Home Sweet Home

Every Society defines itself as either more social or less liberal, more democratic or less oligarchic. In the centre of this definition most place the spectrum of core-rights and benefits attributed by the respective Governments of these States to their people. Usually, the evolution of societies is associated with the achievment of more rights and benefits to the people, while the reverse phenomenon is rather to be described as a case of evolutionary regression. Among the core-values attributed to Greek people in recent times was the protection of the so called "first dwelling", which most have acquired via mortgage loans. The State had made it clear to consumers that their "first dwelling" is protected against the possible risk of repossesion and so people should feel protected when investing their live savings in the acquisition of a home. Usually, in such a transaction you are required to put down 10%-30% of equity, while you can finance the balance through a mortgage loan. Everyone, was encouraged to buy a home, and everyone did. Untill 2009, when the subprime crisis made it out here to Greece. Ever since that time, what we have seen is that non-performing portfolios of mortage loans have become a commodity, which has been transacted over and over again at re-valued discounted present values, but whoever was going to buy them obviously needed some sort of comfort that he would be able to collect even through enforcement. The situation today? International funds are the owners of "protected" Greek homes. But, hold on a second. Really protected? The answer is tricky, depending on the timing of the question. A diplomatic answer would be: "definitely, at least until the end of the year"! Poor consumer...