Athens vs. Greek Islands: Where Should You Invest in 2025?

Greece remains one of Europe’s most attractive real estate markets in 2025. Investors are often faced with a crucial decision: Should I invest in the capital city of Athens, or buy a property on the Greek islands? Both options have unique advantages, risks, and returns.

REAL ESTATE INVESTMENTBUYING PROPERTY IN GREECE

Christos Boubalos

9/17/2025

Investing in Athens: Urban Stability and Growth

Rental Demand: Year-round demand from professionals, families, and students ensures stable occupancy.
Yields: Gross rental yields average 4%–6%, especially in areas near metro stations and business districts.
Capital Appreciation: Prices in Athens have been rising steadily, around 4%–6% annually.
Infrastructure: Ongoing projects such as metro extensions and the redevelopment of Elliniko are boosting property values.
Best Areas: Marousi, Chalandri, Kifisia (North); Glyfada, Voula, Elliniko (South); central areas like Kolonaki and Pangrati for Airbnb.

Investing in the Greek Islands: Lifestyle and Tourism

Tourism-Driven Demand: Short-term rentals generate high returns during peak season, especially in Santorini, Mykonos, and Crete.
Yields: Potentially 6%–8% gross, but strongly seasonal (April–October).
Lifestyle Appeal: Villas and holiday homes attract wealthy foreign buyers looking for second homes.
Capital Appreciation: High-end island properties often maintain or increase value due to limited supply.
Risks: Dependence on tourism, higher management costs, and stricter regulations on short-term rentals in some regions.

Key Factors to Consider

Seasonality: Athens = steady income; Islands = higher peak-season profits but longer off-season vacancies.
Management: Urban apartments are easier to manage, while island villas often require full property management services.
Budget: Entry-level apartments in Athens start around €200,000–€300,000, while luxury island villas can exceed €1M.
Golden Visa: Both Athens and island properties qualify, but demand is stronger in major urban and coastal areas.

✅ Conclusion

Choose Athens if you want stable, year-round rental income and long-term appreciation.
Choose the Greek Islands if you prefer seasonal high-yield tourism investments and lifestyle-driven properties.
Many investors balance their portfolio with one property in Athens and one on the islands, diversifying both income streams and risk.

📞 Looking to Invest in Athens or the Greek Islands?

At POLI Real Estate, we specialize in guiding investors through the Greek property market — from urban apartments to luxury island villas.

👉 today to find the investment that matches your goals.