A particularly striking feature of the current real estate landscape is the sharp disparity between the prices of luxury and typical residences, with the gap reaching up to 5.8 times in Santorini. The market for holiday homes is evolving within a context of significant volatility, shaped by mounting pressures from over-tourism, environmental stress, and international uncertainty.
Luxury Homes: A High-Specification Segment
The luxury property market represents a small but highly active share (5–15%) of total housing transactions. These homes, distinguished by their unique architectural design, prime locations, and premium amenities, primarily attract foreign buyers with high-income profiles.
As of 2025, average asking prices in key destinations are as follows:
- Mykonos: €16,000/sq.m
- Santorini: €13,292/sq.m
- Paros: €9,499/sq.m
- Kea: €6,216/sq.m
- Serifos: €3,827/sq.m
Maximum prices in top-tier locations such as Mykonos have reached up to €25,000/sq.m.
Luxury homes also offer substantial living space, with average sizes of around 240 sq.m in Mykonos, Paros, and Kea. The majority of these properties are newly built, with an average age of just 7 years, indicating ongoing growth and investment in this segment.
Typical Holiday Homes: Resilient but Constrained
In contrast, the market for standard summer homes remains relatively stable, with modest increases in asking prices. In 2025, the average annual price growth across the islands stands at 3.8%, with Santorini recording the highest rise at 4.0%. Median asking prices for typical residences are currently:
- Mykonos: €2,854/sq.m
- Paros: €2,275/sq.m
- Santorini: €2,286/sq.m
- Kea: €2,118/sq.m
- Serifos: €1,595/sq.m
These figures represent the highest levels seen over the past decade.
However, typical homes face several structural challenges. Most are over 20 years old and offer smaller living areas, typically between 80 and 140 sq.m. A lack of access to mortgage financing, rising tax burdens, and declining disposable income have made second-home ownership increasingly inaccessible for the average Greek household.
Price Outlook: Continued Growth Expected
Despite rising costs for materials, energy, and labor—as well as difficulties in sourcing skilled construction crews—the market continues to grow. This resilience is largely driven by foreign buyers with strong purchasing power.
Prices are expected to maintain their upward trajectory, although the rate of growth may moderate over the next 12 months, provided no major geopolitical disruptions occur.
