Why owners don’t rent out properties
According to the source, the situation has several reasons. First, taxes. In Greece they are so high that in some cases they exceed the potential rental income. This makes renting out housing unprofitable, especially when it comes to older properties. Many of these houses are outdated and in need of major repairs. The owners do not see the economic benefit in this. Secondly, there are inheritance problems. Unfinished disputes between heirs or refusal of inheritance due to debts, make any disposal of real estate impossible. Third, low demand in non-tourist or remote regions. Owners cannot find tenants and are forced to leave houses empty. Finally, there are risks associated with insolvent tenants.
As the source notes, the authorities are trying to incentivize owners to let in guests with threats and promises of privileges. In response, the Guild of Greek Property Owners (Pomida) is putting forward counter-conditions.
They are demanding that tenants be obliged to provide their financial profile before moving in. Rental history, income information, references from previous owners. They also require stricter enforcement of the law in relation to non-payers: if the landlord does not receive money within 2 months, he (having warned the tenant) can start eviction. But the most unusual thing is to set a minimum rent for each neighborhood, below which it is impossible to rent out housing.
