The Reforma Casa Brasil program, which will be launched by President Luiz Inácio Lula da Silva this Monday (20), will allow Brazilian families to finance amounts starting at R$5,000 for renovations, expansions and adjustments to homes across the country. The program launch ceremony will be at Palácio do Planalto. 
The payment term is up to five years (60 months). Reforma Casa Brasil is aimed at families who already have a property, but face structural or adaptation problems. The value of the installments will be limited to 25% of family income. Each family can only have one active operation at a time.
According to the government, public housing policy is in partnership with Caixa. The resources can be used to purchase materials, pay for labor and technical services, such as projects and monitoring of works. The operation will be simplified and digital, starting via the Caixa website or bank app, from November 3rd.
The program’s target audience is, for example, houses with damaged roofs, damaged floors, precarious electrical and plumbing installations, lack of accessibility or the need for expansion.
The program will have R$30 billion from the Social Fund, aimed at families with incomes of up to R$9,600. Caixa will also set aside R$10 billion from the Brazilian Savings and Loan System (SBPE) for those with income above the limit. Thus, the total credit is R$40 billion.
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Bigger cities
Reforma Casa Brasil initially serves residents of urban areas in capitals, municipalities with more than 300 thousand inhabitants, or that are part of population arrangements of this size. The credit is mainly aimed at residential use, but can include mixed-use properties.
Interest rates vary depending on the families’ monthly income range. In bracket 1, interest is 1.17% for those with income of up to R$3.2 million. For those earning between R$3,200 and R$9,600, interest is 1.95%. For those with an income above R$9,600, the rules apply to Caixa with financing amounts starting at R$30,000 and payment terms of up to 180 months.
