Frequently Asked Questions
Show All Answers | Hide All Answers Am I permitted to purchase property on Corfu? Any European Union citizen is permitted to purchase property on Corfu. For Non-EU citizens there are alternatives. One is for you to form either a Greek or an EU registered company in whose name the property becomes registered. The second option is for you to apply to the Greek Ministry of Defence for permission to own property.~ What legalities are involved in the purchase a property on Corfu? Buying a house, apartment or land on Corfu is subject to similar legalities to those in most other EU countries. It will be necessary to appoint a Greek lawyer, who will conduct the relevant searches for ownership, and ensure that there are no mortgages outstanding, or legal issues attached to the property. We can of course recommend several reputable Greek lawyers, who we have worked with in the past. Your lawyer would be responsible for the appointment of a notary public who prepares the necessary Final Contract in conjunction with him/her. Once the sale has been completed, it is the Notary who registers it with the Land Registry, and retains a copy of the Final Contract. The Notary, will also give you certified copies. You are required to obtain a Greek tax number prior to the final contract being signed. And in order to open Greek bank account. Will I be required to make a deposit on the property i wish to purchase on Corfu? In some cases it will be neccsarry to make a deposit and sign a pre-contract in order to secure the property, this essentially commits the vendor to sell you the property at an agreed price, and shows your commitment to move forward with the purchase.Should you decide for any reason not to continue with your purchase after this stage, you will forfit this deposit. What expenses will I incur when purchasing property on Corfu? We recommend that you budget for approximately 15% on top of any purchase price when considering property on Corfu, this will include (1) Stamp Duty (2) Lawyers fee(3) Notary fee(4) Agents fee. The day before signature the Transfer tax becomes payable to the Greek government. Please note this Transfer Tax stamp duty is NOT calculated on the actual purchase price, but on the value of the property as assessed by the Greek Tax Office (this is often a lesser amount). Transfer Tax 7.21% of the first 14.700 Euros and 9.27% of the remainder (based on the Greek Tax Office valuation). Notary Public fees: These are between 2.2% and 2.5% of the tax assessed value, depending on the value of the transaction (including subsequent registration fees). Your Lawyers fees, these are between 1.5% and 2.5% of the sale price depending on the value of the transaction. Agents fee 2.5% of final sale price. In cases where a mortgage is required, or finances will need to be released, and the time period between the pre-contract, and full contract is longer then two months, we will require 50% of the agents fee from the buyer at the pre-contract signing, with the remaining 50% due at the completion of the full contract. Should the client not be in a position to complete the full contract, the deposit will be deemed non-refundable. If however the reasons for non completion are due to legal issues with the property, such as title deeds or bounderies not being as originaly stated, the original deposit will be refunded in full.~The agents fee of 2.5% is applicable to all transactions, including Property purchase, Land purchase, Lease agreements, And business purchases. Will I be required to pay any taxes in Greece? There are no annual property taxes in Greece. However, as a property owner on Corfu you would need to complete an annual tax return. Provided you have proof that the purchase was made with funds coming in from abroad, you are not employed or otherwise receiving an income in Greece, you will not be liable to pay tax. How do I make an annual Greek tax return? We can of course put you in touch with a Greek accountant who will assist in all matters relating to property tax here on Corfu if required. Is there a Council Tax system in Greece? There is no council tax here on Corfu. There are small charges for community services which include such things as rubbish collection and street lighting. These are added onto to your quarterly water bill. What can I do to help the environment? There is a lot you can do to make your home and your life more eco friendly.Try to limit your purchases of Plastic, take a shopping bag to the supermarket or re-use the ones you have, look for recyclable glass jars and bottles or cardboard containers. When empty, take plastic bottles etc to a recycling bin (there are several blue ones all across Corfu Island) A word of warning about some, so called recycling companies, a few are actually salvage yards who accept all your unwanted items and resell them at a large profit, usually with nothing going to you, or in any way to help the environment, its a scam , they dont recycle household rubbish, only things they can sell and reports of dumping at sea are on the increase so check first before you visit them.Save all paper, get a shredder that turns paper into logs (see links) use both sides of the page, re-use paper bags, place old newspaper under your mattress, under the carpet, in the loft, crumpled up between stud partition walls, for insulation and extra warmth. Twist into coils and use as firelighters instead of toxic bought ones. Use wet paper as mulch around your plants or let the children use it with flour paste to make papier mache gifts (always special) Dont flush too much, half the water in your cistern by placing a brick inside, use natural cleaners or white vinegar to keep your toilet clean and safe, dont use the washing machine for small amounts, wash by hand and hang in the open air to dry, the sun will cleanse away stains beautifully and they will feel and smell lovely, and you wont need to iron.(hang darks in the shade) Fix that darned drip, only water your garden when it really needs it and do it in the evenings when the soil will soak it up properly ( use the paper mulch to conserve moisture)and think seriously about ways to collect rain water for your household uses (see links) use a watering can for pots and containers to avoid wasting precious water, consider paving stones instead of a large lawn that will always need lots of watering, and for what?, most people dont even use their lawns very much, the days of being proud of an immaculate lawn just to look at are in the past, the back breaking mowing and waste of water simply doesnt justify it.Turn off the lights (Including ECO friendly ones) only use lights you need for safety, and minimize those garden lights, unless you are having a party, are an invalid, or you live at the edge of a steep cliff you just dont need them all. Switch off plugs to CD players, TV, Video and modems, now considered to be so energy consuming that environment ministers all over Europe and the USA are calling for them to be banned.Dont barbeque everything, all the time, we know it tastes good and its traditional Mediterranean practice, but the carbon fumes, (Dioxins) are a group of chemicals known to increase the likelihood of cancer. A study by the French environmental campaigning group Robin des Bois found that a typical two-hour barbecue can release the same level of dioxins as up to 220,000 cigarettes.Look for eco friendly household products, they are better for the planet and for us, the residue from chemical washing up liquids is poisonous and creates allergies, dilute them, most are highly concentrated and we all use far more than is necessary. Use white vinegar to clean sinks and surfaces and glass, the smell evaporates quickly, and mosquitoes and flies hate it. Use non chemical fly spray or even the sticky strips and a jar of sugar liquid to catch them, the sprays are extremely harmful and can cause cancer.Dont throw away unwanted furniture and electrical items, donate it to Animal Rescue or charity shop. Try not to buy wooden items from Indonesia, Africa, Malaysia, and Brazil unless you can be assured that they have come from Eco Friendly FSC suppliers and not endangered forests. Take fewer, longer breaks, fly less and stay longer on Corfu Island.Reduce your food waste, dont buy things just incase you might use them, the average household wastes over 350 Euros worth of food annually. When this ends up in landfill it produces extremely harmful methane into the atmosphere, if cooked or tinned give it to a stray animal or a neighbors dog or cat. Please try using Eco friendly paints etc if you are decorating or renovating and consider installing solar panels or a small wind turbine along with some of other solutions on our links page (our concern for the environment is not financially motivated and we do not take payment from companies on our links page) These are just a few ways you can make a change so please give them a try, and if you have any lesser known solutions yourself let us know, perhaps we can add them to our list.Thank you for taking the time to read this section of our website, because together we really can make a difference. Do I pay Capital Gains tax if I decide to sell my property on Corfu? The government has introduced several methods to discourage speculation, among which is capital gains tax. It applies to properties purchased after 1 January 2006, and is levied in inverse proportion to the length of time for which the property has been owned, penalizing those looking for a quick profit.~~Wealth tax is levied on certain assets, including property. If the total value of an individual’s Greek properties, based on the official government valuation, does not exceed €243,600 (£164,527), no tax is payable. Above that, tax is levied progressively, at between 0.3 and 0.8 per cent. ~~ Do I have to pay annual property taxes on Corfu? Local taxes are usually from 0.25–0.35 per cent of a property’s official value annually. Other fees and taxes, direct and indirect, are also levied, to pay for local services.stion laws to you. Do I need an accountant for my property on Corfu? Yes. It is essential to hire an accountant early on to help you with tax returns and explain taxes; Corfu New Life Properties can of course recommend several reputable accountants. Can I purchase property on Corfu in somebody else’s name? Yes. You may purchase property jointly with your spouse and/or other co-purchasers, in names of children or legal heirs, or in the name of a company. Is it possible to get a mortgage for property on Corfu? If so, what are the requirements? Yes, it is possible to get a mortgage in Greece. To apply for a mortgage you will need your passport and proof of income for the last 2 years (P60, payment stubs, or tax returns if self-employed). Please be aware that if you apply for a Greek mortgage, you must be able to pay all closing costs before any funds from the bank are released Do i need to bring anything with me to purchase property on Corfu? Recent changes in the law, mean you will need to prove your identity in order to obtain the necessary tax number and open a Greek bank account, as before, you will of course be required to produce your passport, now you will also need to show proof of a current address, this can be done simply by bringing a recent utility bill, showing your name and home address along with your postcode, should you require finance for your purchase, you will need to supply proof of earnings, p60s, last 3 years accounts or similar.