Greek property news

April 6, 2012

- Will other countries follow Greece Potato Movement example.



This series of articles is brought to you by Lou Traki.

Is Greece laying the groundwork for how debt ridden countries will manage in the future? Will they follow Greece’s Potato Movement example?

It’s no real surprise that the Greek people face an uncertain future with a degree of stoicism.

After all it is a Greek word, a philosophy founded on the principles espoused by Zeno of Citium and taught in Athens around 300BC.

What is surprising is that a proportion of Stoic principle is so un-Greek. Zeno taught that people should be free from passion, unmoved by joy or grief, and submit without complaint to unavoidable necessity.

Greeks free from passion? Not something I would have thought would ever catch on here. To see a Greek person holding forth on almost any subject, be it football, food, finance or family, is to behold a whirlwind of extravagant gestures, a multitude of facial expressions and a verbal bombardment of unbridled opinion.

OK, so the current economic situation could not in all conscience be declared unavoidable necessity, but it’s the Greek in the Street who is bearing the brunt of reform. One who works hard, pays his taxes and is seeing his wages cut by perhaps 30%.

With prices rising in the shops, and new taxes being introduced, ends are not only not meeting, but moving further apart.

Nonetheless, there is stoicism. More in the currently accepted definition, that there is adversity that must be met and difficulties to be overcome, and the Greeks are making a good fist of it.

I recently travelled to Larissa on the Greek mainland, in an area of large agricultural production. Potato farmers there have formed co-operatives to market their produce, bypassing the wholesalers and bringing goods to the consumers at more affordable prices. There is talk of apple producers doing the same. They are finding new ways to mitigate the impact of reform.

The shops in Larissa bustled, the cafes thronged. People just tried to get on with their lives. However, a doctor I spoke to was fearful about cuts in health services, and she was uncertain whether she could afford to continue working here, suggesting that a move to a more ‘developed’ country may be her only option.

This is a big part of the Greek tragedy. Those with desirable and transferable skills may end up leaving, and the country will be poorer if they do.

Ultimately, the Greek situation is an experimental work-in-progress. This will form the model for the next failed economy, and of course there will be more than one to come. Be it Portugal, Italy, Ireland or Spain, it can be no surprise that whatever happens in Greece is likely to be replicated elsewhere when the EU moguls come calling.

All of that means if you take your holidays in Tuscany, the Algarve, the Costas or in Wicklow, you would do well to pay attention to the Greeks, as this may be a portent of things to come.

And as for Zeno of Citium? Because he was a foreigner in Athens, being Byzantine Cretan by birth, he also gave rise to the word Xenophobia, an unreasonable fear of that which is foreign or strange. Again, from personal experience something which the Greeks as a whole cannot be accused of.

Maybe he went from Zeno to hero to zero….

Glossa is starting to wake up from winter, we’re in the middle of Lent of course but still only 2 restaurants open until at least after Easter, and the car ferry has only just started again. But on the plus side, the sun has started to shine after one of the longest and wettest winters most people can remember!

Contact Lou Traki or Angels Greek Island Homes HERE

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March 4, 2012

- Dear Mr Hague, thank you for your concern



This series of articles is brought to you by Lou Traki.

Thank you for your concern Mr William Hague, but we expats on the Greek Islands do not require evacuating from the warm, friendly and welcoming Greeks… just yet!

As I sit here on the terrace looking out over a serene Aegean sea, with barely a whisper of breeze and a watery sun peeping through the haze, listening to children playing in the street, to chickens clucking and neighbours hollering greetings to each other up and down the inclined streets of Glossa in Skopelos, I feel safe and secure in the knowledge that, should anything untoward happen, I have the might of the British Empire on permanent standby to assist me in my hour of need.

Who says so? Why, William Hague of course. Career politician, famous for addressing his party conference at an age when most teenagers were still hanging around bike sheds smoking furtive fags and leafing through well-thumbed pages of Mayfair magazine.

Hague has advised me, (not just me of course, but every ex-pat Brit and indeed holidaymaker in Greece) to advise the British Consulate in Athens of our presence, so that in the event of civil unrest in the country, we can be evacuated and repatriated. Dragged, kicking and screaming onto some Royal Navy gunboat no doubt, whilst men in camouflage gear hold back the hordes of marauding natives by threatening them with sharp sticks.

Athens and Thessaloniki have seen some demonstrations, brought about by rising prices and wages and pensions being slashed. There are 30% more homeless people on the streets of Athens than a year ago. Think of the outcry if that were to happen in London?
By June, the minimum wage for an entire month will be cut to about 600 euros, that’s about £508 GROSS at today’s exchange rate, or even using the standard model of 37.5 hours per week, £3.39 per hour.

In fact, according to the BBC News website, Greek workers work the longest hours of anyone in Europe. They work 40% more hours than the Germans. Lazy? I don’t think so.

Demonstrations are the result of frustration at the political situation, at the unreasonable demands of the EU, at the interference at the most basic level in the affairs of the economy. Last year in the UK, there were widespread riots and looting in many major cities because people were “a bit miffed” and just fancied nicking stuff. Where was the mass evacuation then?

Barely a month ago, I looked at the website of the local newspaper where I used to live in the UK. One headline grabbed my attention, and bearing in mind this is a fairly normal provincial town in the North West:

“Headless corpse found on fire in town centre had been blasted by shotgun”.

Yes indeed, in the early hours of a January morning, police were called to a burning body at the side of the main thoroughfare of the town. Fortunately, the severed head was found nearby which “would aid identification”. This was a result of so-called gangland violence.

Excuse me if I choose to take my chances here. I neither need nor want rescuing. Thank you Mr Hague, but please keep the might of Britain for rescuing and protecting your citizens from gangland violence in the U.K

For all his glib and alarmist comments, there is a serious point to be made. Greece has been, and will continue to be a popular holiday destination. The tourism industry here is one that has potential to grow and improve, and to help the Greek people out of the economic hole in which they find themselves. On top of that, whatever Hague says, the Greeks are warm, friendly, welcoming, fiercely proud yet unfailingly… well nice.

If you’re taking a holiday this year, if you’ve been before or are thinking of a first time visit, come to Greece. You’ll love it.

Contact Lou Traki or Angels Greek Island Homes HERE

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February 14, 2012

- New building regulations in Greece 2012 – UPDATE



These new building laws apply in Skopelos. Other islands may be different.

These new building regulations have been introduced into law by the Greek government in January 2012.

The new regulations are important for all Greek property owners who own land and are planning to build now or in the future. They refer to all building plots of land inside or outside the town plan.

In Skopelos and Glossa there used to be something called the “zone” which was the land between the town boundary and 500 metres outside the boundary. In the past it was possible to build in the zone on a piece of land of at least 1,000 sq metres – instead of the 4,000 outside the town plan. Then this was changed to a minimum of 2,000 sq metres.

The zone was then abolished in Skopelos Town as part of the “Natura” scheme (Sustainable Development in Greece.)

Recent changes to the law mean that inside the town boundaries you can build as follows:

New regulations for building within the settlement boundaries – Skopelos

Land up to 200 sq metres – You can build a house up to 200 sq metres provided you leave 40% of the land not built on.
Land between 200 and 400 sq metres – You can build a house up to 240 sq metres provided you leave 40% of the land not built on.
Land over 700 sq metres – You can build a house up to 400 sq metres.

New regulations for building outside the settlement boundaries – Skopelos

In the Zone, outside the boundaries in Glossa, Skopelos only - You can build up to 200 sq metres on a piece of land of at least 2,000 sq metres.

Outside the boundary of the town plan – You can build up to 240 sq metres on a piece of land of which at least 4,000 sq metres. The land must be in one piece and certified to be clear of forest land. (That is land which is not classed as forest.) You must get a certificate from the Forestry Department that at least 4,000 sq metres of your property is non-forest in order to obtain a building permit,

In an archaeological area – You must also get a certificate from the Archaeological Department. They may impose restrictions on exactly where you can build.

This last regulation is the one which has been giving rise to rumours about 4,000 becoming 10,000.

If you have a very large property – e.g: 20,000 sq metres – and you wish to divide it to sell to different people, you must split it into pieces of at least 10,000 sq metres each.

Note: These new building laws apply in Skopelos. Other islands may be different.

We advise you to contact your lawyer and Civil Engineer for conformation of the new building regulations and the minimum size of land required to build in your area before you build on your plot of land on the Greek Island that you are on.

With kind regards

Angels Greek Island Homes and Glossa Houses.

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February 13, 2012

- Skopelos – Island Life Winter 2012



This series of articles is brought to you by Lou Traki.

It is an inescapable fact that most people see the Greek islands as a summer destination. There are some that also take advantage of the Spring and Autumn – cooler than the mad heat of July and August, a delight for nature spotters with flora and fauna abounding, and quieter without the mad scramble for a prime six square feet of beach.

Few, apart from some hardy and adventurous types, see the islands as a place to go in the winter. Travel is more complicated and subject to the vagaries of the weather, as is the supply of both water and electricity. You see being an island, Skopelos is in the middle of a ‘daisy chain’ of electricity supply that comes from the mainland, via undersea cable to Skiathos, Skopelos and then on to Alonissos. An interruption to that supply, and the whole island can be without power for several hours. It pays to be prepared. Gas lanterns, candles and camping stoves are available in most supermarkets.

That said, Glossa is a magical place in winter. Ignore the fact that many restaurants close, that half the village move to the mainland and the other half hibernate indoors, as much as possible Glossa becomes a proper village again as opposed to a tourist destination.

Awaking this morning to a light dusting of snow, (yes, snow, in the Greek islands), I decided to take a walk through the village, and then beyond towards the north side of the island. The village streets, normally resonating as sounds bounce off stone surfaces, seemed dulled as the snow softened any echoes.

There were children playing, genuinely thrilled by the cold, white powder, something they perhaps only see every three or four years. The ladies, muffled against the cold carried on the basic daily rituals of visiting the bakery for bread, and carefully choosing their vegetables from the shop. The old men ensconced in the kafeneion with hot, sweet elliniko kafe, playing cards or tavli (backgammon), various tradesmen grafting in workshops with wood or iron, windows steamy with the output from the somba, or woodburning stove.

Meanwhile, in the distance the faint crack of a small-bore rifle as some of the men go hunting, and another small but edible animal bites the dust.

I loved it. Yes, Glossa is a magical place in winter. Quiet, cold, windy, but magical. However, roll on the spring and a different kind of magic.

A brief word on the Greek economy: this is a discussion often heard in the cafe’s. Yes, Greece has problems. But so do Italy, Portugal, Ireland, Spain and to no small extent the UK. It is a European and in fact worldwide issue.

The vast majority of Greeks, despite many peoples’ preconceptions, are honest, hardworking and honourable people. They have seen their salaries slashed, the pensions reduced, taxes hiked, prices in the shops increased and a perceived handover of economic control to the EU. Rioters take to the streets of Athens, and the islanders look on in equal bemusement as non-Greeks.

Contact Lou Traki or Angels Greek Island Homes HERE

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January 30, 2012

- New building regulations in Greece 2012



There are new building regulations that the Greek government are expected to be introducing into law soon.

These new regulations are important for all owners of Greek property who own land and are planning to build now or in the future. They refer to all building plots of land inside or outside the town plan.

The Greek goverment is changing the minimum size of land required to build. Anybody who owns land smaller than the new required amount will be unable to build unless they have planning permission already submitted. This means that if you have bought a piece of land legally under Greek Law that was the required minimum size of 4,000 square metres outside the town plan and are waiting to raise enough funds to build your house on it, or are keeping it for your retirement, unless you have building permission already submitted you will not be allowed to build on it.

We are still waiting conformation of the exact new minimum size required by law to build outside the settlement boundaries to be finalised on Skopelos but it is rumoured to be a minimun of 8,000 or 10,000 square metres. (Remember the need for Forest Department clearance – you will need to have 8,000 or 10,000 sq clear of forest. Many large plots e.g. 12,000 sq might be un-buildable because 3,500 could be classified as forest.)

We advise you to contact your lawyer for conformation of the new minimum size of land required to build as it may of been already introduced into law in your area.

We have been informed that this new law may be contested and when we know the outcome we will update this post as to what the new minimum size is.

Below are the new regulations for building within the settlement boundaries. This has basicaly changed from 30% of land undeveloped to 40% of land undeveloped.

New regulations for building within the settlement boundaries – Skopelos

Land up to 200 sq metres -  you can build a house up to 200 sq metres provided you leave 40% of the land not built on.
Land between 200 and 400 sq metres – you can build a house up to 240 sq metres provided you leave 40% of the land not built on.
Land over 700 sq metres – you can build a house up to 400 sq metres.

More to follow…

With kind regards
Angels Greek Island Homes

Below is a question and answer email between Dave of Cheltenham and a Civil Engineer about the new building regulations and planning permission in Greece.

Dave of Cheltenham says...
We have already started the design of our villa. We have instructed a Civil Engineer to commence the design and are due to receive a draft copy of the design this week. We have been advised that the permission prices have increased due to the compulsory kenak.

We are told that this is a new energy saving plan which includes electrical, plumbing, air-conditioning, water design plans from the mechanical engineer. The permission cost now for  a 150 m2 plus 50 m2 basement is 22.000 euro (15.500 + 6.500 taxes), without a swimming pool.

I have inserted questions we sent to our Civil Engineer, his response is in Bold

Please can you clarify a couple of points – sorry if I am repeating myself but we are feeling the pressure a bit and obviously are extremely concerned that nothing will go wrong and leave us owners of a bit of land which is way too small to build on etc…

Once you have submitted the plans (possibly within the next few days, as you suggested) does this mean that we are protecting and securing our position regardless of any pending law changes?  Yes, from what we are told from the planning department, if your plans have been submitted you are then covered regardless of any new change that may occur.

I.e. does this then mean we have permission to build a villa on our land regardless of whatever laws are passed after we have submitted the plans?

Yes

You state that the remainder of the money is payable when the plans are passed (you mention possibly in a few months). Is there any possibility that when we want to proceed to get the plans passed they may be rejected or planning consent denied? Or do you mean that at the time the plans are submitted, we are granted interim approval and the final approval is assured?

The application is to get a protocol number saying that you have registered plans to build. This is enough to cover you for any new law change. Your plans will not be rejected or planning consent withdrawn up to this stage. In order to get a protocol number you have to submit full plans to the department. Once they are lodged with this department you can make changes to the plans and re-submit the changes without having to start the whole process over again. They will not give full permission though until the final payment is made(6500 euro). You need the full permission in order to be able to build.

My partner and I both feel that once the plans are submitted, we would obviously be happier if we get final approval as soon as is practicable.  We were due to come and do all this with you in June.  Will June be too late to come and finalise the plans and proceed to final approval – or do you think we should come over sooner (preferably once the direct flights to Crete have started again)

At the moment , we are told you are ok in June. If/when the law change comes in they usually give a 6 month time limit for everybody to complete plans already lodged with them. This means we can submit basic plans and designs (the size of house is the most important at this point as you won’t be able to change it. Once submitted you can work in more detail your internal floor plans etc which means you don’t have to panic about the internal layouts now. We can submit the plans for a 150+/- m2 house now and then over the next few months you can work it through a little better. Plans for a swimming pool can be submitted later at additional cost.

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Buying property in Greece – Legal Guide

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January 18, 2012

- How the Greek Bailout Package works



Wisdom from a viral joke email sent to me. I did not write it and do not claim any originality.

It is a slow day in a little Greek Village. The rain is beating down and the streets are deserted. Times are tough, everybody is in debt, and everybody lives on credit.

On this particular day a rich German tourist is driving through the village, stops at the local hotel and lays a 100 Euro note on the desk, telling the hotel owner he wants to inspect the rooms upstairs in order to pick one to spend the night. The owner gives him some keys and, as soon as the visitor has walked upstairs, the hotelier grabs the 100 Euro note and runs next door to pay his debt to the butcher.

The butcher takes the 100 Euro note and runs down the street to repay his debt to the pig farmer. The pig farmer takes the 100 Euro note and heads off to pay his bill at the supplier of feed and fuel.

The guy at the Farmers’ Co-op takes the 100 Euro note and runs to pay his drinks bill at the taverna. The publican slips the money along to the local prostitute drinking at the bar, who has also been facing hard times and has had to offer him “services” on credit.

The hooker then rushes to the hotel and pays off her room bill to the hotel owner with the 100 Euro note. The hotel proprietor then places the 100 Euro note back on the counter so the rich traveller will not suspect anything.

At that moment, the traveller comes down the stairs, picks up the 100 Euro note, states that the rooms are not satisfactory, pockets the money, and leaves town.

No one produced anything. No one earned anything. However, the whole village is now out of debt and looking to the future with a lot more optimism.

This is how the “Greek Bailout Package works”!

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For information about buying and building property in Greece
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Legal guide for buying property in Greece
Buying property in Greece – Legal Guide

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