The Housing Finance System

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    A. Primary Housing Finance Market

    A.1 Industry Structure and Performance
    VariableEnd of 2019End of 2018End of 2017SourcesVar ID
    Types of originating lenders/market share:A.1.2
    Universal/ commercial banks  42% of total
    Inter-American Development Bank
    		A.1.2.1
    Other depository institutions (savings and loans/mutual savings and credit institutions)  18% of total
    Inter-American Development Bank
    		A.1.2.2
    Are there (quasi) public mortgage lenders:  yes
    Inter-American Development Bank
    		A.1.4
    Universal/ commercial banks  yes
    Inter-American Development Bank
    		A.1.4.1
    Level of Non-Performing Mortgage Loans (90 days or more past due):A.1.6
    Average 1997-2007 A.1.7
    A.2 Size of Mortgage Finance Sector
    VariableEnd of 2019End of 2018End of 2017SourcesVar ID
    Total amount of home mortgage loans outstanding at the end of year in millions of USD:  8,425.92 USD (millions)A.2.1
    Total amount of home mortgage loans outstanding at the end of year as % of GDP (current)  15.93%A.2.1.1
    and as % of all credits outstanding  27.8%A.2.1.2
    Total # of home mortgage originations made in calendar year  26.74 thousand
    SUGEF
    		A.2.4
    A.3 Housing Finance Products
    VariableEnd of 2019End of 2018End of 2017SourcesVar ID
    Mortgage products as % of all mortgages (approx.) in local currency:A.3.1
    Variable rate/indexed  34%A.3.1.2
    Most prevalent type of foreign currency mortgage used:A.3.3
    Most frequent interest rates on fully amortizing:A.3.4
    Typical lender fees associated with mortgage origination: A.3.6
    as % of loan amount  2%A.3.6.2
    Typical third party fees associated with mortgage origination:A.3.7
    Loan-to-Value (LTV) on first mortgage: A.3.8
    Maximum LTV  100.00A.3.8.1
    Typical LTV at origination  90
    Various Sources
    		A.3.8.2
    Maximum term over which pmt is calculated?   40 yearsA.3.9
    Mortgage pmt-to-income ratio A.3.10
    A.4 Lending and Servicing Process
    VariableEnd of 2019End of 2018End of 2017SourcesVar ID
    Which institutions define underwriting rules? A.4.2
    A.5 Credit Risk Assessment
    VariableEnd of 2019End of 2018End of 2017SourcesVar ID
    Do credit bureaus exist?   yes
    Western Hemisphere Credit, Loan Reporting Initiative
    		A.5.2
    What percentage of mortgage originations use credit scoring?  100%
    CostaRica.com
    		A.5.1
    B. Funding Sources for Mortgages and the Secondary Mortgage Market
    VariableEnd of 2019End of 2018End of 2017SourcesVar ID
    What are the main funding sources for mortgages?B.1
    Retail funding (deposits/other)  primaryB.1.1
    Funding through mortgage bonds   secondaryB.1.3
    Funding through securitization of mortgages  tertiaryB.1.4
    Other   tertiaryB.1.5
    C. Housing Microfinance
    VariableEnd of 2019End of 2018End of 2017SourcesVar ID
    Types of lenders operating in the housing micro-finance (HMF) sector:C.2
    Level of NPLs (>90 days past due) in HMFC.4
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    Notes: 0.25% flat rate
    Notes: -12.93
    Notes: 2.5% of the stated price in the Notarized Transfer Deed
    Notes: BANHVI is a second-tier, government-owned bank that buys mortgage bonds from other lenders to facilitate private lending. SFNV (Sistema Financiero Nacional para la Vivienda) oversees some of the housing subsidy programs and administers which financial institutions receive less-costly funds to carry out the subsidies.
    Notes: BANHVI is a second-tier, government-owned bank that buys mortgage bonds from other lenders to facilitate private lending. SFNV (Sistema Financiero Nacional para la Vivienda) oversees some of the housing subsidy programs and administers which financial institutions receive less-costly funds to carry out the subsidies.
    Notes: BANHVI is a second-tier, government-owned bank that buys mortgage bonds from other lenders to facilitate private lending. SFNV (Sistema Financiero Nacional para la Vivienda) oversees some of the housing subsidy programs and administers which financial institutions receive less-costly funds to carry out the subsidies.
    Notes: BANHVI is a second-tier, government-owned bank that buys mortgage bonds from other lenders to facilitate private lending. SFNV (Sistema Financiero Nacional para la Vivienda) oversees some of the housing subsidy programs and administers which financial institutions receive less-costly funds to carry out the subsidies.
    Notes: BANHVI is a second-tier, government-owned bank that buys mortgage bonds from other lenders to facilitate private lending. SFNV (Sistema Financiero Nacional para la Vivienda) oversees some of the housing subsidy programs and administers which financial institutions receive less-costly funds to carry out the subsidies.
    Notes: Capital gains derived from habitual transactions are taxed at a flat rate of 30%
    Notes: Capital gains derived from habitual transactions are taxed at a flat rate of 30%
    Notes: Capital gains derived from habitual transactions are taxed at a flat rate of 30%
    Notes: IDB reports that mortgage-backed securities have existed in some form since the 1970s in Costa Rica, yet the size of this source of funding is almost negligible.
    Notes: One-time voucher available for households with income under 1,507,434 LCU (colón), or ~2,800 USD in 2015.
    Notes: One-time voucher available for households with income under 1,507,434 LCU (colón), or ~2,800 USD in 2015.
    Notes: Under special subsidy programs regulated by the Banco Hipoteca de la Vivienda: The principal of the loan does not exceed ninety-five percent (95%) of the appraised property to be mortgaged, but in special housing programs for low-income families, the Bank may allow funding of up to one hundred percent (100%) of assessed value (Banco al Hipoteca de la Vivienda).