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The Residential Leasing Fund Participation Committee was also regulated

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Posted on 03/03/2022 18:07

The limits of the economic incentive given by the Federal Government to beneficiary families of the Casa Verde e Amarela Program were expanded. Now, anyone who wants to build, renovate or buy a new or used property, in urban areas, will be able to count on up to R$130,000 funded by the program. The previous limit was R$ 110 thousand. In rural areas, the value goes from R$ 45 thousand to R$ 55 thousand.

 

The changes are in Decree 10,976 signed by the President of the Republic, Jair Bolsonaro, and published in the Official Gazette last week. Casa Verde e Amarela is the Federal Government's popular housing program. Launched in August 2020, it has lower and more flexible interest rates and, in addition to housing construction, seeks to reduce housing shortages on other fronts: land regularization, home improvement and social leasing.

 

According to the program rules, the financial support is guaranteed by resources from the Residential Lease Fund (FAR), together with the Social Development Fund (FDS). Both are managed by Caixa Econômica Federal.

 

An important change was the updating of the maximum subsidy amounts, which may be granted to families due to housing production. This adjustment was necessary due to the adaptation to the new realities of housing production cost, which had a significant increase due to the Covid-19 health crisis. In this way, the program was updated, providing conditions for more families to be served in the future.

 

The change will be limited to the amounts set out in the Annual Budget Law and, therefore, has no budgetary impact, according to the General Secretariat of the Presidency of the Republic. Likewise, it will not imply a reduction in the goal of the Casa Verde e Amarela Program.

 

Regulated Committee

The decree also provides for the regulation, composition and powers of the collegiate body of the Residential Leasing Fund Participation Committee (FAR). The FAR is provided for in a 2001 law and was created to operationalize the extinct Residential Lease Program. Currently, the fund is used as one of the sources of funds for the Casa Verde e Amarela Program, in addition to financing operations already contracted under the Minha Casa, Minha Vida Program.

 

The decree defines the composition of the committee, which topics it should deal with and seeks, in particular, to provide more transparency to society, not only about the functioning of the fund, but also about the efficiency and effectiveness of the use of allocated public resources.

 

The Residential Lease Fund Participation Committee will be chaired by the Ministry of Regional Development and will have, in its composition, representatives of the Civil House of the Presidency of the Republic and the Ministry of Economy, according to the decree.

 

Check Decree 10,976.