Real estate FAQ

Private Real Estate Funds regard pools of money allocated in various segments of the real estate market such as logistic complex, offices, shopping centers, hotels, residence. It is a simple and easy way to invest in real estate. Private Real Estate Funds offer the investors the flexibility to choose the manager and investment strategy that fit into their risk and exposure profiles.

Real estate exposure can be gained through a variety of instruments like public stocks, real estate investment trusts (REITS), direct ownership, and private real estate investment funds.

• Pros
  • Stable asset class with low volatility
  • Portfolio diversification
• Cons
  • Potentially more hands-on
  • Direct property investments are illiquid

• Residential real estate a property that has been specifically zoned for living in: single/multi-family homes and apartment buildings
• ⁠Commercial property is real estate that has been zoned for businesses, typically industrial or retail. This could include shopping malls, office buildings, warehouses, and manufacturing sites.
• ⁠Land refers to the ground surface and encompasses any structures, water, plants, or minerals located on the land. Land can also be zoned as residential, commercial, industrial, agricultural, or other specific local zoning designations.

Property managers manage the day-to-day property operations like: Finding prospective renters, Negotiating rental values, Collecting deposits and rent, Handling maintenance requests & Checking on properties if the owners live out of the area

• Ensure you get the optimal price when selling or renting out your property, uncovering its true market value.
• When applying for either a loan or mortgage, any bank or lender will request a full appraisal of the property in question.
• ⁠A certified valuation report is a critical document in a wide range of property-related legal matters like settlements and inherited properties.
• ⁠Knowing your asset’s worth in the greater market is a key component to taking investment decisions.

An agent occupies an in-depth knowledge of the area and understands how your home compares to others on the market. They’ll have a good idea of how you can optimize its value and make sure your home is priced right so that you maximize your offers and sell your home faster.

Yes, there is an annual property tax (ENFIA), introduced in 2011; The tax amount depends on various metrics and is payable by the property owners only.

Research shows that spring & summer are the best periods to sell your house, as the weather is favorable and properties tend to showcase well. Moreover, families tend to move during summer in order to avoid disrupting the school year. Winter sees home sales typically drop.

Try to remove any personal items, give a thorough cleaning and make small repairs to ensure the place is clean and presentable; a potential minor renovation could also boost the marketability of your place.

Usually, a real estate commission fee ranges between 2.0-3.0% of an asset’s final sale price. Buyers/Sellers can negotiate the fees, although it may impact the number of services the agent is willing to provide.

The market price of a property depends on multiple factors including among others the property’s location, size and layout, condition, features, and the local demand and supply. To learn the fair price of your asset, you can ask for a property valuation to be conducted by an accredited valuation company.

An asset's assessed value (the value assigned for tax purposes, or in Greek "antikeimeniki axia") is different from its fluctuating market value (the price at which a property would sell in a competitive market), as the latter is driven by multiple factors like the asset features and the local demand and supply.

Typically, property buyers put down 5-10% of the total asset worth; however this depends on the transaction size and the transferability of the asset.

Closing costs for buyers typically range from 5.0 to 7.5% (plus VAT, where applicable) of the purchase price, on average:

• Attorney fees equal c.1.0-1.5%
• Notary fee, as a rule, is appr 1.0%
• Transfer tax payable is currently 3,1%
• Property registration fee is 0.7%
• Technical due diligence cost ranges between 0.5-1.0%
• Brokerage fee is 2.0% on average

• International passport
• Visa allowing entry to Greece
• Documentation for opening a Greek bank account:
  • Copy of the tax return
  • Permanent residence documentation
  • Letter of employment confirmation

Yes, Primal Advisors can help you optimize your asset's rental value and find a tenant providing you a rental income from your asset in Greece.

• Spring: High activity with more inventory but also higher competition, potentially increasing prices.
• Summer: Opportunities rise as sellers aim to close deals, potentially allowing for negotiations.
• Autumn: Active market post-summer research with a fair chance for negotiation.
• Winter: Fewer listings but also less competition, which could potentially lead to better deals.

Return On Investment (ROI) is a metric that enables investors to evaluate whether they should buy an investment property or compare one investment to another. ROI allows investors to predict, based on comparables, the profit margin they should realize on their real estate – either through flipping homes or renting properties – as a percentage of cost.

ROI calculations are relatively simple; the ROI of an investment is equal to the gain minus the cost, divided by the cost.

ROI = (Investment Gain − Investment Cost) ÷ Investment Cost

Some calculations may vary depending on the type of investment being considered.

• Residential Real Estate Development
• Commercial Real Estate Investment
• Real Estate Crowdfunding
• Real Estate Technology (PropTech)
• Short-Term Rentals and Vacation Properties