Best Islands to Buy a House in Europe for Foreigners

Published on 21th of December, 2024

For those dreaming of owning a home surrounded by pristine beaches, stunning landscapes, and rich cultural experiences, European islands offer some of the best opportunities. Here, we explore five of the top islands—Corfu, Cyprus, Crete, Hvar, and Majorca—and why buying a house on each is an excellent idea.

1. Corfu, Greece

The Charm of Corfu

Corfu, a lush island in the Ionian Sea, is known for its emerald waters, Venetian architecture, and warm hospitality. This Greek island combines historical richness with modern amenities, making it a prime destination for those looking to settle or invest.

Why Buy a House in Corfu?

  1. Affordability: Corfu offers relatively affordable real estate compared to many European islands. Prices vary depending on the location, with luxurious seafront villas and charming countryside homes both available.
  2. Strong Rental Market: Corfu’s popularity as a tourist destination ensures a steady rental income for property owners.
  3. Natural Beauty: With olive groves, rugged mountains, and serene beaches, Corfu is a paradise for nature lovers.
  4. Cultural Richness: From the Old Fortress to the Achilleion Palace, the island’s historical landmarks add to its allure.
  5. Accessibility: The island is well-connected with direct flights from major European cities and regular ferry services.

Conclusion: Corfu is ideal for those seeking an affordable yet culturally and naturally enriching environment, whether as a vacation home or a permanent residence.

2. Cyprus

The Unique Appeal of Cyprus

Located at the crossroads of Europe, Asia, and Africa, Cyprus offers a blend of Mediterranean charm and modern infrastructure. The island is known for its tax incentives, sunny climate, and cosmopolitan lifestyle.

Why Buy a House in Cyprus?

  1. Residency Benefits: Cyprus offers an attractive Golden Visa program for property investors, granting residency to non-EU citizens.
  2. Tax Advantages: With one of the lowest corporate tax rates in Europe and no inheritance tax, Cyprus is a haven for investors.
  3. Year-Round Sunshine: The island enjoys over 300 days of sunshine annually, making it perfect for retirees and vacationers.
  4. Diverse Property Market: From luxury beachfront villas in Limassol to affordable apartments in Larnaca, there’s something for every budget.
  5. English-Speaking Community: English is widely spoken, and the island has a significant expatriate community, making integration easier for foreigners.

Conclusion: Cyprus is an excellent choice for those prioritizing tax benefits, residency programs, and a sunny lifestyle.

3. Crete, Greece

Why Crete Stands Out

Crete, the largest Greek island, is a microcosm of all things Greek: ancient ruins, traditional villages, and a thriving gastronomic scene. Its size means there’s a wide variety of landscapes and lifestyles to choose from.

Why Buy a House in Crete?

  1. Diverse Landscapes: Crete offers everything from mountainous villages to coastal retreats, providing buyers with numerous options.
  2. Rich History: Home to the Minoan civilization, Crete is a haven for history buffs, with iconic sites like Knossos Palace.
  3. Strong Expatriate Community: Many foreigners have settled in Crete, particularly in the areas of Chania and Rethymno, creating a welcoming environment for newcomers.
  4. Affordable Properties: Compared to other Mediterranean islands, property prices in Crete are very competitive.
  5. Tourism Potential: With its year-round appeal, renting out properties in Crete is a lucrative opportunity.

Conclusion: Crete offers a blend of natural beauty, historical significance, and affordability, making it a fantastic investment for foreign buyers.

4. Hvar, Croatia

The Jewel of the Adriatic

Hvar, often referred to as the "St. Tropez of Croatia," is renowned for its crystal-clear waters, lavender fields, and vibrant nightlife. This island is a prime spot for high-end living in the Adriatic.

Why Buy a House in Hvar?

  1. Exclusive Appeal: Hvar is a luxury destination, attracting affluent visitors and property investors.
  2. Scenic Beauty: With its idyllic harbors, vineyards, and historic towns, Hvar is one of the most picturesque islands in Europe.
  3. Growing Market: Croatia’s real estate market is on the rise, and Hvar offers excellent long-term investment potential.
  4. Peaceful Living: Despite its lively tourist scene, Hvar has quieter areas perfect for those seeking tranquility.
  5. Proximity to Mainland Europe: Easy ferry access to Split and other major Croatian cities makes Hvar well-connected.

Conclusion: Hvar is a premium choice for those looking for luxury, beauty, and exclusivity in the Adriatic region.

5. Majorca, Spain

The Allure of Majorca

As the largest of Spain’s Balearic Islands, Majorca offers a mix of cosmopolitan living, traditional charm, and stunning natural landscapes. It is a favorite among celebrities and expatriates alike.

Why Buy a House in Majorca?

  1. Luxury Real Estate Market: Majorca boasts some of the most luxurious properties in Europe, from cliffside villas to historic fincas.
  2. Strong Rental Yields: Its popularity as a year-round tourist destination ensures a robust rental market.
  3. Excellent Infrastructure: The island offers top-notch healthcare, international schools, and modern transportation.
  4. Cultural and Recreational Opportunities: Majorca is home to art galleries, fine dining, and golf courses, as well as hiking and water sports.
  5. Stable Market: Spain’s real estate market is stable, and Majorca remains a secure investment for foreigners.

Conclusion: Majorca combines luxury, culture, and investment security, making it a prime location for buying a house.

Comparative Summary

Island Key Features Best For
Corfu Affordable, scenic, rental potential Budget-conscious buyers and investors
Cyprus Tax benefits, sunny climate, Golden Visa program Retirees, investors, and expatriates
Crete Diverse landscapes, history, affordability Nature lovers, history buffs, and families
Hvar Luxury, exclusivity, scenic beauty High-end buyers and investors
Majorca Luxury, infrastructure, strong rental market Affluent buyers and long-term investors

Final Thoughts

Each of these European islands offers unique opportunities for foreigners to invest in property. Whether you’re drawn to the historical charm of Crete, the luxury of Hvar, or the tax advantages of Cyprus, owning a house on any of these islands promises an exceptional lifestyle and a sound investment.