Greek court limits seizure of sole homes over state debts

Greek public creditors cannot seize a debtor’s only family home unless they first search for other assets and show that none can cover the debt, the Council of State has ruled. Decision 1404/2026 was made public on 15 October 2026.

The case

The Council of State is Greece’s supreme administrative court. Its Sixth Section heard an appeal by the state over a 162 m² maisonette in Moschato, in the Athens area, owned in equal shares by a company managing director and his wife.

A tax office had seized his 50% share over unpaid company debts to the state of €142,917. The auction programme valued the share at €100,000, with a first bid of €80,000.

The administrative court of first instance in Athens cancelled the auction programme. The appeal court agreed: it found the maisonette was the family’s main home, that the owner also held property elsewhere in Greece, and that the debt could be collected by less burdensome means. The Council of State rejected the state’s appeal as unfounded.

What the court held

Seizing a home proven to be the debtor’s only residence is lawful only if other suitable assets were first investigated and ruled out, with the search documented.
The court relied on the constitutional protection of the home and on proportionality: milder measures must come first.
The debtor can raise the point through an objection (ανακοπή) against the auction programme, not only against the seizure report. If the seizure falls, the auction programme falls with it.
The ruling does not make a main home immune from seizure in general.

The case concerned collection under the Public Revenue Collection Code (KEDE), which covers debts to the state such as unpaid taxes.

What it means for buyers

For owners, the ruling adds a procedural safeguard, not an exemption: tax debts on Greek property, such as unpaid property tax (ENFIA), can still be enforced. The decision concerns a debtor’s only family home. It does not say how the rule applies to a second home or to a property owned by someone who lives abroad.

For people buying at public auctions, a sale of a sole residence may now be challenged at a later stage, if the authorities skipped the search for other assets. Buyers should confirm how this applies to them with a Greek lawyer or accountant.

What happens next

Pending seizures and auctions of sole homes may be re-examined in the light of the ruling, though how courts apply it remains to be seen. We had not seen the full text of the decision at the time of writing.