Bank finance for the acquisition of real property
Often, in real estate transfers in Greece, the price is paid to the seller by loan, that is granted by the bank to the buyer. In this case and for the discharge of the loan to the bank, a pre-notice of a mortgage is granted, in favor of the bank. In terms of process, the registration of a pre-notice of a mortgage in favor of the bank, at the expense of the buyer of the property, follows the signing of the contract of transfer and the contract of the loan agreement between the bank and the buyer and it takes place by filing an application before the Court of First Instance of the district where the property is located.
In this procedure, usually an attorney of the bank is present, who submits an application before the competent Court, as well as the buyer himself, or an authorized attorney, who consents to the registration of a pre-notice of a mortgage on the property. The decision is issued on the same day and is recorded in the land registry office or the cadastre office of the region of the property.
The pre-notice of a mortgage is removed by the same procedure, i.e. by decision of the Court of First Instance, following a request by the buyer and by consent of the bank that has been paid out.