Mortgage Rate Subsidy (Ley 21.748)
Ley 21.748 takes 60 basis points off the rate on a mortgage for a new home in Chile. Work out your final rate and the saving across the life of the loan.
Rate subsidy calculator
The rate before the subsidy. To qualify it may not exceed the Reference Interest Rate for the month the loan is commercially approved.
Inflation-indexed operations in local currency, one year or more, above 2,000 UF. Published by CMF as of July 15, 2026.
Calculated over 25 years of benefit.
Peso amounts use a UF of CLP 40,844.79, in force on August 3, 2026.
Loans with this subsidy can only be applied for until May 29, 2027. Applications registered within the window may still be executed within the following 3 months.
Requirements
- • It must be the first sale of the home.
- • The home value may not exceed 4,000 UF.
- • Value is taken as the lower of the lender’s appraisal and the purchase price.
- • You must meet the requirements of the Apoyo a la Vivienda Nueva guarantee programme (Fogaes).
- • Parking space and storage may be included if the total stays under 4,000 UF.
Exclusions
- • Sales under promise agreements signed before 31 December 2024.
- • Novated mortgages.
- • Refinancing or switching lender ends the benefit on the new loan. Renegotiating with the same lender keeps it.
Reference Interest Rate
To apply the subsidy, the unsubsidised rate may not exceed the Reference Interest Rate for the month the loan is commercially approved. The Ministry of Finance sets it monthly from the BTU-10 and market spreads.
| Banks | 4.47% |
| Credit unions | 4.76% |
| Mortgage administrators | 5.38% |
| Other institutions | 5.38% |
⚠️ These are the TRANSITIONAL rates set on June 9, 2025, in force only until the first resolution under article 13. The Ministry updates them monthly, so they are not today’s reference — confirm the current one with your lender.
Indicative calculation based on Ley 21.748 and its regulation (Decreto exento N° 180 de 2025, Ministerio de Hacienda). Not an offer or a credit approval.
How the rate subsidy works
Ley 21.748 created a subsidy that cuts 60 basis points (0.60%) off the interest rate on a mortgage used to buy a newly built home. If the bank offers 5%, you pay 4.40%.
The discount lasts for the whole loan, up to 30 years. This is the most misread part: the law’s 24-month clock is for applying, not for receiving the benefit. That is why 60 basis points, which look trivial monthly, become hundreds of UF over the life of the loan.
The subsidy is granted together with the Garantía Apoyo a la Vivienda Nueva from the Fondo de Garantías Especiales (Fogaes), created by Ley 21.543. It is not standalone: no guarantee, no subsidy.
The rules require the entire subsidy to reach the buyer as a rate discount, and the loan contract must state the unsubsidised rate and the subsidised rate separately.
Frequently asked questions
How much does this subsidy cut the rate?
60 basis points, that is 0.60 percentage points. If the bank offers 5%, you pay 4.40%. The rules require the full discount to reach the buyer.
How long does the benefit last?
The whole life of the loan, up to 30 years. The law’s 24-month clock is for applying, not for receiving the discount — the most common misunderstanding about this subsidy.
Until when can I apply?
Until 29 May 2027, 24 months after the law was published. Applications registered inside that window may be executed up to three months later.
Does it work for a used home?
No. It applies only to the first sale of a new home, meaning one that has not been sold before.
Do I lose the subsidy if I switch banks?
Yes. On refinancing or portability the benefit ends for the new loan. Renegotiating with your existing lender keeps it.
Can it be combined with the D.S. 1 housing subsidy?
They are different benefits: D.S. 1 contributes an amount towards the purchase, this one discounts the loan rate. Each has its own requirements, and this one also needs the Fogaes Apoyo a la Vivienda Nueva guarantee. Confirm your case with the lender.
More tools in Chile
D.S. 1 Housing Subsidy
What the Chilean D.S. 1 subsidy pays by tramo and geographic zone, in UF and in today pesos.
Mortgage rates by bank
Compare the rate and the CAE of Chilean mortgages bank by bank, using the CMF's official simulator.
What is my property worth?
Estimate your home's market value with real data from comparable listings in your area.
How much can I rent my property for?
Estimate the monthly rent for your house or apartment with real data from comparable rentals in your area.
Official sources
The conditions on this page were read from the regulation published in the Diario Oficial.
Conditions verified on 1 August 2026 against Decreto exento N° 180 de 2025, Ministerio de Hacienda.