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Nation Bank launches loans for real estate developments: what will be the term and the rate? - Infobae
Source:
www.infobae.com
July 16, 2024
The public entity started with this line that has been very well received by the sector, which had been demanding access to funds to promote the construction of housing.
By Jose Luis Cieri
Developers will now be able to apply for loans to continue building homes in CABA and throughout the country
Within the framework of the “+Hogares” program, the president of Banco Nación, Daniel Tillard , presented a new line of credit for construction and development companies, which finances 100% of the total investment. With the objective of promoting the growth of the sector and following the premise that “Without a home there is no family and without a family there is no Nation”, initiated with mortgage loans, the entity offered this financing tool to entrepreneurs and representatives of the real estate sector.
This measure has been very well received by the sector, which had been demanding access to funds to boost housing construction. Most of these projects depend on the private sector and have recently been affected by the increase in construction costs, which are no longer at historic levels as they were 28 months ago.
According to the Association of Construction SMEs (Apymeco), its index confirmed that in June the value of m2 was $1,395,906.39, with a monthly increase of 3.92% and an interannual increase of 260.73%, beginning to slow down in line with the drop in inflation.
"After launching mortgage loans , we are now focused on meeting the demand for credit for the supply," said Tillard, along with the vice president of Banco Nación, Darío Wasserman ; the director, Alejandro Henke ; the general manager, Carlos Rovetto ; and the senior deputy general manager of business, Gastón Álvarez .
Tillard said that “the promise to combat inflation must be accompanied by the commitment of Banco Nación to expand credit for the benefit of Argentines.”
The new loans are aimed at builders and real estate developers with proven experience. The bank will finance up to 100% of the investment, including the construction of commercial premises, provided that 70% of the constructed surface is suitable for financing through current mortgage loans.
The conditions include a term of 72 months, an interest rate of BADLAR + 4 pp TNA, a grace period of 12 months after the last construction milestone without exceeding 48 months, and a construction period of up to 36 months.
The provinces with the highest demand for credit were Buenos Aires (27.64%), CABA (22.12%), Córdoba (9.86%), Santa Fe (8.31%) and Mendoza (7.26%).
The official launch of credits for private developers and builders was held at the Banco Nación headquarters
To encourage access to mortgage loans, the bank invites more municipalities to follow the example of the mayor of General Pueyrredón, Guillermo Montenegro , who proposed exempting from the Technical Construction Services Tax (TSTC) the remodeling, expansion or new construction projects for single-family homes, financed totally or partially through loans from the institution.
For businessmen in the sector, this is great news from Banco Nación: Developers have already submitted applications for financing. This scheme can make a significant difference in the pace of construction, which has been affected by high costs.
Although there are precedents, such as Banco Ciudad and some private entities, which have financed projects, they do not finance up to 100% of the costs. “We know that developers are preparing their projects to present and take advantage of this opportunity. Banco Nación made a bold decision that promises to revitalize the real estate sector,” Tabakman added.
The segment maintains that the latest measures taken by public and private banks are going in the right direction and favor the entrepreneurial sector as well as people seeking to access housing.
The new line offers full project financing for 72 months at a competitive rate, facilitating access to credit for experienced builders and encouraging the growth of the sector and the housing supply.
Andrea Borges Do Canto , executive director of Alianza Urbana, commented that the new line of credit from Banco Nación for real estate developments is a significant boost for the real estate market. “Several legal factors, guarantees and endorsements must be taken into account in order to qualify.”
Compared to other countries such as Spain, Paraguay, Mexico and Uruguay, these loans have stimulated housing construction, increasing the supply of properties and stabilizing market prices.
Do Canto highlighted the importance of these programs in fostering a healthy economic environment. “Banco Nación’s measure, under the “+Hogares” program, strengthens the capacity of developers for diverse projects, including commercial premises, boosting the economy and employment. It is expected that in the future new lines of credit will emerge with even better conditions, promoting green and sustainable real estate developments and responsible economic growth,” he added.
The market is experiencing good news after a prolonged crisis that lasted more than 5 years. The reintroduction of mortgage loans also generates hope.
Gonzalo Bustos , director of FOT Libre Terrenos, mentioned that in the city of Buenos Aires it will be crucial to know the final text of the change that will be applied to the Urban Planning Code of the city in order to clearly see how it will be built in the immediate future. “But the credits launched by Banco Nación for real estate developments are a great initiative. This action adds to the series of recent announcements, such as the mortgage credits launched by public and private banks.
Bustos also indicated that the money laundering, which will be implemented shortly, completes the three big news items of the year for the real estate sector. Expectations are high, since these initiatives could significantly boost the market, in a context where the lifting of the pact on zoning and in each of the neighborhoods remains a pending issue.
“The last vital measure for the sector would be the lifting of the exchange rate restrictions. We understand that the Government is doing everything possible to implement it when the conditions are met, but this will be essential to boost construction and people's access to housing,” concluded Bustos.
www.buysellba.com
Source:
El Banco Nación lanza créditos para desarrollos inmobiliarios: cuál será el plazo y la tasa
La entidad pública arrancó con esta línea que ha sido muy bien recibida por el sector, que venía reclamando acceso a fondos para impulsar la construcción de viviendas
www.infobae.com
July 16, 2024
The public entity started with this line that has been very well received by the sector, which had been demanding access to funds to promote the construction of housing.
By Jose Luis Cieri
Developers will now be able to apply for loans to continue building homes in CABA and throughout the country
Within the framework of the “+Hogares” program, the president of Banco Nación, Daniel Tillard , presented a new line of credit for construction and development companies, which finances 100% of the total investment. With the objective of promoting the growth of the sector and following the premise that “Without a home there is no family and without a family there is no Nation”, initiated with mortgage loans, the entity offered this financing tool to entrepreneurs and representatives of the real estate sector.
This measure has been very well received by the sector, which had been demanding access to funds to boost housing construction. Most of these projects depend on the private sector and have recently been affected by the increase in construction costs, which are no longer at historic levels as they were 28 months ago.
According to the Association of Construction SMEs (Apymeco), its index confirmed that in June the value of m2 was $1,395,906.39, with a monthly increase of 3.92% and an interannual increase of 260.73%, beginning to slow down in line with the drop in inflation.
"After launching mortgage loans , we are now focused on meeting the demand for credit for the supply," said Tillard, along with the vice president of Banco Nación, Darío Wasserman ; the director, Alejandro Henke ; the general manager, Carlos Rovetto ; and the senior deputy general manager of business, Gastón Álvarez .
Tillard said that “the promise to combat inflation must be accompanied by the commitment of Banco Nación to expand credit for the benefit of Argentines.”
The new loans are aimed at builders and real estate developers with proven experience. The bank will finance up to 100% of the investment, including the construction of commercial premises, provided that 70% of the constructed surface is suitable for financing through current mortgage loans.
The conditions include a term of 72 months, an interest rate of BADLAR + 4 pp TNA, a grace period of 12 months after the last construction milestone without exceeding 48 months, and a construction period of up to 36 months.
Mortgage credit effect
Since the launch of “+Hogares con Banco Nación”, the entity has received 28,666 applications for an average amount of $81,000,000, of which 19,438 were for purchase, 2,693 for second homes, 2,847 for construction, 2,883 for completion and 805 for home change.The provinces with the highest demand for credit were Buenos Aires (27.64%), CABA (22.12%), Córdoba (9.86%), Santa Fe (8.31%) and Mendoza (7.26%).
The official launch of credits for private developers and builders was held at the Banco Nación headquarters
To encourage access to mortgage loans, the bank invites more municipalities to follow the example of the mayor of General Pueyrredón, Guillermo Montenegro , who proposed exempting from the Technical Construction Services Tax (TSTC) the remodeling, expansion or new construction projects for single-family homes, financed totally or partially through loans from the institution.
Good repercussions
The construction sector welcomed this measure. Damián Tabakman , president of the Chamber of Urban Developers (CEDU), expressed his satisfaction with the initiative to Infobae : “I approached them at the presentation, of course, congratulated them and thanked them for taking the initiative to launch a line of financing for real estate developments. The line they are bringing is interesting, it has a particularly powerful element since they finance 100% of the cost of the work, something that is not usual in other lines of credit.”For businessmen in the sector, this is great news from Banco Nación: Developers have already submitted applications for financing. This scheme can make a significant difference in the pace of construction, which has been affected by high costs.
Although there are precedents, such as Banco Ciudad and some private entities, which have financed projects, they do not finance up to 100% of the costs. “We know that developers are preparing their projects to present and take advantage of this opportunity. Banco Nación made a bold decision that promises to revitalize the real estate sector,” Tabakman added.
The segment maintains that the latest measures taken by public and private banks are going in the right direction and favor the entrepreneurial sector as well as people seeking to access housing.
The new line offers full project financing for 72 months at a competitive rate, facilitating access to credit for experienced builders and encouraging the growth of the sector and the housing supply.
Andrea Borges Do Canto , executive director of Alianza Urbana, commented that the new line of credit from Banco Nación for real estate developments is a significant boost for the real estate market. “Several legal factors, guarantees and endorsements must be taken into account in order to qualify.”
Compared to other countries such as Spain, Paraguay, Mexico and Uruguay, these loans have stimulated housing construction, increasing the supply of properties and stabilizing market prices.
Do Canto highlighted the importance of these programs in fostering a healthy economic environment. “Banco Nación’s measure, under the “+Hogares” program, strengthens the capacity of developers for diverse projects, including commercial premises, boosting the economy and employment. It is expected that in the future new lines of credit will emerge with even better conditions, promoting green and sustainable real estate developments and responsible economic growth,” he added.
The market is experiencing good news after a prolonged crisis that lasted more than 5 years. The reintroduction of mortgage loans also generates hope.
Gonzalo Bustos , director of FOT Libre Terrenos, mentioned that in the city of Buenos Aires it will be crucial to know the final text of the change that will be applied to the Urban Planning Code of the city in order to clearly see how it will be built in the immediate future. “But the credits launched by Banco Nación for real estate developments are a great initiative. This action adds to the series of recent announcements, such as the mortgage credits launched by public and private banks.
Bustos also indicated that the money laundering, which will be implemented shortly, completes the three big news items of the year for the real estate sector. Expectations are high, since these initiatives could significantly boost the market, in a context where the lifting of the pact on zoning and in each of the neighborhoods remains a pending issue.
“The last vital measure for the sector would be the lifting of the exchange rate restrictions. We understand that the Government is doing everything possible to implement it when the conditions are met, but this will be essential to boost construction and people's access to housing,” concluded Bustos.
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