The number of approved applications for Chile’s mortgage interest rate subsidy has exceeded the program’s original cap, according to reports from La Tercera.
The legislation, promulgated in May 2025, established a limit of 50,000 slots for the subsidy scheme designed to boost home ownership and support the construction industry.
Current data indicates that approved operations have now surpassed 51,000, although the final count of disbursed funds depends on the completion of property sales transactions.
The oversubscription highlights the persistent demand for affordable housing finance in Chile, where high borrowing costs have historically constrained market activity.
The subsidy program was introduced to lower the effective interest rates for borrowers, thereby stimulating demand in the residential real estate sector.
With approvals outpacing the initial legislative allocation, authorities may face pressure to evaluate whether to expand the program’s scope or allocate additional resources to meet the unmet demand.