Having an olive grove in Greece connects you to one of the oldest agricultural customs in the world, not only about making your own oil.
With more than 170 million olive trees, olive oil permeates Greek culture, food, and industry. An olive grove can present a profitable living as well as an investment possibility whether your ideal retirement is active or a holiday house with a purpose or a full-time relocation to the Greek countryside. But where ought you to make purchases? With elements like temperature, soil quality and accessibility playing a major influence, certain areas are more suited for olive growing than others.
You have come to the correct location if living the Mediterranean dream involves owning an olive grove. As we expose the greatest locations to purchase Greek property with an olive grove, keep reading.
Peloponnese
If you really want to produce olives, the Peloponnese area is a great choice as it significantly influences the olive oil output of Greece. The region gains from a warm Mediterranean temperature with lots of sunlight and winter precipitation, which is perfect for olive tree growth.
South-oriented Kalamata is well-known for producing olive, especially the globally known Kalamata olive. Here, properties may have existing groves and lots of local knowledge to help you in cultivation.
Surrounding Kalamata, the Messinia area has rich ground, sea vistas, and convenient coastal access. Laconia, farther east, is another good site well-known for producing excellent extra virgin olive oil. Often including hectares of olive trees, rural residences here might be less expensive than those in big cities.
Crete
Some of the most sought-after olive oil in Greece comes from Crete, the biggest island there is. The olive orchards on the island span large swaths, and the business is firmly anchored in local life. Thanks to the island’s unusual temperature and soil conditions, Cretan extra virgin olive oil is famous for its low acidity and great flavour.
For individuals who want to grow olive trees, the western Crete areas of Chania and Rethymno have great prospects. Many properties have already-existing groves, and the ground is ideal for olive farming. Particularly near Sitia, which has a protected designation of origin (PDO) for its olive oil, the eastern section, Lassithi, also features productive olive-growing areas.
Corfu
Corfu is the spot you should look for an olive grove with background. About four million olive trees abound on the island, many of which date centuries.
Corfu’s towering, well planted olive trees create distinctive, evocative scenes unlike the smaller, busher olive trees found elsewhere in Greece. Olive farming finds especially good conditions in Corfu’s centre and northern areas. Here, properties can have existing trees and a rich local history of small-scale olive oil manufacture.
Higher humidity and milder winters define the Ionian climate, which promotes good tree development and facilitates the maintenance of a grove with least intervention. Another Ionian island, Zante is a great option if you want to strike a mix between olive growing and a laid-back island way of life.
The olive trees of the island are well-known for its premium oil; many houses have already-existing plantations. Olive growing is best in the island’s middle and southern sections, especially in Laganas and Maherado. Family-run olive oil mills giving insight into the manufacturing process have been pressing olives for decades.
Lefkada
Though it’s a great option for individuals looking for an olive grove in a more subdued location, lefkada is sometimes disregarded in favour of its more well-known neighbours. The island’s rugged topography and coastal plains provide varied growth conditions; its olive oil is well-known for its purity and rich taste.
Olive farming finds perfect circumstances in the southern Vasiliki and Sivota sections of the island. Olive producers have a strong feeling of community here, and properties here sometimes are more reasonably priced than on other of the more well-known Greek islands.
Navigating the Greek property market as a foreign buyer involves understanding a complex web of legal and financial considerations, particularly concerning the various taxes involved. While Greece presents alluring opportunities with its stunning landscapes and rich history, prospective buyers must proceed with diligence and informed awareness.
The initial hurdle for any foreign individual looking to purchase property in Greece is to obtain a Greek Tax Identification Number (AFM). This number is essential for all financial transactions within the country, including property purchases. It’s a fundamental step that precedes any formal property acquisition. Following this, it is highly recommended to engage the services of a qualified Greek lawyer. This legal professional will conduct thorough due diligence, ensuring that the property’s title is clear, and that there are no outstanding debts or legal encumbrances.
One of the primary taxes associated with property purchase in Greece is the Real Estate Transfer Tax. This tax is applied to the property’s taxable value, and the standard rate is 3.09%. It’s crucial to understand that the taxable value may differ from the actual purchase price, as Greek tax authorities often utilize an “objective value” system. This system calculates a property’s worth based on various factors, including its location, size, and age. If the objective value is higher than the purchase price, the transfer tax will be calculated based on the objective value.
In addition to the transfer tax, buyers may encounter Value Added Tax (VAT).
This tax typically applies to newly constructed properties where a building permit was issued after January 1, 2006. The current VAT rate is 24%. However, it is important to note, that there are changes to this tax, and that it is always wise to seek up to date professional tax advice.
Once a property is acquired, owners are subject to ongoing taxes, most notably the Unified Tax on the Ownership of Real Estate (ENFIA). This annual tax is levied on all property owners in Greece, regardless of residency status. The ENFIA calculation is complex, considering factors such as the property’s size, location, and age. Furthermore, a secondary tax may apply to individuals whose total property value exceeds a certain threshold.
Another recurring tax is the Municipal Tax (TAP), which is typically included in electricity bills. This tax, ranging from 0.025% to 0.035% of the property’s objective value, contributes to municipal services. Furthermore, if a property is rented out, the rental income is subject to income tax, with rates varying depending on the income bracket.
For those considering selling a property, Capital Gains Tax may come into play. If a property is sold within five years of purchase, any profit generated is subject to a 15% tax. However, if the property is held for more than five years, the capital gains are typically exempt from taxation.
It is absolutely vital, that anyone considering purchasing property in Greece, seeks professional legal and financial advice. The Greek tax system can be complex, and changes to regulations do occur. A qualified legal professional, and financial advisor, can ensure that any potential buyer is fully informed, and that all transactions are carried out correctly.
