For generations in Greece, owning a home was viewed as the norm and an essential milestone. Whether a small flat or a detached house, property ownership was taken for granted. That model is now gradually shifting, with Thessaloniki mirroring a broader national move away from near-universal home ownership towards an expanding rental market.
At the start of the economic crisis, owner occupation in Athens and Thessaloniki stood at around 85%, with renters accounting for just 15%. Today, after years of financial strain for thousands of households, the rate of home ownership in the two major urban centres has fallen by roughly 20%. At the same time, renters now account for roughly 35%, exceeding the European average of 28%.
In Thessaloniki, northern Greece's largest city, the shift is particularly visible among younger residents. Rising property prices, high borrowing costs, limited access to housing credit and job insecurity have made buying increasingly unattainable. For many young workers and couples, renting has shifted from a temporary stopgap to a long-term reality.
"From a country of owners, we ended up a country of tenants," said Lefteris Potamianos, president of the Panhellenic Federation of civil contract broker associations, speaking to Voria.gr. He stressed that the shift towards renting is not driven by population growth, but by a shortage of available, affordable homes.
The growing demand for rental properties has intensified competition, pushing rents higher and narrowing options. With home ownership now around 65%, Potamianos argued that, in theory, thousands of properties should have entered the market, yet this has not happened. Some were sold through the golden visa scheme, others shifted to short-term rentals, while many are held by investment funds and remain unused "at a time when we are experiencing a housing crisis".
Echoing the paradox, Kostas Georgakos, CEO and co-founder of Georgakos and Parthenon Real Estate, noted: "While the population is decreasing, we do not have enough homes."
Young couples in Thessaloniki typically seek 50-60 sq m flats priced between 400 and 600 euros. At the same time, families look for 75 to 90 sq m homes averaging 500 to 700 euros, with higher rents common depending on location and amenities.
By Lina Tsireka - adapted from Greek by Vassia Barba
