Risk of "Frozen" Transfers: What Owners Need to Know

Why are property transfers at risk on March 31, 2026?

The countdown has begun for thousands of owners. The deadline of March 31, 2026, for the legalization of small and medium-scale unauthorized constructions (Categories 1-4) is bringing the real estate market to a standstill. If the deadline expires without a new extension, any transfer, parental gift, or donation will “freeze,” as issuing an Electronic Building ID will be impossible without settling urban planning deviations. 💡

What constitutes an “invisible” unauthorized construction for a property?

Many properties in Greece exhibit deviations that owners often ignore, such as changes in space usage, apartment partitioning (diamerismatopoiesi), or minor shifts that occurred during the building’s construction. These “shadows” from the past come to light during the building’s “X-ray” process. Without prior settlement, the legalization process is halted, preventing any commercial transaction. 🏡

What is the future of “Category 5”?

Category 5, which concerns major unauthorized constructions or buildings without a permit, has remained in a legal vacuum since 2020. The problem extends to public buildings, such as schools and hospitals, which are unable to join energy upgrade programs, as European funding requires full legal compliance. Despite pressures, the government is moving cautiously, weighing the political cost and court rulings regarding unauthorized construction. 💰

What is the likely solution for owners?

A scenario is being considered where the obligation to settle deviations does not have a final deadline for everyone but is automatically activated at the time of transfer and the issuance of the Building ID. However, the basic condition remains non-negotiable: no legalization is possible for constructions built after July 2011.