Salvadoran builders unable to sell homes

With a few days left before the end of 2008, there is concern about the inventory and little or no sale of houses in the market due to the credit restriction.

Thursday, December 18, 2008

Mario Rivera, president of the Salvadoran Chamber of the Construction Industry (Casalco), added that the companies still have apartments or houses and that "they are unable to sell them because there is no financing for family," and therefore run the risk that the builders will not be able to fulfill their commitments with the banks.

He explained that previously the companies would sell five units per month, but that now they are selling one or no at all. "It is highly unlikely that the units will be sold," he commented.

More on this topic

Salvadorans Demand More Used Housing than New

September 2010

Since 2008, more people have applied for loans to buy pre-owned homes than for new ones.

According to data from El Salvador's Social Housing Fund (FSV), in 2006 of 1,520 registered loans, 1,169 were for a new home. In 2008 the trend changed with more mortgage applications for pre-owned houses.

Salvadoran Housing Market Stagnant

August 2011

The restriction of loans for house purchase by banks, together with the lower demand for rentals is keeping the sector depressed.

According to estimates by the Salvadoran Chamber of Real Estate sales and rentals of houses have fallen by 40% since 2009.

An article in Elsalvador.com reports that José Ventura Salvadoran president of the Chamber of Real Estate (CSBR) said, "although the housing deficit totals 444,000 homes, according to the Department of Housing, 'restrictive policies and the strict criteria of the banks for loan approvals, even to customers who before the crisis were guaranteed approval, has reduced the number of Salvadorans who can afford a house. "

El Salvador: Social Housing Project Begins Sales Phase

June 2010

Grupo Salazar Romero started selling its “Cumbres de San Bartolo” project, with 600 social housing units.

Residences are being offered at an average price of $10.300, with financing available through the Social Housing Fund. The project is located in the Tonacatepeque municipality.

NO to Limited Mortgage Credit

February 2013

The Costa Rican Chamber of the Construction Industry has said that mortgage lending is an investment, not an expense, and therefore access should not be limited.

A statement from the Costa Rican Chamber of the Construction Industry (CCC) reads:

CCC MEETS WITH MINISTER AFTER MEASURES ANNOUNCED BY THE CENTRAL BANK

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Prime

Real Estate Investment Banking in Central America
Operates in Panama, Nicaragua, Honduras, Guatemala, El Salvador and Costa Rica
Phone: (506) 25820600

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