Infonavit is a social mortgage system that provides home financing through accumulated worker savings and mandatory employer contributions.

Infonavit functions as a social housing fund that collects mandatory employer contributions equivalent to five percent of a worker's salary. These funds accumulate in a dedicated sub-account. Once workers reach a specific point threshold based on age, income, and steady employment, they become eligible for low-interest loans to buy, build, or repair residential property.

How the Points System Operates

Eligibility for a loan is determined by a points-based evaluation. Workers must typically reach a minimum of 1,080 points before applying for credit. Points are calculated using several factors:

  • Worker Age and Salary: Higher income levels and specific age brackets contribute more points to the total.
  • Sub-account Balance: The total amount of savings currently held in the individual housing fund.
  • Employment Stability: The number of consecutive quarters the worker has been officially employed.
  • Employer Compliance: The punctuality and consistency of the company in making required financial contributions.

Types of Financing Options

The fund offers multiple financial products depending on the worker's goals and current savings balance. These options vary in their funding sources and interest rate structures.

Loan Type Primary Purpose Typical Interest Rate
Traditional Credit Buying new or existing homes Variable based on income
Combined Credit Larger loans via fund and bank Market-competitive rates
Improvement Loan Home repairs or remodeling Fixed low rates

The Application Process

To access financing, workers must follow a structured procedure to ensure financial readiness and legal compliance:

  1. Verify Eligibility: Check the current point total through the official digital portal to confirm qualification.
  2. Complete Education: Attend a mandatory orientation course regarding financial management and home ownership responsibilities.
  3. Property Appraisal: Submit the desired property for a professional valuation to determine its current market worth.
  4. Documentation: Provide identification, tax registry details, and a formal credit application for processing.

Fund Management and Repayment

Loan repayments are automatically deducted from the worker's paycheck by the employer. This ensures consistent payments and reduces the risk of default. If the worker becomes unemployed, the housing sub-account balance can sometimes act as a temporary guarantee, or the worker must make direct payments to maintain the account in good standing until new employment is secured.