Colombia proposes housing bill for informal workers

The Conservative Party and the Avanza Colombia movement have filed Bill 455 in the Colombian Chamber of Representatives. The initiative aims to allow informal and low-income workers to purchase social interest housing without a down payment, potentially converting monthly rent payments into mortgage installments.

The proposal includes a subsidy of up to 30 minimum wages for households earning less than two minimum wages. To facilitate qualification, the model utilizes an alternative evaluation scheme via Open Finance, allowing applicants to demonstrate creditworthiness through rent, utility, and other obligation payments. Proponents aim to enable 330,000 low-income families to become homeowners between 2027 and 2030.

The bill arrives during a downturn in the housing sector, with social interest housing starts seeing 39 consecutive months of decline as of July 2026. Critics of the current administration have also noted a lack of new Mi Casa Ya subsidy assignments in 2026 compared to previous years.