Reconstruction Box; Steps to Obtain Credit

Caixa Reconstrução is looking for a large loan with a long repayment term to renovate your entire home. A Caixa loan could be the ideal solution.

Learn more about this loan and whether it's right for you in the article below.

Did you know that with a Caixa Construction Loan, you only start paying back the principal after two years? Yes!

>> Reconstruction Aid: Check who is eligible and has rights <  

Caixa allows you to take out a loan to renovate your home and pay interest only during the months in which the renovation is underway.

Plus, this loan offers a repayment term of up to 40 years. This means you'll have plenty of time to renovate your home.

Below, you'll find the most important information about this line of credit and how to apply.

Payment term:
Loan amount: Up to 80% of the estimated project cost.
Is the loan acceptable for people with bad credit history?

Advantages: Interest-free period, online registration, competitive annual interest rate for product subscription

What is the advantage of Caixa credit for reconstruction?

If you're thinking about giving your property a new lease on life, Caixa's credit could be a great choice. The biggest advantages are security and affordability.

Caixa Reconstruction is known for offering competitive interest rates, which are generally lower than those of other financial institutions.

This means that, in the end, you will pay less for your financing.

Another strong point is that Caixa offers a very long repayment term, which can reach up to 35 years. This allows you to have smaller, more affordable installments that fit your budget without breaking the bank.

Furthermore, the process is extremely well-structured. Caixa releases funds in stages, as your project progresses, ensuring that the funds are used correctly and without waste.

With financing from Caixa, rebuilding your property stops being a distant dream and becomes a planned and secure project. Main features of Caixa construction loans

Applying for a Caixa construction loan can be simpler than you think. With Caixa, you can apply for a construction loan.

Through the website or application and benefit from special conditions when contracting mandatory insurance.

Understand the Caixa Reconstruction Deadline

If you're thinking about using Caixa financing to rebuild your property, the first thing to understand is the deadline.

And the good news is that Caixa offers considerable breathing room! Generally, the maximum repayment term for construction or renovation financing is up to 35 years, or 420 months.

But don't worry, this entire period isn't for the construction itself! This 35-year term is for you to pay off the financing after the project is completed.

For the construction phase, Caixa usually grants a period of up to 24 months, which can be extended in specific cases. This is the time it takes for your home to go from drawing board to reality.

The important thing to know is that Caixa releases funds in stages, according to the project schedule. This ensures that the funds are used efficiently.

Amortized installments

Payment of the amortization installments, which is the principal amount of the financing, only begins after the construction is completed and registered.

Before that, you only pay interest and fees on the amount already released. See how crucial planning is? It's a process that requires attention, but it makes the dream of a new home much more attainable.

No charge on your credit card, definitely more money in your account.

Loans for people with bad credit main features of the Caixa construction loan.
The Caixa construction loan is a special line of credit for people who want to renovate their home, whether second home or rental home.

In short, the bank grants a loan of up to 80% of the estimated construction cost of your own home. Furthermore, 70% of the cost of a second home or rental property.

Repayment terms range from 10 to 40 years; however, if you prefer to pay off the loan more quickly, Caixa offers this option for a fee of 0.5% of the amortized installment amount.

You must notify the bank of your intention to repay the loan early - partially within 7 days or in full within 10 days.

Main Rates: Cash

1 – interest rate

2 – administration fee

3 – mandatory insurance

It is worth understanding the rates very well, so as to avoid surprises.

When financing construction with Caixa, the fees are directly linked to your contract. You will pay the interest rate which can be linked to the TR, IPCA or be prefixed.

Administration fee monthly, if any.

You Mandatory insurance, such as Death and Permanent Disability (MIP) and Physical Damage to Property (DFI).

It's crucial to understand these costs to avoid surprises, as they make up the total value of your installments.

Finally, like any other type of loan, Caixa construction loans are subject to fees for:

Margin on the loan amount and interest.

Caixa construction loans are mortgage loans. In other words, the application process is a bit more bureaucratic. However, the requested amount will be higher and the interest rate lower than that of a consumer loan.

You can choose between three types of interest rates for this Caixa loan:

Mixed rate: the interest rate is fixed for the first few years and then changes to a 12-month Euribor floating rate.

For example, the annual interest rate for a 10-year fixed-rate loan ranges from 2.9% to 3.5%, while for a 20-year loan, it ranges from 2.0% to 3.6%.

Fixed rate: For 30-year loans, the interest rate is set by the bank and remains fixed. Currently, the annual interest rate ranges from 11.80 for % term to 420.

Reconstruction Box Limit

According to Caixa's online simulator, the limit for a construction mortgage can reach 5 million euros.

One of the main advantages of mortgage loans is that they're entirely online. However, like any good loan, Caixa offers more than just this advantage.

It's important to note, however, that the amount of credit granted by the bank always corresponds to the specified percentage, also based on the building and property appraisal.

The credit limit for property reconstruction through Caixa Federal depends on several factors. The general rule is that you can finance up to 80% of the total value of the project.

This percentage, however, may vary depending on your credit profile, your payment capacity and the financing method chosen.

The final value of your approval, defined after Caixa's credit analysis and evaluation of the project and work schedule.

The important thing is that your monthly payment cannot commit more than 30% of your gross family income.

In addition, financing is provided to individuals for the construction or renovation of residential property for their own housing, without commercial purposes.

Some advantages of Banco Caixa

To get a more accurate idea of your limit, The ideal is to do a simulation on the Caixa website or app.

Finally, it is worth noting that, for a more competitive annual interest rate, the rate can be transferred directly to your Caixa account.

Additionally, by purchasing life insurance, multi-risk insurance, and construction insurance through the bank, you'll have a lower profit margin.

High credit values starting from 80% of construction, with payment terms of up to 35 years, up to two years to amortize the capital.

Reduced interest rates on home loans and mandatory insurance with Caixa.

Caixa App, which allows you to track the status of your order, payment deadlines and amounts, etc.