What the Government proposes to reduce the housing deficit

Despite the increases in the cost of construction, which stopped some projects, the market predicts that 2025 is coming with good expectations.

In this regard, in a context where there are more credit possibilities that make it easier to own your own home, the Ministry of Industry and Commerce held the Industrialized Construction, Resource Efficiency and Energy Conference in which national officials and sector leaders participated. They spoke about new ways of constructing homes and buildings.

Rodrigo Aybar, Secretary of Territorial Development, Habitat and Housing, opened the day explaining that Argentina remains deeply rooted in traditional methods of construction and that is why the country is experiencing an alarming housing deficit that reaches 3.5 million homes. Of that figure, almost 65% comprise homes with precarious infrastructure or lacks in essential basic services, according to a study by the Argentine Chamber of Construction (Camarco).

The return of mortgage credit, a boost for the sector

To alleviate this problem, the Government shows that with the return of the mortgage creditthe deficit will tend to decrease over time. “The role of Housing cannot be carried out if it is not through the private sector, through investment, and through people being able to have access to credit, which for us is the backbone of any housing policy,” said Aybar. , who also called to modernize the sector by adopting the construction industrialized, which consists of building from a plant and moving it to be assembled on site.

Aybar also defended DNU 1017, signed last month by President Javier Milei and which allows the purchase of apartments in a well: “What this DNU seeks is to create financing tools to generate mortgage loans for what is new and not used.” According to the Business Chamber of Urban Developers (CEDU), this new scenario presents a favorable outlook for the reactivation of the sector.

Currently, there are 22 banks that offer mortgage loans and, according to data provided by the College of Notaries of the City of Buenos Aires, loans represented 14% of the deeds carried out in the month of September. In general terms, banks provide financing for 75% of the value of the property as long as the initial payment does not exceed 25% of the family group’s income.

The combination of available credits and the option to acquire with financing a property that is still being built can encourage the start of new projects and give a great boost to the sector, according to CEDU estimates.

Steel and cement, keys to industrialized construction

Aybar also mentioned: “When we get to Housing we find inefficient and ineffective methods of housing policy, as also happens in the construction industry. In the last 20 years, the policies that the State has carried out, of delivering 10,000 homes a year, widened the deficit gap, which in the last census went from 2.7 to 3.5 million.

Recently, new models of construction much more efficient and effective both in terms of time and costs, particularly in the use of steel, structural profiles and 3D printers that optimize the speed of construction.

The official explained that the increase in mortgage credit Added to these new construction models, they will be the key to reducing the housing deficit. In addition, it focused on expanding the scope of the Certificate of Technical Aptitude (CAT), a quality seal that endorses developers of industrial construction systems.

In the construction industrialized, steel plays a fundamental role. Carlos Vaccaro, Executive Director of the Argentine Steel Chamber (CAA), explained the sustainable importance of the use of scrap in the processes of construction of housing. “For us it is a critical and fundamental issue. The world is increasing scrap consumption because it is efficient and profitable from an environmental point of view,” he said.

The manager explained in numbers that for every ton of scrap used, 1.5 tons of CO2 emitted into the atmosphere are reduced, one ton of virgin ore is saved and 13 giga yur of specific energy is saved. “This is consumption of indirect generation, so from the steel industry we have approached it with great care,” he added.