Can Foreigners Get a Mortgage in Serbia?
TL;DR: Yes, foreigners can get a mortgage in Serbia, but the process is complex, heavily bank-dependent, and usually requires a very high down payment (often 50–75%). Each bank has full discretion, and non-residents must provide extensive proof of income and repayment ability. At Relocation Serbia, we also offer private financing solutions to bridge the gap for expats and investors who don’t meet traditional bank requirements.
Short answer: Yes, foreigners and non-residents are legally allowed to obtain a mortgage in Serbia, but approval is not guaranteed. Each loan is treated as a foreign exchange transaction, meaning the bank must report to the National Bank of Serbia and apply stricter rules.
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Banks have full discretion — some approve, some refuse.
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U.S. citizens face additional scrutiny because of FATCA reporting.
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Down payments for foreigners are higher — usually 50–75% compared to the standard 20% for residents.
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Proof of income abroad is required, often with extensive documentation.
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Collateral and guarantees are standard requirements.
Resident: A person with permanent residence in Serbia (unless living abroad for more than 12 months).
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Non-Resident: Foreign nationals without Serbian residency or citizens who have been away for more than a year.
📌 Note: Tax residency is separate. You become a tax resident if you spend more than 183 days per year in Serbia, even without permanent residence.
1. Legal Framework
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Mortgages for foreigners are permitted under Serbian law.
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Treated as foreign transactions, requiring reporting to the National Bank of Serbia.
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Loans may be issued in RSD (Serbian dinar) or foreign currency, but funds must go directly to the resident seller of the property.
2. Income Proof Requirements
Banks typically require:
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Proof of stable income abroad (employment contracts, pensions, etc.)
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Documentation showing regular repayment of obligations in the last 12 months
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Evidence of no significant outstanding debts
Self-employed foreigners (digital nomads, YouTubers, freelancers) often struggle to qualify because Serbian banks prefer steady, predictable income sources.
3. Down Payment Requirements
| Buyer Type | Typical Minimum Deposit |
|---|---|
| Serbian Citizen / Resident | 20% |
| Foreign Non-Resident | 50–75% |
Bank Discretion: Each bank has its own internal policies.
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Nationality Barriers: Some banks refuse U.S. citizens because of FATCA reporting obligations.
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Higher Collateral Requirements: Non-residents often must provide additional guarantees.
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Slower Approval Times: Additional paperwork and reporting obligations delay the process.
Because traditional mortgages can be restrictive, Relocation Serbia has opened an alternative path: private financing for expats.
How It Works:
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Designed for non-residents purchasing real estate in Serbia.
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Functions as a bridge loan — useful if you’re waiting for funds from abroad (e.g., selling a property in your home country).
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Requires due diligence, just like a bank:
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Proof of financial stability
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No major outstanding debts
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Collateral (often the property being purchased)
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Legal contracts handled through licensed Serbian lawyers.
Typical Use Cases:
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Buying a home in Serbia but waiting for your foreign property to sell.
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Covering a €50,000–€100,000 shortfall in property financing.
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Purchasing a car or making short-term investments while establishing residency.
📌 Note: Interest rates are higher than bank loans, and terms vary depending on loan size, duration, and collateral.
Step-by-Step: How to Apply for a Mortgage in Serbia as a Foreigner
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Open a Serbian bank account (not all banks accept foreigners — Relocation Serbia can advise).
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Provide income documentation (employment contracts, pension statements, tax filings).
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Submit credit history reports from your home country.
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Prepare down payment funds (expect 50–75%).
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Bank assessment (creditworthiness, collateral, repayment ability).
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Approval and loan contract (in RSD or foreign currency).
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Funds disbursed directly to the property seller.