Aspects of mortgage credit in the welfare of working people. The case of commercial banking and INFONAVIT in Mexico

Abstract

Beyond presenting a comparative study that shows in financial terms the greatest possible benefit for the worker, derived from some mortgage credit scheme for the acquisition of a home, the objective of this work focuses on showing two credit options for such purpose: one of these options is the mortgage credit offered by the commercial banking of the first floor and another option is the mortgage credit through the Institute of the National Fund for the Housing of the Workers (INFONAVIT). For this, it was necessary to carry out a financial analysis through the use of amortization models in their expired modality. The results indicate that financing by first-tier banks is the most convenient, because comparatively, the amount of the monthly payment is lower and the life of the mortgage loan is shorter, also the interest rate is lower in the First floor banking However, for those who can not obtain a credit from commercial banks, social security institutions such as INFONAVIT turn out to be a viable scenario to acquire such housing. Both options have their benefits, which leads to think that the selection of the credit option will depend on the economic and employment situation of the person requesting the credit.