The preferential interest rates for private homes are extended until December 2025 and will retain the same benefits that are currently granted, Housing Minister Rogelio Paredes reported.
He I am vetoing the project presented by MP Crispiano Adames in the past perioddue to the fact that the extension of this subsidy was intended to be extended until 2028, which did not respect the decision of the next government on this issue, assured Paredes.
For homes valued at $45,000 to $80,000the preferential interest assumed by the government is 4%, while for houses from 80,000 to 120,000 USD it is 3%.
In case of residences from 120 to 150 thousand dollars the interest that the state will be able to pay is 2%, and for those houses worth between 150 and 180 thousand dollars, it is 1.5%.
For 38 years of this subsidyone of the few that is accepted by the business sector, it helped salaried and lower-middle-class families gain access to housingsince the first 10 years his bills are low, because the government absorbs most of the interest.
It was discovered by Paredes The state paid 500 million dollars to banking institutions for these interestsand reported that in the case of homes whose occupancy permit was issued on January 1, 2017, they fall under this regime.
The principal interest tranche expired last yearfor which the construction sector asked the president to extend its validity, as it would enable the maintenance of demand, which at that time was affected by the economic crisis caused by the pandemic.
This was reported by the Minister of Housing 49% of the inventory of residences maintained by the real estate sector was able to evacuate with the increase in activity in the last few months.
Solidarity Fund
Another housing program, the Solidarity Fund, as well expires in June 2024. This allows the state to absorb $10,000 of the property’s value up to $70,000.
“It will be up to the next administration to decide if they want to continue this,” Paredes admitted.
This is the third government to implement this social program, born during the Ricardo Martinelli administration, 2010.
At the time, $5,000 was granted to families who wanted to buy homes priced under $30,000 and with an income of less than $800 a month, which has improved over the years, according to the new reality of the market.
Source: Panama America
I am Jason Root, author with 24 Instant News. I specialize in the Economy section, and have been writing for this sector for the past three years. My work focuses on the latest economic developments around the world and how these developments impact businesses and people’s lives. I also write about current trends in economics, business strategies and investments.
