Ecuador President Noboa Reforms Social Housing Regulations

President Daniel Noboa has signed Executive Decree No. 441, reforming the regulations for Social and Public Interest Housing. This decree aims to modernize the housing sector by updating segments, state subsidies, and preferential mortgage credit limits. It also introduces new requirements for beneficiaries in emergency situations and sets deadlines for technical standards.

The reform maintains the classification of social interest housing into three segments based on value and financing. The first segment offers 100% state subsidy for individuals in poverty or vulnerability, divided into two categories: those on owned land (up to 54 SBU) and those on state land (up to 74 SBU, including urbanization costs).

The second segment covers housing up to 135 SBU, eligible for partial state subsidies and preferential mortgage loans, with an option for rent-to-own. The third segment is for housing up to 178 SBU, financed through preferential interest rate mortgages.

Key changes include a maximum subsidy of 54 SBU for housing on owned land and 74 SBU on state land in the first segment. If state land was acquired by the government, its cost is included in the total housing value. The decree also sets the partial subsidy for the second segment at a maximum of 21 SBU, with a 30-year mortgage term. This segment will also include parking and storage as part of the total property value.