Greek banks hinder mortgage lending

Greek banks hinder mortgage lending

Banks in Greece are now willing to finance only 70% of the property value. Before the crisis, the mortgage loan is secured by the purchase of 100%. Thus, property buying becomes inaccessible for most of the young Greek population, reports the portal ee24.com with reference to ekathimerini.com.

With unemployment around 27%, which is two times higher than in Europe, young Greeks are forced to rent an apartment or enjoy the hospitality of their parents.

"You dream and plan how to live together, and then the reality falls on you," said Vasiliki Dimitriadau, who lives with her husband and her parents in a small 3-bedroom apartment in Athens.

32-year-old Vasiliki lost her job a year ago. The same thing happened to her husband. Without cash flow, they can not even afford rent and buy a home.

"Before, we considered it a matter of course, now it has become a luxury," said Vasiliki.

According to the European Federation of mortgage lending, about 80% of the population in Greece and Spain are homeowners, while the European average figure is 70%.