Brazil expands Minha Casa Minha Vida housing program to middle‑income buyers

The federal Minha Casa Minha Vida program allows workers to use their FGTS balance to cover a down payment or fully finance a home, provided they have at least three years of FGTS contributions and do not own another residence. Subsidies and loan terms vary by income bracket and region, and developers may offer direct installment plans or sell repossessed units at reduced entry costs.

The government is reviewing a proposal to widen the program’s upper‑income tier (faixa 4). The draft would raise the family‑income ceiling from R$13 000 to R$21 000, double the maximum financed property value to R$1.2 million, and introduce lower interest rates ranging from 6.66 % to 10 % depending on income levels. While intended to attract middle‑income families, the changes could affect the liquidity of the FGTS fund that backs most of the scheme.