Greece plans permanent low-interest mortgage program ‘Spiti Mou 3’

The Greek government is transitioning its housing support from temporary measures to a permanent mechanism through the proposed ‘Spiti Mou 3’ program. Part of a new National Housing Policy strategy currently under public consultation, this initiative aims to provide long-term support for low-to-middle-income households and young people to purchase their first homes.

Unlike previous iterations, ‘Spiti Mou 3’ will not rely on European Recovery Fund resources or fixed budgets. Instead, it proposes permanent tax credits for Greek banks that provide low-interest mortgage loans to eligible recipients, integrating these loans into standard banking procedures. This shift aims to reduce the cost of first-time homeownership without causing market distortions or dependency on emergency funding.

Concurrently, the ‘Spiti Mou 2’ program is nearing its conclusion on August 31. To date, over 15,000 loans totaling more than 1.8 billion euros have been approved, utilizing nearly 98% of its 2 billion euro budget. Data shows that most beneficiaries reported incomes up to 44,000 euros. Market research from REMAX Greece indicates a growing trend toward mid-sized properties, with apartments between 51 and 100 square meters being the most popular choices among buyers.