In a decisive move to expand secure property ownership, El Salvador’s Legislative Assembly has approved three key decrees over the past two months to fast-track social housing solutions for 303 vulnerable families experiencing financial hardship. Initiated by the Executive branch through Housing Minister Mischelle Sol, the legislation enables the Social Housing Fund (FSV) to transfer 303 residential properties to the National Popular Housing Fund (Fonavipo). The measure received overwhelming legislative support, including a 59-vote majority during the latest plenary session on June 3.
The comprehensive initiative spans multiple departments, strategically relocating assets in San Salvador, La Paz, La Libertad, Chalatenango, Santa Ana, and Sonsonate. To alleviate the economic burden on low-income residents, the targeted properties have been officially declared of social interest. This status grants them a complete exemption from property transfer taxes, registration fees, and cadastral duties, significantly lowering the financial barriers to formal legal ownership for the incoming families.
Under the new framework, Fonavipo is empowered to incorporate these properties into specialized housing programs. The agency will prioritize families currently occupying the homes, formalizing their status through diverse legal mechanisms such as sales agreements, donations, leases, and free habitation rights. Furthermore, any revenues generated from these operational processes will be directly reinvested into the communities to fund critical infrastructure improvements, municipal taxes, basic utility services, and ongoing property maintenance.
This legislative surge builds upon a broader national effort to guarantee housing rights across El Salvador. Earlier this year, the congress successfully transferred 174 homes to residents of the 2 de Noviembre community in Distrito Italia, alongside an April decree benefiting families in the Barrio La Aduana community of Puerto El Triunfo. Despite facing minor political opposition, with ARENA lawmaker Francisco Lira voting against the recent June 3 transfer, the strategic partnership between the executive and legislative branches continues to accelerate property regularizations nationwide.