This young couple saved about 60,000 euros by accessing 100% home financing.

Measurement of public guarantee for young people allows 100% financing.

Buying a house is a big financial step, and for many Portuguese, the biggest obstacle is the initial down payment required by banks for granting a housing loan.

With this issue in mind, the Government has decided to implement, in 2024, a package of measures aimed at supporting young people in buying a house. One of the measures involves a public guarantee that ensures the remaining amount not financed by banks in the purchase of a house (up to 15%) for young people up to 35 years old.

By meeting the access requirements, young people are now able to access 100% financing on home loans. These are the requirements they must meet:

• Be between 18 and 35 years old.

• Have a tax address in Portugal;

• To have annual taxable income up to 80,000 euros, corresponding to the 8th IRS bracket.

• Not owning any other residential property;

• Allocate the property for the acquisition of the first own and permanent residence.

• The property transaction value cannot exceed 450,000 euros.

• To have the tax situation regularized with the Tax Authority and Social Security, without pending debts.

• Not having previously benefited from public guarantees from the State for the purchase of housing.

Read more about the measure: 100% financing in housing credit for young people: How does it work?

This couple has already accessed support and managed to save thousands of euros.

The couple, Andreia and Carlos, was one of those who have already benefited from this support, managing to save between 29,900€ and 59,800€. This is because the value of the property they bought corresponded to 299,000 euros, and, without the measure, they would have had to make available between 10% and 20% of that value to the bank.

Both Andreia and Carlos have a monthly net income of 2,200 euros, which allows them to meet the highest monthly net installment - 1,065.59 euros - as it corresponds to the total value of the house purchase, without having paid an initial down payment.

Through the government incentive program, the couple obtained a 99.67% Loan-to-Value (LTV), which means that almost the entire value of the property was covered by the bank loan. This allowed them to:

Avoid a large initial expense, keeping your savings for emergencies and other expenses.  

Ensure financing with advantageous conditions - a spread of 0.75% and a APR of 2.70% for the first five years;

Maintain your financial stability, as your monthly income allows you to support the installment without compromising the family budget too much.

With this solution, the couple managed to buy a property without compromising their finances, becoming owners without the need for a high initial investment. With a credit adapted to their financial conditions, they were able to achieve the dream of owning a home in an affordable way.

Read more: Young housing credit 100% funded: How to enter the CPCV?

Do you also want to achieve this dream? The credit intermediaries of Poupança no Minuto can make it happen! At no cost, they handle all the intermediation with the banks and find the best financing proposal for you, with access to the public guarantee measure. Simulate now and bring your dream to life: