities and 9.4% in Attica. It is the first occasion in which this happens, i.e. the rise in prices is higher in the region, compared to Attica.

In addition to the higher sale prices, another reason that acts as an incentive for many builders is the preference of more and more buyers to acquire a holiday home “off the plans”, which is also a trend that Elxis has identified in the holiday home market in recent years. Given that it is easy to secure a complete pre-sale of a holiday home complex, many builders are increasingly turning to the development of this type of home. This development is expected to continue in the coming months.