AFP Withdrawal: how to use 25% of my funds to buy a home?

Are you looking to buy your first home? Undoubtedly, the dream of having their own home is one of the priority objectives of families. However, there are economic aspects that could limit this acquisition. Faced with this type of situation, you can have up to 25% of your accumulated fund in your AFP to pay the initial installment or repay the mortgage loan, according to Law No. 30478 that came into force in 2016. Next, take note of the requirements and steps to follow.

AFP withdrawal for home purchase: what are the requirements?

To access 25% of your accumulated fund in the Individual Capitalization Account (CIC), the Superintendency of Banking and Insurance (SBS) reports that you must meet the following requirements:

• Not be the owner of a property acquired in a personal capacity.
• Not owning a home under the community property regime.
• Not be a 50% or greater co-owner of a property registered in the Sunarp Land Registry.
• Not be the owner, individually or under a community property regime, of a mortgage loan or have the status of co-debtor based on 50% or a greater percentage, of a property registered in the Sunarp Land Registry.

AFP withdrawal for home purchase: what are the steps to follow?

According to information from the SBS, the AFP affiliate must know the exact value of their pension fund and follow these steps to request a 25% withdrawal:

• Go to the financial institution to request the mortgage loan and submit the Sunarp Property Index Search Report document. Immediately, your application will be evaluated and if it is approved, you will receive the pre-conformity document.
• With this document, ask your AFP to make available a percentage of your pension fund (up to 25%) and once your evaluation is favourable, it will send a communication of origin to the financial institution within a period of 10 business days.
• When the disbursement order has been received by the financial institution, the AFP will transfer 25% of the funds to the financial system account.
• In the case of two affiliates who are spouses, both have the right to request 25% of their pension fund, either for the purchase or repayment of the loan.

AFP withdrawal for home purchase: when can I not use this fund?

As we pointed out previously, the SBS explains that all AFP affiliates can withdraw up to 25% of their accumulated funds in the Individual Capitalization Account (CIC) in order to pay the initial installment of a first home or repay a loan. mortgage.

However, this law does not apply to the renovation, remodeling, expansion, improvement or subdivision of a property for the consolidation of the mortgage debt.

AFP withdrawal for home purchase: how many affiliates released 25%?

According to SBS figures, a total of 115,609 affiliates withdrew 25% of their AFP funds to buy a first property until April this year, which amounts to a value of S/3,446 million.

In this sense, 74,014 affiliates used the release of a quarter of their CIC for the repayment of a mortgage loan, while 41,595 did so for the payment of the initial installment.