The Central Bank of Brazil – BCB released on 09/11 the public opinion survey, through the Social Participation Notice No. 105/2024, with the objective of obtaining contributions to amend Resolution No. 4,676, of July 31, 2018, of the National Monetary Council – CMN, which deals with the Brazilian Savings and Loan (SBPE), Housing Finance (SFH) and Real Estate Financing (SFI) systems.
Notice 105/2024 seeks to better adapt the market and the performance of its respective participants, after the approval of Law No. 14,711, of October 30, 2023, with several changes to the legal framework linked to real rights over real estate, especially on mortgages and fiduciary alienation, aiming to ensure greater effectiveness and legal certainty in the use of these types of guarantee in real estate credit operations.
According to Law 14,711/2023, in cases where the sharing of the guarantee involves housing financing and a loan, the eventual absence of insurance coverage in the loan transaction would weaken the situation of the borrower and/or his/her family in the event of a claim.
This is the first time that the BCB has promoted the inclusion of market participants in the development of its rules through opinion polls, alongside public consultations and the collection of inputs. Among the main changes introduced by Notice 105/2024 are the extension of the fiduciary transfer and mortgage and the fiduciary transfer of supervening ownership of real estate, the purpose of which is to enable new real estate credit operations to be carried out using as collateral the use of the same real estate property already given as collateral in another operation.
Additionally, the review of Resolution 4,676/2018 seeks to regulate aspects of contracting operations whose guarantees can be shared with those given in credits already contracted, especially the rules related to financing quota limits, also establishing the obligation for operations of loans to individuals guaranteed by residential properties, to contract a security guarantee that provides coverage for the risks of death and permanent disability of the borrower and physical damage to the property. In this sense, according to the BCB team, the measure contributes to the establishment of adequate conditions to optimize the use of fixed assets by debtors and creditors, with the potential to expand the granting of real estate credit, especially loans to individuals guaranteed by residential properties. The deadline for submitting comments on Notice 05/2024 ends on September 27, 2024.