The purchase of a first home is once again at the center of the real estate debate following the approval of a new line of public guarantees aimed at facilitating access to financing. This measure is intended to support young people and families who, despite having stable incomes, have not been able to save enough to cover the down payment on a property.
The main new feature of these guarantees is that they cover up to 20% of the mortgage amount, making it possible to obtain larger loans without having to make a large down payment. In certain cases, such as for homes with an energy-efficient rating, the guarantee can be extended to 25%, thereby incentivizing the purchase of more sustainable properties.
The program is aimed at young people and family units with dependent children, provided that certain annual income limits are met. These limits are not rigid, as they are adjusted according to the number of children and include specific improvements for single-parent families. This approach seeks to adapt to different social realities and offer more equitable access to homeownership.
Another important aspect is that the guarantee allows for financing of up to 100% of the lower of the purchase price or the appraised value of the property. The government guarantee is valid for a maximum of ten years, regardless of the total term of the mortgage loan. During that time, the risk is shared between the government and the financial institution, which reduces the initial financial burden on the buyer.
Applications must be channeled through credit institutions adhering to the program, within a period that will extend, at least, until the end of 2025. A possible extension is not ruled out if demand justifies it and the economic situation allows it.
Despite the opportunities it offers, the measure also sparks debate in the sector. Some experts warn of a potential impact on prices, while others highlight its value as a tool to unlock transactions and promote independence.
At Buckingham Property Advisors We believe these guarantees can be a significant boost for the residential market if used prudently. Analyzing financial capacity, choosing a home that meets real needs, and obtaining professional advice will be key factors in making this initiative a sound and sustainable long-term decision.