It has a rich history dating back 4,000 years, beautiful beaches, pure water from the Mediterranean, the birthplace of the nutritious Mediterranean Diet, and sunshine 300 days a year. Crete is the biggest of the Greek islands and is somewhat larger than Delaware.
Chania (also spelled “Hania”), Rethymo, Heraklion (sometimes spelled “Iraklio”), and Lasithi are the four “regional units” that make up the island of Crete.
esalesinternational will be in Chania for the next two weeks, focusing on the city of Chania this week and the Akrotiri Peninsula the next.
Crete is intriguing for more than only its sun, sea, history, and cuisine; there are two aspects of life abroad that make it stand out: There is a low cost of living and an abundance of
Cost-effective residency options in Europe.
Crete boasts all the amenities of Western culture, including fast internet, excellent bus service, two international airports, a cruise ship port, and a plethora of stores to pick from. Island life is slower and more relaxed than mainland life, which is great. But, there are no superhighways or enormous, out-of-town shopping complexes to be found.
Greece, and by extension Crete, provides non-European citizens the opportunity to buy property and, in return, qualify for a permanent residency visa, granting visa-free access to the entire Schengen Area. This is especially important for readers of Overseas Property Alert who are interested in European residency. Most, but not all, European Union member states are part of the Schengen Area. Bulgaria, Croatia, Cyprus, Ireland, Romania, and the United Kingdom are not included despite being E.U. member states. Iceland, Norway, Switzerland, and Liechtenstein are not members of the European Union, but they are nonetheless part of the Schengen Area.
All properties must be worth at least 250,000 euros in order to qualify for investment. You, your spouse, and any children you may have can call the property you’re buying home (children up to 21 years old). When the necessary paperwork is finalized, you can rent out your property without ever having to set foot on Crete again. All travel privileges within the Schengen Area are included in the visa’s scope of validity. Working in Greece is prohibited, but that’s about it.
If the idea of living part time in your rental and renting it out the other half of the year appeals to you, you should know that due to Crete’s high demand from tourists, a well-maintained rental may expect a high occupancy rate from April through October. According to Ktimatoemporiki Crete, a real estate brokerage, rental properties can provide a return of 8-10% annually for buy-to-let investors.
Cost-Effective Housing
I would say that a frugal couple could rent in the center of Chania for under 800 euros per month. As an alternative, a very good quality of living may be maintained with a monthly income of 2,000 euros.
The cost of dining out, a common component of living on Crete. For 2.50 euros, I enjoyed a cup of coffee at the sailing school, which is located in a Venetian arsenali with views of the Old Port (the most expensive section of Chania). My dinner companion had pork souvlaki, a meat kebab with roasted veggies, while I dined on ntakos, a local dish of crusty barley rusk topped with tomatoes, olive oil, and crumbled mizithra cheese, and tzatziki. We also split a giant Greek salad. Two people can enjoy a bottle of the outstanding local wine of Chania for just 22 euros. It would have been less removed from typical sightseeing routes.
New Town vs. Old Town
Despite sharing a name, the Old Town and New Town (Nea Chora) of Chania couldn’t be more different from one another. The Old Town is an intricate labyrinth of alleys and walkways, with some buildings’ foundations dating all the way back to the Minoans. Properties in Old Town are solid, thick-walled, built closely together (so sometimes dark inside), without parking (in most cases), and surrounded by extraordinary history; however, they are also smack in the middle of tourist territory, with all the advantages (many bars and restaurants to choose from) and drawbacks (lots of foot traffic) (noise and ever-changing neighbors).
To Cretan standards, the homes in New Town are cutting edge. Most were probably constructed between the 1980s and the middle of the 2000s. Each home probably has its own yard or patio, and there is ample space for parking (both off and on the street).
Chania Town’s only sandy beach is located here, and it is bordered by some of the best fish restaurants in town (the town’s fishermen bring their day’s catch right up to the roadside in front of the restaurants). However, it is much quieter than the Old Town because few tourists visit (at least the day trippers don’t), and for these reasons it is often overlooked.
The city center is approximately five minutes away from the Venetian waterfront and the heart of the Old Town by a picturesque, coastal road that passes the only public, open-air swimming pool in town.
If you’re interested in Crete’s past, though, you might be disappointed by New Town’s lack of charm.
I noticed certain properties (listed below) that are being sold for amounts that fall short of the visa criteria. Even still, most of them are in in need of some sort of refurbishment, modernization, or update. The cost of the property, plus any renovations, should be at least 250,000 euros to qualify for a visa for many countries.
Professional fees are typically between 9 and 10 percent of the entire purchase price and might be added to the investment total. All the homes are available through the English-speaking real estate agents Elizabeth Estate Agency and Ktimatoemporiki Crete.
Residential and Commercial Real Estate in Old Chania
I discovered a three-story, 120-square-meter (1,290-square-foot) stone property with large frontages on two peaceful streets, tucked away in a cul-de-sac, in the Old Town, close behind the port. There’s a roof deck, a working fireplace, and the original wooden staircase. It’s up for sale for 120,000 Euros, but only once a full refurbishment and modernisation have been completed.
In most cases, central air conditioning and heating will need to be installed during a remodel. (While the winters are said to be “mild,” it can be quite chilly inside due to the thick stone walls, thus heating is a need).
A two-story, 61.5 square meter (662 square foot) stone town house, located just outside the Old Town walls and adjacent to the Agora municipal market, is in need of a comprehensive refurbishment. It features a balcony, an old fireplace, and plumbing and electricity. The asking price of 45,000 EUR applies to this home.
I located a villa in Old Town that needs some TLC, but not a whole rebuild because it was last restored in the 1990s, if the notion of owning a property with an apartment that is both yours and rentable appeals to you. It has three stories; the first two are studio apartments (25 and 30 square meters) and the third is the main level with a living room, kitchen, bathroom, one bedroom, and a roof terrace (63 square meters). With a price tag of €140,000 (recently reduced from 200,000 euros).
You’ll need to spend at least 250,000 EUR to buy a property without having to worry about repairs or rent. I discovered a beautifully renovated Venetian villa in the heart of the historic district, complete with a living room, bedroom, shower room, and kitchen on the ground floor, and a large bedroom, bathroom, and balcony on the second floor. The villa spans 130 square meters (1,399 square feet). There’s a rooftop deck accessible via a perilous ladder. Priced at €350,000 on the market.
I came across a five-bedroom, two-bathroom villa posted for 199,000 Euros; it is in move-in condition but might use some updating and cosmetic work (especially in the kitchen, bathrooms, and garden). In contrast to many other residences in Old Town, this one features bright rooms with stunning vistas of the bay and the mountains, as well as its own well.
Finally, for 415,000 Euros, you may purchase two properties in the center of the Old Town, each with its own storage area, terrace, chapel, and little planted garden. Originally constructed as a single dwelling in 1900, the current property’s 180 square meters have since been split into two detached villas, each with two bedrooms and full central heating and air conditioning, completed in 2008. This kind of property is worth 250,000 Euros and can serve dual purposes as a primary residence and a vacation rental. Located in the heart of the historic district, this two-story Venetian villa measures 130 square meters (1,399 square feet) and features a living room, bedroom, shower room, and kitchen on the ground floor, and a large bedroom, bathroom, and balcony on the second floor. There is a roof deck accessible by a very steep ladder. Priced at €350,000 on the market.
I came across a five-bedroom, two-bathroom villa posted for 199,000 Euros; it is in move-in condition but might use some updating and cosmetic work (especially in the kitchen, bathrooms, and garden). In contrast to many other residences in Old Town, this one features bright rooms with stunning vistas of the bay and the mountains, as well as its own well.
Finally, for 415,000 Euros, you may purchase two properties in the center of the Old Town, each with its own storage area, terrace, chapel, and little planted garden. Originally constructed as a single dwelling in 1900, the current property’s 180 square meters have since been split into two detached villas, each with two bedrooms and full central heating and air conditioning, completed in 2008. This kind of property is ideal for both permanent living and short-term rental.
Residential and Commercial Real Estate in New Chania
New Town, where I have rented a three-bedroom, one-bathroom home situated 300 meters (980 feet) from the beautiful Nea Chora beach. This 1980s home features a yard and a balcony and measures a total of 118 square meters (1,270 square feet). Selling for 125,000 EUR, it is in need of updating and maintenance.
I located a two-bedroom, one-bathroom apartment on the first level of a 2002 building with only seven other apartments, perfect for those who want to be able to just pack up and leave. The apartment has a sea view, balconies (one for each bedroom and one off the living room), built-in appliances, a breakfast bar made of wood, and a garage with a parking spot and a storage space below ground. It’s warm inside, yet there’s no AC. The asking price is 220,000 EUR.
The 152 square meter villa I visited in a peaceful part of New Town was neat, tidy, and reasonably modern (1989), and it offered the opportunity to earn some rental income or provide space for visiting friends and relatives to stay.
There are three bedrooms and two bathrooms in the main house, as well as a lovely garden with a bar, summer kitchen, and barbeque. Terraces look out over the garden, there are appliances in the kitchen, and the house is both heated and air conditioned. The guest house, complete with a single bed and bathroom, is located behind the main home. At 350,000 Euros, it is completely move-in ready (albeit the kitchen and bathrooms could use an upgrade, depending on personal preference).
That sums up, in a nutshell, the opportunity to gain European residency on a Mediterranean island. The Akrotiri Peninsula is a hotspot for tourists and homebuyers, and I’ll be reviewing some properties there next week.
