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Mortgage Loans | Developers' Outrage: "The Decision Is Political" - La Nacion Propiedades
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Créditos hipotecarios | La indignación de los desarrolladores: “La decisión es política”
El fondeo de los bancos es corto, limitado y costoso
www.lanacion.com.ar
June 17, 2025
Bank funding is short, limited and expensive
By Mali Vazquez
Mortgage loans are about to reach their peak: will they end? The million-dollar questionSantiago Filipuzzi
Inspired by an interview conducted by a consulting firm hired by a bank, I decided to put into words a feeling that transcends the personal and is deeply rooted among those of us who work in urban development: indignation. Not because of what was done wrong, but because of what isn't being done, even though we know it could work.
I've compiled a brief chronology of headlines that highlight the path mortgage lending has taken this year.
A story that began with enthusiasm, endured warnings, and today faces, once again, the possibility of closure.
May 2024: “ Mortgage loans are back .” This was a welcome development, generating real excitement among both families and the development sector.
December 2024: “UVA mortgage loans: with strong demand, banks begin to raise rates .” Initial enthusiasm runs up against the limits of the traditional financial system, which lacks adequate long-term funding.
May 2025 : “ Mortgage lending is about to peak: will it end?”
The Argentine banking system currently lacks the necessary depth to sustain a long-term mortgage policy without institutional support. Its funding is short-term, limited, and costly.
Faced with growing demand, banks began to adjust interest rates on mortgage loans.shutterstock - Shutterstock
On the other hand, financing new developments, especially from the well, has a direct impact on job creation , boosts production chains, and responds to a structural need: access to housing.
The proposal is not new, but it is urgent: to use mortgage portfolio securitization tools so that banks can transform their loans into investment instruments. These could be acquired by institutional players, thus freeing up lending capacity to continue financing new loans.
This proven and effective mechanism would allow existing funds to be channeled into new construction without unbalancing the banking system or relying exclusively on the public budget. It's not about "creating money" but rather intelligently redirecting existing funds.
Project financing from the well boosts employment and activates different branches of the construction industry.Shutterstock
Construction is one of the most powerful engines of the Argentine economy. But without credit, that engine won't start.
Today we have a concrete opportunity to reorder priorities, redefine strategies, and build a system that not only finances housing, but also builds a future.
The decision isn't technical. It's political.
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