Construction of social housing

PATRICIO FUENTES Y. Comments DIRECTOR: To reactivate construction and employment, the Treasury has promoted relevant measures, such as the temporary VAT exemption for new homes. However, these primarily benefit private housing. Social housing has been left aside. The 2027 Budget confirms this: Minvu is growing by only 1.8%. Twenty-five thousand DS49 subsidies are contemplated, but at current costs, they only cover about 14,500 homes, and 22 thousand DS19, one of the lowest levels in its history. How will the government's goal of 400,000 housing solutions be met under these conditions? Added to this is the end of the Special Credit for Construction Companies (CEEC), which would increase the cost of subsidized housing by around 10%. Since the State sets the price, this increased cost cannot be passed on, and many DS19 and DS49 projects would become unviable. Furthermore, a memorandum seeks to shift the financing of DS49 works to commercial banks, which currently hardly finance them. The risk is that they will be paralyzed. We still have time to correct course. To do so, the Treasury must coordinate with Minvu and listen to those who build and finance social housing. Because social housing is not just a budgetary item: it is investment, employment, and the opportunity to change the lives of more than 500,000 families who dream of owning a home. Carlos Marambio Executive Director of the Association of Social Housing Developers More on: Employment Housing Solutions Resources