The dream of owning your own home is still the goal of millions of Brazilians. As this is a concern that also involves the Federal Government, several housing programs are developed and implemented throughout the country.

The new housing program entitled Casa Verde e Amarela (Green and Yellow House) came into effect in the first two months of 2021, replacing Minha Casa Minha Vida. Developed by the current president of the republic, Jair Bolsonaro, and his economic team, the proposal aims to provide housing for families in urban areas.

Would you like to know how to finance a property through Casa Verde e Amarela? Then keep reading this text for more information!

What is the Green and Yellow House program?

Managed by the Ministry of Regional Development (MDR) and funded by budget resources, such as housing funds and the FGTS (Guarantee Fund for Length of Service), the program aims to facilitate the population’s access to decent housing and a better quality of life.

Through the Green and Yellow House, it is possible to finance a property with differentiated conditions, but in accordance to the rules stipulated for the predetermined monthly income ranges of the families participating in the program. In addition, different payment conditions and interest rates are also offered.

The program is divided into three modalities that determine different specifications for each participating family: Track 1 (gross income up to 2 thousand reais), Track 2 (gross income up to 4 thousand reais) and Track 3 (gross income up to 7 thousand reais).

Different from Minha Casa Minha Vida, besides the acquisition of real estate properties, it is possible to carry out reforms with the credit lines available and land regularization, and families from rural areas with up to 84 thousand reais of annual income can participate.

The goal is to provide housing financing to 1.6 million low-income families, to regularize 2 million homes, and to improve 400,000 homes by 2024.

How to finance your own house with Casa Verde e Amarela

First of all, it is necessary to identify in which range your family income fits. It is worth remembering that the monthly family income cannot exceed the 7 thousand Reais mark. If you agree with this requirement, it is possible to contract individually or through a construction company.

There is still a third option, which is a contract with an organizing entity linked to a venture financed by Caixa Econômica Federal.

In this case, it is necessary to carry out a simulation to identify how much you will be able to invest. If you judge the proposal beneficial for your current financial situation, the next step is to hand in the necessary documentation at a Caixa branch or at a Caixa Aqui correspondent.

The Caixa itself will analyze your documentation and the documents of the chosen property, and, if approved, the bank will present the best financing conditions.

However, after analyzing the three contract alternatives and reaching a conclusion, it is time to sign. Caixa Econômica Federal points out different lines of credit for real estate financing with FGTS resources, check it out:

  • Properties in Planta: credit line for housing construction with financing aid for individuals;
  • Allocation of Resources: financing for entrepreneurs, individuals or companies, who work with their own or third-party resources;
  • Production Support: exclusive line for companies in the civil construction sector that seek to execute works quickly;
  • Civil Construction Company Plan: simpler financing aimed at companies that build residential projects.

The financing of housing in urban areas allows financing for the purchase of new, used, or under construction real estate. It is also possible to use the credit line for housing renovation.

The service is specialized, because the program operates in specific service stations, operating according to each type of financing, so that the processes are faster and safer, without the possibility of headaches in the future.

If you have any questions, Caixa Econômica Federal makes an exclusive channel available for clarifying doubts and providing information on other issues related to housing. The call is free on 0800 7216 268.

For more information related to housing financing and to the Green and Yellow House program, you can visit VRV’s blog.