The National Bank of Serbia has eased conditions for mortgage loan eligibility for young people by reducing the minimum down payment from 20 percent to 10 percent. On top of this, they will be able to claim back 10 percent in VAT. The City of Belgrade and the Serbian Chamber of Commerce have been pushing for Serbs to have an easier time purchasing their first home and to speed up the sale of apartments.
They argue that achieving this would act as support for the construction sector and have promoted these ideas in meetings with numerous meetings with the largest housing developers and lending banks. As of the end of May, the city of Belgrade issued building and location permits for almost 550,000 sqm of residential construction. Part of the proposal is to raise the part that is not taxed when buying the first apartment for which there is a VAT refund from 40 to 60sqm.
