10/21/2020 22:05
Clarín.com
Economy
Updated 10/21/2020 10:07 PM
The Government yesterday sent two bills to Congress: one seeks to reactivate the Construction industry and the second seeks to address the housing deficit by
facilitating access to mortgage credit
.
The idea is to protect owners and investors against mismatches between wages and inflation.
In this sense, the plan announced by the Ministry of Economy foresees granting loans in units updated by
inflation (CER) and by the Construction Cost Index for banks and investors
who need to protect their capital.
The installments of the new credits will be capped in case the rates are triggered, they will be adjusted based on
salaries.
The lines of the new mortgage loans covered by the new system are for:
Construction on own land / to be acquired
Acquisition or change of home for a brand new one (only first deed)
Repair
-Acquisition or change of a single dwelling with permanent occupation.
Other complementary actions of the official program will be: - Promote lines of credit with type B guarantee (allows to promote projects
without a perfect title
);
Financial education, which will allow the debtor to understand the adjustment mechanism and quantify the associated risks.
In addition, promote the placement and discharge of mortgages in the capital market to
deepen the mortgage loan market.
How will the program be implemented?
Basically the incentive to take out mortgage loans will be made from the creation of a
Sociedad Hipotecaria Argentina SA
, which will not commit resources from the National Treasury or the Central Bank (BCRA), the Government warned.
This Company is going to administer a hedging and promotion trust fund, destined to
compensate for eventual lags between the loan installment
, which will have a ceiling based on the evolution of wages and inflation.
This measure aims to prevent
the same thing from happening that happened with UVA loans, which became unpayable
for people as a result of the jump in inflation that left very high fees for debtors.
In addition, the Company will
grant guarantees to promote
bank
financing
(allowing to reduce the cost of financing, establishing conditions of different order: territorial, value, type, etc.) It will also grant guarantees to promote financial investments in VRD (representative values of debt) of Trusts (allowing to reduce the cost of financing that is transferred to families).
And it will operate in the market for VRDs or other related instruments (to give liquidity to the capital market)
The structure of this Company will be made up of a Steering Committee with a Chairman: a representative of the Ministry of Economy, with advice from the BCRA, with the right to vote and veto.
The members will be representatives of the banks with the right to vote based on their contributions.
The Ministry of Economy will be responsible for approving the Constitutive Act and Bylaws (MECON partners and a Share Trust made up of banks in proportion to their contributions).
The BCRA will be responsible for regulating the operations in the origination of credits, organizing, putting into operation, and regulating and monitoring the system.
According to the information that circulated yesterday from the Economy portfolio, the
trust fund will
be integrated with an
initial contribution from the Treasury
and with three other sources: an active contribution from the banks that participate in the mortgage credit market between 1% and 5% the residual value of each covered mortgage loan;
a quarterly contribution from participating banks of up to a maximum of 1.25% of the profitability of the BCRA's Leliq;
and a premium contained in the installment that the mortgage debtors must pay.
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