Greece to suspend most home repossessions until end of 2013

Greece will extend by another year the moratorium on home repossessions for debts up to 200,000 euros, according to legislation submitted to Parliament on Monday.

Until the end of 2013, banks will not be able to seize the homes of customers if they are their main property - regardless of how much is owed - or if the amount owed is less than 200,000 euros.

Non-performing loans at the end of September stood at 52 billion euros, which was 22.5 percent of all loans – a rise of 7.5 percentage points from the end of 2011. More than 15 billion euros of these loans are mortgages.

The legislative act submitted by the government also foresees individuals and businesses renting commercial properties being able to terminate their contract by paying one month’s rent to the landlord.