piraeus bank group

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Construction, Real Estate & House Prices

According to our macroeconomic approach for constructions and real estate sectors, we resulted in the following basic conclusions:

  • The Greek economy is capable of attracting more Foreign Investment in both construction and real estate, especially if the privatization plans are implemented successfully
  • Greek construction firms have managed to expand their operations abroad, with further room to grow
  • Since 2010 house prices have INCREASED relative to households’ after-tax income
  • Rents have also, by and large, failed to decline in step with the decline in households’ income
  • The modest decline in mortgage rates has been more than counterbalanced by the decline in income, making mortgage loan servicing more onerous during the crisis