New Decree Expands Possibilities for Costa Rican and Foreigner Homeownership
The decree for the “regulation guarantees housing credit”, provides an option for Costa Rica’s and foreigner with residency the ability to pay when they lack the resources to pay the premium. This regulation includes a series of projects that offer various possibilities for borrowing a housing loan.
The State alongside with the Housing Mortgage Bank (BANHVI) will grant security interest in housing finance operations that are adopted by the National Financial System for Housing (SFNV) under the program called “secured transactions”.
“This warranty covers the authorized against possible losses from the default of the debtor, up to 15% of the balance of principal and interest, providing individual coverage to each loan based on the premium percentage contributed by the debtor, “said the Minister of Housing..
Among the projects that would allow access to housing include deferred bonuses, the bonus second floor housing development, housing bonds with fixed rate and without guarantees to cover part of the premium.
Among the requirements that people require for these loans are:
- A Costa Rican or foreigners legally residing in the country.
- Provide a premium of 5% of the total loan value.
- Legally Working or self-employed during the three years preceding the date of grant of credit.
President Laura Chinchilla said that the signing of the decree would give middle class families to have more viable options for the purchase of housing.
Chinchilla also said the restructuring is being done within the National Institute of Housing and Urbanism (INVU).
The Costa Rica News (TCRN)
San Jose Costa Rica