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Credits: A bank launched a line to build your house or buy a lot with interest that decreases with each installment - La Nacion Propiedades
Source:
www.lanacion.com.ar
April 24, 2025
An entity expands the scope of its UVA personal credit line to 10 years for building a house or purchasing land, even in a gated community.
The new loans provide up to $100 million to build a home or buy land, even in a gated community.
In a context where access to mortgage loans remains limited by entry requirements, one of the most difficult barriers is having the necessary income to qualify. Despite this, the return of loans is good news for the sector , after years without the possibility of financing to purchase a home, something essential for accessing housing.
In March, US$214 million in mortgage loans were issued . The average since October of last year is estimated to be close to US$200 million. "We're talking about around 2,000 loans per month, which is still a low number ," shares Federico González Rouco, an economist specializing in housing.
Pope Francis dies: Aftermath and latest news from the Vatican today
Banco Ciudad informed LA NACION of the launch of a new line of personal loans in UVA (Purchasing Value Unit) - the same as those used for mortgages - that allows financing the purchase of land , even in gated communities, and the construction of a home on an already acquired lot .
"We've been adding options to the home loan menu. We know that a mortgage isn't always the only option. That's why we launched this product, which complements what we already offer," explains Sebastián Senlle, the bank's product manager.
The loan term is up to 10 years and with a fixed rate of 9.5% plus UVA adjustment.RICARDO PRISTUPLUK
The new line maintains the personal loan structure the bank had been offering for renovations : a term of up to 10 years , a fixed rate of 9.5% plus UVA adjustment , and a maximum loan amount of up to $100 million . However, two new uses are now available: land purchases and construction on one's own land , which represents an expansion for those who already own a lot or are looking for one.
An important fact to keep in mind is that, unlike the mortgage loan offered with the French amortization system, this personal loan is offered under the German one, in which the capital component is constant in each installment and the interest decreases over time , generating decreasing installments in UVAs .
That is, the monthly payment is lower in UVAs as the principal is amortized, because it has staggered installments : the first is the most expensive and decreases month by month (principal amortization is higher at the beginning). Another difference with a traditional mortgage is that, since it's a personal loan, you don't need a mortgaged home to qualify .
In the case of construction , the applicant must submit a construction estimate signed by a construction professional and the deed or purchase agreement for the land in their name. The loan can cover up to 75% of the estimate .
In the case of land purchases , a purchase reservation accepted by the seller must be presented . Financing up to 75% of the lot value is also available.
In addition to construction, the loan finances up to 75% of the purchase of a lot.zonaprop.com.ar
To qualify for the loan, a minimum income of $865,000 is required. A guarantor or co-signer can also be added to improve the credit rating. The bank also assesses that the requested amount does not exceed 100% of the total cost of the project and 50% of the estimated value of the property to be built .
"This product is aimed at those who already own a lot and want to build or are in the process of purchasing one. Often, there are lots or homes that don't qualify for a traditional mortgage, and this personal loan makes it easier to resolve," Senlle explains.
"There are many cases of clients who took out a mortgage at another bank, but then came to Ciudad to finance renovations with a personal loan ," he adds.
The new loan is presented as a more flexible option with fewer requirements than traditional mortgages , especially in a market where many homes are not formally registered or do not meet all the legal requirements for a mortgage. "Mortgage loans can be complex due to the agreements and deeds. With the staff, all of that is simplified," says Senlle.
It is important to clarify that this credit can be processed in all areas where Banco Ciudad operates, including the first belt of Greater Buenos Aires , La Plata , Pilar , Córdoba , Río Cuarto , Mendoza , Tucumán and Salta .
www.buysellba.com
Source:
Créditos: un banco lanzó una línea para construir tu casa o comprar un lote con intereses que bajan en cada cuota
Una entidad amplía el alcance de su línea de créditos personales en UVA para construir una casa o comprar un terreno, incluso en un barrio cerrado, a 10 años
www.lanacion.com.ar
April 24, 2025
An entity expands the scope of its UVA personal credit line to 10 years for building a house or purchasing land, even in a gated community.
The new loans provide up to $100 million to build a home or buy land, even in a gated community.
In a context where access to mortgage loans remains limited by entry requirements, one of the most difficult barriers is having the necessary income to qualify. Despite this, the return of loans is good news for the sector , after years without the possibility of financing to purchase a home, something essential for accessing housing.
In March, US$214 million in mortgage loans were issued . The average since October of last year is estimated to be close to US$200 million. "We're talking about around 2,000 loans per month, which is still a low number ," shares Federico González Rouco, an economist specializing in housing.
Pope Francis dies: Aftermath and latest news from the Vatican today
Banco Ciudad informed LA NACION of the launch of a new line of personal loans in UVA (Purchasing Value Unit) - the same as those used for mortgages - that allows financing the purchase of land , even in gated communities, and the construction of a home on an already acquired lot .
"We've been adding options to the home loan menu. We know that a mortgage isn't always the only option. That's why we launched this product, which complements what we already offer," explains Sebastián Senlle, the bank's product manager.
The loan term is up to 10 years and with a fixed rate of 9.5% plus UVA adjustment.RICARDO PRISTUPLUK
The new line maintains the personal loan structure the bank had been offering for renovations : a term of up to 10 years , a fixed rate of 9.5% plus UVA adjustment , and a maximum loan amount of up to $100 million . However, two new uses are now available: land purchases and construction on one's own land , which represents an expansion for those who already own a lot or are looking for one.
An important fact to keep in mind is that, unlike the mortgage loan offered with the French amortization system, this personal loan is offered under the German one, in which the capital component is constant in each installment and the interest decreases over time , generating decreasing installments in UVAs .
That is, the monthly payment is lower in UVAs as the principal is amortized, because it has staggered installments : the first is the most expensive and decreases month by month (principal amortization is higher at the beginning). Another difference with a traditional mortgage is that, since it's a personal loan, you don't need a mortgaged home to qualify .
How the new credit works
Unlike a mortgage, personal loans are easier to process: " Approval can take just 48 hours ," says Senlle. The application process is completed online, and the bank requires basic documentation to demonstrate the project's viability.In the case of construction , the applicant must submit a construction estimate signed by a construction professional and the deed or purchase agreement for the land in their name. The loan can cover up to 75% of the estimate .
In the case of land purchases , a purchase reservation accepted by the seller must be presented . Financing up to 75% of the lot value is also available.
In addition to construction, the loan finances up to 75% of the purchase of a lot.zonaprop.com.ar
To qualify for the loan, a minimum income of $865,000 is required. A guarantor or co-signer can also be added to improve the credit rating. The bank also assesses that the requested amount does not exceed 100% of the total cost of the project and 50% of the estimated value of the property to be built .
"This product is aimed at those who already own a lot and want to build or are in the process of purchasing one. Often, there are lots or homes that don't qualify for a traditional mortgage, and this personal loan makes it easier to resolve," Senlle explains.
"There are many cases of clients who took out a mortgage at another bank, but then came to Ciudad to finance renovations with a personal loan ," he adds.
The new loan is presented as a more flexible option with fewer requirements than traditional mortgages , especially in a market where many homes are not formally registered or do not meet all the legal requirements for a mortgage. "Mortgage loans can be complex due to the agreements and deeds. With the staff, all of that is simplified," says Senlle.
It is important to clarify that this credit can be processed in all areas where Banco Ciudad operates, including the first belt of Greater Buenos Aires , La Plata , Pilar , Córdoba , Río Cuarto , Mendoza , Tucumán and Salta .
www.buysellba.com
