In 2025, Greece's construction sector experienced a drastic decline, primarily caused by the Supreme Court's decision to eliminate building bonuses which had previously incentivized construction projects. According to statistics from the Hellenic Statistical Authority (ELSTAT), the number of approved housing permits dropped by 20.6% from January to November 2025, totaling only 34,997 compared to 44,090 during the same timeframe in 2024.

The Supreme Court’s ruling was officially announced in December 2024, with implementation beginning in January 2025. This shift created a significant period of uncertainty for builders and developers, forcing them to reassess their existing agreements and projects in light of the new regulations. The Ministry of Environment and Energy took almost five months to enact the necessary regulatory adjustments to align with the new legal conditions, thus prolonging the disruption for those in the construction sector.

As a result of the new constraints and the delay in legislative response, contractors who had signed preliminary agreements or contracts for property purchases found themselves in a challenging position, needing to renegotiate terms based on the revised legal landscape. This situation not only affects current properties under development but may also have far-reaching impacts on the housing market in Greece, underscoring the delicate balance between regulation and industry growth in the sector.