Mortgage loan

Huge questions are raised as to the consequences that new measures concerning non-performing loans (NPLs) or so-called “red loans” will have on Greece’s real estate market that has been in a slump for the last seven years with over 250,000 vacant properties for sale. Real estate professionals still don’t know how much lower prices will fall as a result of foreclosures and auctions.

An agreement was reached between the Greek government and the representatives of the three institutions (EC, ECB, IMF, ESM) that envisages subsidizing installments of mortgage loans for more vulnerable households and debt write-offs for households with an annual income of 35,000 euros and real estate worth less than 230,000 euros.

Greece reached an agreement with its lenders on financial reforms early on Nov. 17, its finance minister said, removing a major obstacle holding up fresh bailout loans for the cash-starved country.

The moment of truth has arrived for foreclosures of private homes that are mortgaged and changes to the scheme for debt settlement in 100 installments.

Negotiations between the Greek government and the four creditors from the European Commission, European Central Bank, European Stability Mechanism and International Monetary Fund appear to moving towards a deadlock as far as decisions for non-performing loans are concerned.

Greece’s government took another baby step away from home owners in danger of losing their primary residence in the hope of reaching a compromise deal with creditors from the European Commission, European Central Bank, European Stability Mechanism and International Monetary Fund.

Four proposals for non-performing (so-called “red”) loans have been place on the table by banks after the Euroepan Central Bank’s stress tests calculated that these loans amount to 107 billion euros.

By Evgenia Tzortzi

Piraeus Bank has decided to write off debts of up to 20,000 euros stemming from consumer loans and credit cards for its clients who qualify to benefit from the government?s measures against the humanitarian crisis. The bank will also freeze debts from mortgages for the same category of citizens, it announced yesterday.

The crediting products are "a deprivation from the joys of life" says one of the Romanians who have contracted a loan - be it mortgage, mortgage or personal loan - in the past 10 years, a research carried by a specialised company reveals on Thursday.

Photo credit: (c) Cristian NISTOR / AGERPRES ARCHIVE

BELGRADE - The parliamentary committee on finance on Monday adopted a government-proposed bill amending the mortgage law, which should improve the position of creditors and protection of debtors or owners of mortgaged real estate property.