The government decided to strengthen and even bring forward support to households with home loans due to the rapid and sharp increase in interest rates. The new conditions for access to the interest subsidy measure referred to in the 2024 state budget proposal will come into force this Thursday, retroactive to January 1, according to the legal decree published yesterday in Diário da República. These rules expand the universe of potential beneficiaries, as well as the amount of interest paid by the state. Families can now go to the banks where they took out the loan and check the interest rate under the new regime. The Board estimates that approximately 200,000 home loan contracts are eligible for this support.
Of the changes to the interest subsidy measure included in the 2024 budget proposal, the highlight is the increase in the maximum annual support amount to 800 euros, which could mean a reduction in a family’s monthly costs by 66 euros, but which will only come into effect next year. In other words, this amount has no retroactive effect. Anyone who uses the interest subsidy this year will receive a maximum of 720 euros, as stated in the previous diploma.
In the OE2024 proposal, the State will start subsidizing 100% of the interest above 3% for families with an effort rate above 50% (previously this was 75%) and 75% for an effort rate between 35 and 50% (previously this was 50%). The document clarifies that the bonus now applies to the difference between the contract index (reference rate) and the 3% threshold. To access the measure that allows a reduction in the monthly payment, taxpayers must earn an income up to the 6th IRS bracket (up to 38,632 euros in 2023) and have a financial asset lower than 62 IAS Social Support Index (29,786.70 euros in 2023). . The interest subsidy, which has an estimated cost of 200 million euros in the budget, is intended for taxpayers with credit contracts with variable or mixed interest in a variable interest period, entered into until March 15, 2023, and for a maximum amount of 250 thousand euros. .
24 month reduction
The same diploma, Legislative Decree No. 91/2023, contains the conditions under which mortgage loan holders can reduce and stabilize the repayment for a period of two years. Thanks to this measure approved in September, families can pay a monthly amount, calculated on the basis of 70% of the 6-month Euribor, plus the contractually provided spread, for a period of up to 24 months. Although the law comes into effect today, it will not come into force until November 2.
It should be noted that the difference between the benefit due and the benefit resulting from the adoption of these rules will have to be settled later. According to the OE2024 proposal, the loan will resume contractual values after the shortened repayment period. Repayment of the deferred amount begins four years after the end of this support, with payment spread over the remaining term of the loan.
Membership does not entail any change in the loan conditions, either in terms of term or spread. The amount owed also does not increase, so the installment amount may need to increase to cover the interest owed during the period. With no commission or fees, families are free to pay off the debt in advance. This measure is intended for people with a permanent housing loan, with variable interest or mixed interest in a variable interest period, entered into until March 15, 2023 and with a remaining term equal to or longer than five years.
Please note that until the end of 2024, no commission will have to be paid for early repayment on home loans, which amounts to approximately 0.5% of the amortized capital, for home loan contracts with a variable interest rate or which, after being entered into at a mixed interest rate , are in a variable interest period.
Sónia Santos Pereira is a journalist for Dinheiro Vivo
Source: DN
