The president of the Cibao Association of Home Builders and Developers (Aprocovici), Alejandro Fondeur, highlighted the relevance of the actions and measures from the financial sector and the government, to favor the access of Dominican families to decent housing and to strengthen the construction sector in the face of an uncertain economic context.
He reported that the year 2023 begins with two relevant events for the construction and housing industry. On the one hand, the General Directorate of Internal Taxes (DGII) announced the adjustment to the price of low-cost housing, going from $4.5 million pesos to $4,852,211.2.
¨ The increase represents 7.2% and reflects an adjustment motivated by accumulated inflation during the year 2022, which in practice moves the reference price of the home value to facilitate access to government and banking benefits, established Fondeur .
In addition, I quote the businessman, the Monetary Board of the Central Bank of the Dominican Republic authorized to channel legal reserve resources for loans for the construction and acquisition of low-cost housing.
The Monetary Board’s decision was recognized by the financial sector as a measure “of great economic and social impact, given the great benefits it represents for thousands of Dominican families who could materialize their dreams of having their own decent roof.”
The information was disclosed in Resolution Number DDG-AR1-2023-00001 of the General Directorate of Internal Taxes and states that this change is an adjustment to comply with Law Number 189-11 on the Development of the Mortgage Market and the Trust in the Dominican Republic on July 16, 2011.
The objective is to define by 2023 the maximum amount of the sale price of homes developed by low-cost housing trusts, so that buyers can opt for the bond, and the value exempt from transfer tax, acquired with mortgage loans .
According to a statement from the Association of Multiple Banks of the Dominican Republic (ABA), of the $21,424.4 million provided by the Central Bank for this purpose, $18,394.8 million were designated to multiple banks, of which 80% ( $14,715.8 million) will be used for housing construction and the remaining $3,769 million will be used to finance construction.
On this, Alejandro Fondeur, president of the Cibao Association of Home Builders and Developers (Aprocovici), highlighted the relevance of these actions and pointed out the need to continue working on a transversal agenda that serves the objective of promoting accessibility for families communities to decent housing and strengthen the construction sector in the face of an uncertain economic context.