Housing Finance Policy

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A. Legal and Regulatory Framework

A.1 Legal and Regulatory Framework
VariableEnd of 2014End of 2013End of 2012SourcesVar ID
Basis of the legal system: Civil, Common, Islamic, Other? (Describe)CivilCivilCivil
CIA World Factbook
A.1.1
Are there specific laws that deal with mortgages? YesYesYes
Country Editor
A.1.2
Registration/Transfer of titles:A.1.3
Does the law clearly define different types of property rights?YesYesYes
SHF
A.1.3.1
 Are property rights easily transferable?YesYesYes
SHF; CONAVI
A.1.3.2
Identify barriers to the registration/ transfer of property title.Transaction costs, in case of court cases on estate issues, condominium rights and transfer Transaction costs, in case of court cases on estate issues, condominium rights and transfer Transaction costs, in case of court cases on estate issues, condominium rights and transfer
Country Editor
A.1.3.3
Typical number of days needed for the transfer of title747474
Country Editor
A.1.3.4
Can liens be effectively enforced?YesYesYes
Country Editor
A.1.4
Number of months until lender acquires the property in case of foreclosure on a single-family residential property? Not availableNot available
 
A.1.4.1
Cost of foreclosure process as a percentage of the value of a typical loan?  Not availableNot available
 
A.1.4.2
Main causes of inefficiencies (legal, judiciary, administrative, cultural, etc.) Not availableNot available
 
A.1.4.3
Are there legal constraints on the types of mortgage products that are permitted?YesYesYes
Country Editor
A.1.5
Are there legal constraints on mortgage features?YesYesYes
Country Editor
A.1.6
Interest rate capsNoNoNo
Country Editor
A.1.6.1
Loan-to-Value capNoNoNo
Country Editor
A.1.6.2
Payment-to-Income maximumYesYesYes
Country Editor
A.1.6.3
OtherNoNoNo
Country Editor
A.1.6.4
Are there consumer rights for mortgage lending? YesYesYes
Country Editor
A.1.7
Are there disclosure requirements for mortgage lending?YesYesYes
Country Editor
A.1.8
Is there specialized legislation covering:A.1.9
Issuance of covered mortgage bondsYesYesYes
Country Editor
A.1.9.1
Issuance of RMBSYesYesYes
Country Editor
A.1.9.2
B. Housing Finance Subsidies
B.1 Subsidies to Housing Finance Institutions
VariableEnd of 2014End of 2013End of 2012SourcesVar ID
Are there subsidized funding sources for mortgage lenders?YesYesYes
Country Editor
B.1.1
Special government lines of credit YesYesYes
Country Editor
B.1.1.1
Government supported liquidity facilityYesYesYes
Country Editor
B.1.1.2
Labor or other tax funds for mortgage lendingYesYesYes
Country Editor
B.1.1.3
Tax breaks on mortgage bonds or RMBSNoNoNo
Country Editor
B.1.1.4
Loss and/or cash flow guarantees for RMBSYesYesYes
Country Editor
B.1.1.5
OtherNoNoNo
Country Editor
B.1.1.6
Is the lending side of the housing finance system subsidized?YesYesYes
Country Editor
B.1.2
Shared credit risk through public/private mortgage insurance YesYesYes
Country Editor
B.1.2.1
Guarantees for mortgage loansYesYesYes
Country Editor
B.1.2.2
OtherNoNoNo
Country Editor
B.1.2.3
B.2 Subsidies to Households
VariableEnd of 2014End of 2013End of 2012SourcesVar ID
Are there subsidies to households on housing finance?YesYesYes
Country Editor
B.2.1
Interest rate subsidies by special government fundsYesYesYes
Country Editor
B.2.1.1
Buy-down of monthly/interest paymentsNoNoNo
Country Editor
B.2.1.2
Down-payment subsidies YesYesYes
Country Editor
B.2.1.3
Subsidies to savings for mortgage loansNoNoNo
Country Editor
B.2.1.4
Mortgage interest deductibility from income taxYesYesYes
Country Editor
B.2.1.5
OtherYesYesYes
Country Editor
B.2.1.6
Reach of subsidies in 2.1.1 to 2.1.4 ?B.2.2
What is the highest income decile targeted?6 decile6 decile6 decile
Country Editor
B.2.2.1
What is the lowest income decile targeted? 1 decile1 decile1 decile
Country Editor
B.2.2.2
What proportion of loans is affected by the subsidies in 2.1.1 to 2.1.4?31.64%21.42%17.81%
Country Editor
B.2.2.3
What proportion of loans on main residences is affected by the mortgage interest deductability in 2.1.5?30%30%30%
Country Editor
B.2.3
C. Taxation
VariableEnd of 2014End of 2013End of 2012SourcesVar ID
What taxes apply to Residential Real Estate?C.1
Tax on property (home-owners) YesYesYes
Country Editor
C.1.1
Property transaction taxes (purchase/selling)YesYesYes
Country Editor
C.1.2
Mortgage transaction taxesYesYesYes
Country Editor
C.1.3
Tax on mortgage interest pmtsYesYesYes
Country Editor
C.1.4
Tax on capital gains on property YesYesYes
Country Editor
C.1.5
Other Not availableNot available
 
C.1.6
Are there tax benefits on rental properties?NoNoNo
Country Editor
C.2
back to top | Country Data:
Notes: 15 years pesos loan; average loan size $2 million.
Notes: close to 100
Notes: Credits cofinanced between Infonavit and other FI
Notes: Credits cofinanced between Infonavit and other FI
Notes: IMF annual average principal exchange rate for 2010 (12.63 pesos = 1 USD)
Notes: Median quarter income times 4 divided by monthly average exchange rate. IMF annual average principal rate for 2007 - 10.95 pesos = 1 USD).
Notes: Most common ARM are indexed on Minimum wages (Infonavit)
Notes: Property registration processes has been improving for the last 6 years but the days haven't reduced.
Notes: 10 year fixed-rate bond.
Notes: 12.6%
Notes: 15 years pesos loan; average loan size $2 million.
Notes: 15 years pesos loan; average loan size $2 million.
Notes: 15 years pesos loan; average loan size $2 million.
Notes: 16.5%
Notes: 20.10%
Notes: 20.60%
Notes: 28 day TTIE
Notes: 28 day TTIE
Notes: 2nd and 3 deciles.
Notes: 4.9%, As percentage of the dwelling value.
Notes: 4.9%, As percentage of the dwelling value.
Notes: 5.2%, As percentage of the dwelling value.
Notes: 5.3%, As percentage of the dwelling value.
Notes: 5.3%, As percentage of the dwelling value.
Notes: 5.40%
Notes: 91-day cetes.
Notes: 91-day Treasury Bills.
Notes: 91-day Treasury Bills.
Notes: According to Infonavit, this is the lowest decile they reach; only 14% of households in this bracket can obtain a loan.
Notes: According to Infonavit, this is the lowest decile they reach; only 14% of households in this bracket can obtain a loan.
Notes: Annual average % change in median house prices. From 2005 to the updating year.
Notes: Annual average % change in median house prices. From 2005 to the updating year.
Notes: Annual average % change in median house prices. From 2005 to the updating year.
Notes: Annual average % change in median house prices. From 2005 to the updating year.
Notes: Annual average % change in median house prices. From 2005 to the updating year.
Notes: Annual average % change in median house prices. From 2005 to the updating year.
Notes: Annual average % change in median house prices. From 2005 to the updating year.
Notes: As in 1.4.1, and also includes borrowed dwellings, Intetstate/ disputed properties and other situations (eg Invaded).
Notes: As in 1.4.2 includes: borrowed dwellings; Intestate properties or in dispute and Other situations (eg Invaded).
Notes: Average dwelling unit size-existing housing.
Notes: Between 1%-5% depending on credit methodology
Notes: close to 100
Notes: close to 100
Notes: close to 100
Notes: CPP.
Notes: Credit Cooperatives offered them, but not currently.
Notes: Credit Cooperatives offered them, but not currently.
Notes: Credit Cooperatives offered them,but not currently.
Notes: Credit Cooperatives offered them,but not currently.
Notes: Credits cofinanced between Infonavit and other FI
Notes: Credits cofinanced between Infonavit and other FI
Notes: Differs by each state.
Notes: Differs by each state.
Notes: Differs by each state.
Notes: Differs by each state.
Notes: Financial institution funded by SHF
Notes: Financial institutions use their own credit scoring methods.
Notes: Financial institutions use their own credit scoring methods.
Notes: For loans on udis, 25 years and average loan of $377,000
Notes: For loans on udis, 25 years and average loan of $377,000
Notes: For the product called “Credimil” the subsidy includes a reward for savings, up to 8 times the minimum general wage.
Notes: For the product called “Credimil” the subsidy includes a reward for savings, up to 8 times the minimum general wage.
Notes: IFS note: "… weighted average yield on ten-year fixed rate government bonds. The yield is weighted by issuance amounts."
Notes: IFS note: "… weighted average yield on ten-year fixed rate government bonds. The yield is weighted by issuance amounts."
Notes: IFS note: "Lending rate indicator: Weighted average of amounts placed on the securities exchange at various terms with the yield curve calculated on commercial paper and stock certificates of qualified companies."
Notes: IFS note: "Lending rate indicator: Weighted average of amounts placed on the securities exchange at various terms with the yield curve calculated on commercial paper and stock certificates of qualified companies."
Notes: IFS note: "Weighted average rate paid to individuals on 60-day time deposits."
Notes: IFS note: "Weighted average rate paid to individuals on 60-day time deposits."
Notes: IMF annual average principal exchange rate for 2007 (10.93 pesos = 1 USD)
Notes: IMF annual average principal exchange rate for 2007 (10.93 pesos = 1 USD)
Notes: IMF annual average principal exchange rate for 2007 (10.93 pesos = 1 USD).
Notes: IMF annual average principal exchange rate for 2007 (10.93 pesos = 1 USD).
Notes: IMF annual average principal exchange rate for 2008 (11.14 pesos = 1 USD)
Notes: IMF annual average principal exchange rate for 2008 (11.14 pesos = 1 USD)
Notes: IMF annual average principal exchange rate for 2008 (11.14 pesos = 1 USD).
Notes: IMF annual average principal exchange rate for 2008 (11.14 pesos = 1 USD).
Notes: IMF annual average principal exchange rate for 2008 (11.14 pesos = 1 USD).
Notes: IMF annual average principal exchange rate for 2009 (10.93 pesos = 1 USD).
Notes: IMF annual average principal exchange rate for 2009 (13.50 pesos = 1 USD)
Notes: IMF annual average principal exchange rate for 2009 (13.50 pesos = 1 USD).
Notes: IMF annual average principal exchange rate for 2009 (13.50 pesos = 1 USD).
Notes: IMF annual average principal exchange rate for 2009 (13.50 pesos = 1 USD).
Notes: IMF annual average principal exchange rate for 2009 (13.50 pesos = 1 USD).
Notes: IMF annual average principal exchange rate for 2009 (13.50 pesos = 1 USD).
Notes: IMF annual average principal exchange rate for 2010 (12.63 pesos = 1 USD)
Notes: IMF annual average principal exchange rate for 2010 (12.63 pesos = 1 USD)
Notes: IMF annual average principal exchange rate for 2010 (12.63 pesos = 1 USD)
Notes: IMF annual average principal exchange rate for 2010 (12.63 pesos = 1 USD).
Notes: IMF annual average principal exchange rate for 2010 (12.63 pesos = 1 USD).
Notes: IMF annual average principal exchange rate for 2011 (12.44 pesos = 1 USD)
Notes: IMF annual average principal exchange rate for 2011 (12.44 pesos = 1 USD)
Notes: IMF annual average principal exchange rate for 2011 (12.44 pesos = 1 USD)
Notes: IMF annual average principal exchange rate for 2011 (12.44 pesos = 1 USD)
Notes: IMF annual average principal exchange rate for 2011 (12.44 pesos = 1 USD).
Notes: IMF annual average principal exchange rate for 2011 (12.44 pesos = 1 USD).
Notes: IMF annual average principal rate for 2007 (10.93 pesos = 1 USD)
Notes: IMF annual average principal rate for 2007 (10.93 pesos = 1 USD)
Notes: IMF annual average principal rate for 2008 (11.14 pesos = 1 USD)
Notes: IMF annual average principal rate for 2008 (11.14 pesos = 1 USD)
Notes: IMF annual average principal rate for 2009 (13.50 pesos = 1 USD)
Notes: IMF annual average principal rate for 2009 (13.50 pesos = 1 USD)
Notes: IMF annual average principal rate for 2010 (12.63 pesos = 1 USD)
Notes: IMF annual average principal rate for 2010 (12.63 pesos = 1 USD)
Notes: IMF annual average principal rate for 2011 (12.44 pesos = 1 USD)
Notes: IMF annual average principal rate for 2011 (12.44 pesos = 1 USD)
Notes: IMF end of period principal exchange rate for December 2007 (10.92 pesos = 1 USD).
Notes: IMF end of period principal exchange rate for December 2008 (13.83 pesos = 1 USD).
Notes: IMF end of period principal exchange rate for December 2009 (13.07 pesos = 1 USD).
Notes: IMF end of period principal exchange rate for December 2010 (12.37 pesos = 1 USD)
Notes: IMF end of period principal exchange rate for December 2011 (13.29 pesos = 1 USD)
Notes: IMF end of period principal exchange rate for December 2011 (13.85 pesos = 1 USD)
Notes: In 2008 they were mostly provided by SHF and only to Sofoles. For infonavit, government is the back up and they have a special program of "helping" people pay their credit in case of default.
Notes: In theory but there is no housing up for sale with a price low enough for this decile to buy.
Notes: Includes Infonavit, Fovissste, Banjercito, commercial banks, Sofoles and Sofomes; excludes cajas.
Notes: Includes Infonavit, Fovissste, Banjercito, commercial banks, Sofoles and Sofomes; excludes cajas.
Notes: Includes: banks, sofoles, sofomes, infonavit and fovissste. IMF annual average principal rate for 2007 (10.93 pesos = 1 USD)
Notes: Includes: banks, sofoles, sofomes, infonavit and fovissste. IMF annual average principal rate for 2008 (11.14 pesos = 1 USD)
Notes: Indexed on minimum wage.
Notes: Infonavit, Fovissste
Notes: Infonavit, Fovissste
Notes: It changes according to the income decile, 59% for the first three, 25% for deciles IV to VII and 15% for the last three.
Notes: It does not have the transactions paid in cash to the previous owner neither does it have the units not paid but transferred in property, summarizing it only counts housing acquisition with a mortgage.
Notes: It does not have the transactions paid in cash to the previous owner niether does it have the units not paid but transfered in property, summarizing it only counts housing acquisition with a mortgage.
Notes: It does not have the transactions paid in cash to the previous owner niether does it have the units not paid but transfered in property, summarizing it only counts housing acquisition with a mortgage.
Notes: It does not have the transactions paid in cash to the previous owner niether does it have the units not paid but transfered in property, summarizing it only counts housing acquisition with a mortgage.
Notes: It does not include the transactions paid in cash to the previous owner neither does it have the units not paid but transferred in property. This measure only counts housing acquisition with a mortgage.
Notes: It includes transactions by federal and regional entities, banks, and other financial institutions.
Notes: It includes transactions by federal and regional entities, banks, and other financial institutions.
Notes: It is not urban but national transactions. It only counts housing acquisitions.
Notes: It is not urban but national transactions. It only counts housing acquisitions.
Notes: It is not urban but national transactions. It only counts housing acquisitions.
Notes: It is not urban but national transactions. It only counts housing acquisitions.
Notes: It is not urban but national transactions. It only counts housing acquisitions.
Notes: It used to be but Credimil is not longer on operation.
Notes: Labor taxes: 58.00%
Notes: Labor taxes: 58.20%.
Notes: Market share using total amount of home mortgage loans in Mexican pesos.
Notes: Median quarter income times 4 divided by monthly average exchange rate. IMF annual average principal rate for 2008 - 11.17 pesos = 1 USD).
Notes: Microcredit and long-term credit lines.
Notes: Microcredit and long-term credit lines.
Notes: Microcredit and long-term credit lines.
Notes: Microcredit and long-term credit lines.
Notes: Most common ARM are indexed on Minimum wages (Infonavit)
Notes: Most common ARM are indexed on Minimum wages (Infonavit)
Notes: Most common ARM are indexed on Minimum wages (Infonavit)
Notes: National income.
Notes: National Percentage.
Notes: National Percentage.
Notes: National Percentage.
Notes: National Percentage. Preliminary data
Notes: National Percentage. The number can be obtained every two years with the Income and Spending National Survey; this one is an estimate for 2009.
Notes: Non-payment guarantee and Mortgage Credit Insurance.
Notes: Non-payment guarantee and Mortgage Credit Insurance.
Notes: Non-payment guarantee and Mortgage Credit Insurance.
Notes: Non-payment guarantee and Mortgage Credit Insurance.
Notes: Only the loans made by banks and sofoles,.
Notes: Only the loans made by banks and sofoles.
Notes: Only the loans made by banks and sofoles.
Notes: Only the ones of banks and Sofoles.
Notes: Overnight rate target.
Notes: People with incomes up to 5 times the minimum general wage; 94% of subsidies linked to credit are used by the 3 or 4 minimum general wage group, 0.22% by by the 2 minimum general wage group.
Notes: People with incomes up to 5 times the minimum general wage; 94% of subsidies linked to credit are used by the 3 or 4 minimum general wage group, 0.22% by the 2 minimum general wage group.
Notes: People with incomes up to 5 times the minimum general wage; 94% of subsidies linked to credit are used by the 3 or 4 minimum general wage group, 0.22% by the 2 minimum general wage group.
Notes: People with incomes up to 5 times the minimum general wage; 94% of subsidies linked to credit are used by the 3 or 4 minimum general wage group, 0.22% by the 2 minimum general wage group.
Notes: Please visit the Research Center or download the full data sets for 2006 data.
Notes: Please visit the Research Center or download the full data sets for 2006 data.
Notes: Please visit the Research Center or download the full data sets for 2006 data.
Notes: Please visit the Research Center or download the full data sets for 2006 data.
Notes: Preliminary data
Notes: preliminary data
Notes: preliminary data
Notes: Preliminary data
Notes: Preliminary data
Notes: Preliminary data
Notes: Preliminary data
Notes: Preliminary data. US Dollars.
Notes: Premium PMT for mortgage insurance.
Notes: Premium PMT for mortgage insurance.
Notes: Property registration processes has been improving for the last 4 years but the days haven't reduced.
Notes: Property registration processes has been improving for the last 4 years but the days haven't reduced.
Notes: Property registration processes has been improving for the last 5 years but the days haven't reduced.
Notes: Provident funds: Infonavit and Fovisste
Notes: Provident funds: Infonavit and Fovisste
Notes: Provident funds: Infonavit and Fovisste
Notes: Provident funds: Infonavit and Fovisste
Notes: Reference rate with a maximum and minimum rate
Notes: Reference rate with a maximum and minimum rate
Notes: Residents in Mexico: 85% of interests over any investment instrument and 4.9% for those living outside Mexico.
Notes: Residents in Mexico: 85% of interests over any investment instrument and 4.9% for those living outside Mexico.
Notes: Residents in Mexico: 85% of interests over any investment instrument and 4.9% for those living outside Mexico.
Notes: Residents in Mexico: 85% of interests over any investment instrument and 4.9% for those living outside Mexico.
Notes: SHF
Notes: SHF Estimate, but there are more without regulation,
Notes: SHF Estimate.
Notes: SHF estimate.
Notes: Sofoles y Sofomes all use MI with SHF in order to reduce the capital requirements; Banks mainly when producing RMBS.
Notes: Sofoles y Sofomes all use MI with SHF in order to reduce the capital requirements; Banks mainly when producing RMBS.
Notes: The number can be obtained every two years with the Income and Spending National Survey, this one is an estimate for 2009.
Notes: The number can be obtained every two years with the Income and Spending National Survey, this one is an estimate for 2009.
Notes: The previous guarantee became Mortgage Insurance.
Notes: The previous guarantee became Mortgage Insurance.
Notes: The previous guarantee became Mortgage Insurance.
Notes: The previous guarantee became Mortgage Insurance.
Notes: The previous guarantee became Mortgage Insurance.
Notes: The previous guarantee became Mortgage Insurance.
Notes: The previous guarantee became Mortgage Insurance.
Notes: The primary auction 10 year fixed rate bond
Notes: The primary auction 10 year fixed rate bond
Notes: There is no public housing in Mexico.
Notes: There is no public housing in Mexico.
Notes: There is no public housing in Mexico.
Notes: There is no public housing in Mexico.
Notes: There is no public housing in Mexico.
Notes: There is no public housing in Mexico.
Notes: There is no public housing in Mexico.
Notes: This is a flat rate.
Notes: This is a flat rate.
Notes: This percent is typical for Sofomes / Sofoles
Notes: This percent is typical for Sofomes / Sofoles
Notes: This percent is typical for Sofomes / Sofoles
Notes: This percent is typical for Sofomes / Sofoles
Notes: Unoccupied of total stock=30.5 mill. National percentage. Only available for census year 2010
Notes: Usually not a fixed amount, but as a % of the loan.
Notes: Usually not a fixed amount, but as a % of the loan.
Notes: Usually not a fixed amount, but as a % of the loan.
Notes: Usually not a fixed amount, but as a % of the loan.
Notes: Various rent free arrangements
Notes: With the exclusion of the interest rate subsidies through Infonavit and Fovissste (bringing the total closer to 80%).
Notes: With the exclusion of the interest rate subsidies through Infonavit and Fovissste (bringing the total closer to 80%).