How to buy your first home in Colombia: a step-by-step guide

Last updated: June 2026

When Andrés and Paola decided to stop paying rent, the first thing they did was look at houses. Big mistake. They fell in love with an apartment, went to the bank excitedly, and then found out they couldn't even afford the down payment. They started all over again, but this time in reverse: first the numbers, then the house. A year later, they signed the contract.

In short: Buying your first home in Colombia It doesn't start with choosing a house; it starts with getting your finances in order. The process has five clear steps—saving for the down payment, finding out how much the bank will lend you, looking for subsidies, applying for the loan, and signing the contract—and doing them in order will save you months of hassle and unpleasant surprises. Here's a step-by-step guide to help you reach the signing without any surprises.

Where do I start to buy my first home in Colombia?

The first step isn't visiting properties, it's figuring out how much you can realistically afford. That comes down to two numbers: how much you've saved for the down payment and how much the bank will lend you based on your income. With those two figures, you'll know what price range to look in, and you'll stop wasting time looking at houses that are out of your price range.

Only with that clear framework does it make sense to add subsidies and start looking. Think of it like a funnel: first the budget, then the house that fits within it.

How much do I need to save before buying?

Generally, a mortgage doesn't cover 100% of the property value; it finances part of it, and you put down the rest as a down payment. On top of that, there are closing costs, which many people forget. That's why it's wise to save for two different budgets, not just one.

To calculate how much to save, our guide will help you. down payment to buy a home. And separate the notary fees: check the home deed expenses so that you don't run out of money on the day of the signing.

How do I know how much housing I can afford?

The bank doesn't lend you what you want, but what your income can support. The general rule is that the loan payment shouldn't exceed about a third of your monthly income, although each institution applies its own criteria. Knowing this limit before looking for a house prevents the shock that Andrés and Paola experienced.

Calculate your margin with the guide from borrowing capacity and understand how the loan is structured in How mortgage loans work. That way you arrive at the bank knowing what to ask for.

What subsidies and aid can I combine?

Buying your first home in Colombia is often easier than it seems because there are support programs that reduce your out-of-pocket expenses. These include government subsidies, contributions from family welfare funds, and the option to use your severance pay. The key is knowing which ones you can combine at the same time.

Check out the panorama in housing subsidies in Colombia And if you qualify several, see how to fit them into the concurrence of subsidies. If you have an account with the National Savings Fund, the housing loan with the FNA This is another route to consider. The conditions for national subsidies are defined by the Ministry of Housing.

What are the steps to complete the purchase?

With the budget and support secured, the process unfolds in a fairly predictable order. Here's the complete route, stage by stage.

Stage	What are you doing	Where to delve deeper
1. Save the down payment	You combine the portion that the loan doesn't cover + the closing costs	Down payment guide
2. Know your capacity	You calculate how much the bank will lend you based on your income	Debt capacity
3. Look for subsidies	You check national subsidies, cash benefits and severance pay	Housing subsidies
4. Apply for the loan	You apply for a mortgage or an FNA loan and wait for the appraisal.	Mortgage loan / FNA
5. Sign and deed	You pay the notary and registration fees and the house is registered in your name	Deed expenses

Guideline for a first-time purchase. Requirements and amounts are defined by the bank, compensation funds, and official entities such as the Ministry of Housing (minvivienda.gov.co) and the FNA (fna.gov.co).

Common mistakes when buying your first home

• Choosing the house before the budget. Falling in love with a property without knowing how much the bank will lend you ends in frustration.
• Forget about the closing costs. Spending all the cash on the down payment and being left with nothing to pay the notary fees.
• Not reviewing subsidies on time. Applying late or buying without checking if you qualify could cause you to lose out on assistance.

Frequently asked questions about buying your first home

How much down payment do I need for my first home?

It depends on the bank and the value of the house, but usually a down payment is required on the portion of the price that the loan doesn't cover, plus closing costs. Calculate your situation using the down payment guide and request quotes from several lenders before making a decision.

Can I buy my first home using only a subsidy?

The subsidy reduces what you pay, but it generally doesn't cover the full cost. It's common to combine subsidies, personal savings, and credit. Therefore, it's advisable to review all available subsidies and finalize your budget using all sources simultaneously.

Does the FNA apply if I am self-employed?

Yes. The National Savings Fund serves self-employed individuals who can demonstrate income, not just employees. The conditions vary depending on your profile, so it's worth confirming the current requirements directly with the Fund. National Savings Fund.

How long does the whole process take?

It varies a lot, but between saving, getting the loan, applying for subsidies, and closing the property, several months usually pass. Having the numbers ready from the beginning is what shortens the process the most.

How Hepacom accompanies you

At the Hechos Para la Comunidad Foundation, we believe that a family that understands the path ahead goes further than one that moves forward blindly. Buying your first home is one of the most important steps toward a stable life, and doing so with information prevents unrealistic debt and missed subsidies.

We help you understand each stage of the process and connect your effort with the right to a decent housing in Colombia. Find more guides to credit and subsidies in our blog And if you need guidance, write to us at donaciones@hepacom.org or through the page of contact us.

Information guide. Loans, subsidies, and procedures are handled by banks, savings banks, and government agencies. Verify the requirements and current amounts through official channels before committing. Hepacom does not charge fees or manage procedures or payments.