Starting March, mortgage loans by Societe Generale bank in accordance with new Law

Mortgage Law will be put in effect at the end of this month, but there are already some banks that started to approve mortgage loans on real states that are not registered or are under construction – said Milan Parivodić, Minister of International Economic Relations. According to his words, certain respectable building company has already obtained loan of €40m on the basis of recently dug foundations for apartment facilities, which means that, instead of business building, it used building site as the guarantee.
Announcing that Societe Generale bank will start to approve mortgage loans in accordance with the regulations from the new Mortgage Law in March, Filip Gidez, president and general manager of that bank pointed out that the new solutions brought by the Law, especially the ones related to the possibility of realization of mortgage outside the court, within 3-6 months, would stimulate investors and it would be especially good for small and mid-sized enterprises that could have not applied for the banking credits because they had not had adequate property as the guarantee for credit. Predrag Ćatić, legal advisor of Societe Generale bank pointed out that the important innovation brought by the Law was that the banks would be able to transfer their claims to the third party, as well as that the complete files about real estates and mortgages were kept at one place – in REpublic Geodetic Institute, which enables easy insight and increases legal safety.