Ministry of Housing will relaunch rental bonus before the end of the year

After the Housing Lease Bonus, better known as Young Income Bonusdid not have the expected impact since its launch in 2019, the Ministry of Housing, Construction and Sanitation (MVCS) will seek to relaunch this housing program focused on people who rent a property.

Hernán Navarro, vice minister of Housing and Urban Planning, told The Republic that the sector is working on a bill that will boost the rental housing market, as well as continue providing an economic subsidy so that families can rent a formal property.

“One way to cover the gap is not only by promoting the construction of new housing with the purchase and sale, but also by generating rentals. There are countries like Chile and Mexico, where they have greatly promoted rental housing. We are working with some regulatory changes that allow us to promote and relaunch the Income Bonusand also multifamily, which is a mechanism widely used in these countries to address and cover the gap,” said the official in dialogue with this medium.

The legislative initiative, which they hope to present before the end of the year, aims to make investment in rental housing real estate projects attractive, which today is very scarce because there are many barriers. In addition, the MVCS indicated that the amount of the Income Bonusas well as the profile of the potential beneficiaries of this subsidy.

“We are just reviewing everything: from the amount of the bonus, what it is like, the procedures, how it should be directed and why there are not enough incentives to be able to promote and generate this market. We are defining all these details in a very technical and detailed way to be successful. We are very committed to getting this out before the end of the year,” said Navarro Franco.