If you’re thinking about investing in or buying your first home, you may be wondering: What is the new subsidy offered by the National Government for Non-VIS housing financing? At Mendebal, we’ve got you covered.

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WHAT IS THE NON-VIS SUBSIDY?

This benefit provides a fixed monthly coverage of $454,263 COP, which is applied to the current interest on your mortgage. The subsidy applies during the first 7 years (that is, the first 84 payments of your home), which is equivalent to 42 minimum wages, representing a total benefit of $38,152,092 COP for obligations disbursed in 2021.

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The subsidy is granted at the time of the mortgage disbursement or the start of a Housing Leasing contract. It applies only to current interest payments and does not cover other concepts such as late fees or principal.

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CONDITIONS TO QUALIFY

To access this benefit, both you and your desired home must meet the following:

• All families can access the subsidy, regardless of income level.
• Available for first-time homebuyers or current homeowners in the country.
• Applies to the purchase of new urban housing with a commercial value not exceeding 500 SMMLV (around $454.263 million COP, based on 2020 SMMLV).
• Families who have previously received an interest rate subsidy from the National Government cannot access this new subsidy.

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HOW DOES THE SUBSIDY WORK?

Example application:

• Commercial appraisal: $220,000,000 COP (below 500 SMMLV)
• Term: 20 years
• Monthly payment: $1,372,000 COP
• Subsidy: $454,263 COP
• Monthly payment after subsidy: $917,737 COP for the first 7 years

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HOW TO APPLY

Applicants must submit the Non-VIS Subsidy Application Form along with their mortgage or Housing Leasing application. This form will be provided by the bank managing your mortgage.

• The subsidy is assigned at the time of disbursement and depends on available quotas.
• Only applies to new disbursements, not existing loans.

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CAN CURRENT HOMEOWNERS APPLY?

Yes, homeowners can apply without restrictions. For 2021 and 2022, the National Government allocated 16,000 spots for current homeowners and 24,000 spots for non-owners.

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DOES IT APPLY TO USED HOUSING?

No, the subsidy is only for new urban housing.

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DOES IT APPLY TO OFF-PLAN PURCHASES?

Yes, as long as the mortgage disbursement or Housing Leasing contract meets the requirements and spots are available.

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HOW MANY TIMES CAN YOU RECEIVE THIS BENEFIT?

Only once.

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WHY COULD YOU LOSE THE SUBSIDY?

The subsidy may be lost due to:

• Being late on three consecutive payments. Coverage is lost the day after the last missed payment.
• Paying off the mortgage or leasing contract early.
• Assignment of the credit by the borrower.
• Acceleration of the loan term as stipulated in the contract.
• Any other cause established by the National Government.

Now that you know everything about the Non-VIS Subsidy, it’s time to visit our VIRTUAL SALES OFFICE by clicking HERE and choose the home or apartment of your dreams.

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