Buying, selling and renting
Mortgages in Ecuador: BIESS and banks
What a mortgage loan is, who can borrow from BIESS and on which published terms, how it works with a bank or credit union, and the steps from pre-qualification to recording the mortgage.
A mortgage loan is a long-term loan to buy, build or improve a property, secured by a mortgage on that same property. If you do not pay, the lender can enforce the security. In Ecuador a mortgage is granted by public deed and must be recorded in the Property Registry; without recording it has no effect at all (Civil Code, arts. 2311 and 2312). There are two main routes: BIESS, the bank of the Ecuadorian Social Security Institute (IESS), and private and cooperative financial institutions.
The BIESS mortgage
BIESS lends only to IESS members and retirees; people who are not members cannot apply (BIESS FAQ). For a finished home — a house, apartment or suite, new or used — it publishes these terms, which we checked on 5 October 2026:
| Item | Published term |
|---|---|
| Contributions | 36 contributions in total; employees need at least 13 consecutive; self-employed and voluntary members, 36 consecutive. |
| Financing | 80 % to 95 % of the commercial appraisal, depending on the amount (95 % in the lowest band, 80 % in the highest). |
| Term | Up to 25 years, with the applicant's age not exceeding 77. |
| Affordability | Up to 40 % of net income may be committed (gross income minus reported debts and the last personal IESS contribution). |
| Rate | Based on the Central Bank of Ecuador's effective reference rate for the real-estate segment, by term; readjusted every 180 days. |
| Amortisation | Fixed instalments (French system) or decreasing instalments (German system), as chosen. |
| Insurance | Life, credit-life, fire and allied lines; the insurer can be chosen. |
Other published requirements: no overdue instalments with the IESS or BIESS, no other mortgage application in progress, and passing the credit assessment. People with disabilities qualify with half the contribution time, which need not be continuous (art. 57 of the Disabilities Law, per the same BIESS page). Pre-qualification is automatic and online, with your ID number and password.
A mortgage with a bank or credit union
Banks, mutual societies (mutualistas) and credit unions offer home loans on their own terms for amount, down payment, term and rate, which change over time and with your profile. Always compare the effective rate, the term, the amortisation system, the compulsory insurance and the appraisal and mortgage-registration costs, and ask for the amortisation table before you sign. Check that the institution is authorised and supervised by its regulator (for banks, the Superintendencia de Bancos).
The steps, with any lender
Pre-qualification
From your income and debts, the lender estimates how much it can lend you. At BIESS it is automatic and online.
Choosing the property and the paperwork
Besides your personal and income documents, the lender will ask for the property's: the seller's deed, the certificate of encumbrances from the Property Registry and the municipal documents. BIESS asks, among others, for the municipal tax payment letter stating who will pay the taxes.
Appraisal
A valuer appraises the property; the financing percentage is applied to that commercial appraisal, not to the agreed price.
Approval
The lender approves the amount, term and rate. Review the amortisation table and the insurance.
Deeds of sale and mortgage
Both are granted before a notary and recorded in the Property Registry: the sale transfers ownership and the mortgage secures the loan (Civil Code, arts. 702, 2311 and 2312).
Disbursement
Once the deeds are recorded, the lender pays the seller. Your instalments start from there.
When you finish paying
The mortgage does not vanish by itself: it has to be cancelled (lifted) and the cancellation recorded. BIESS has an application form for lifting the mortgage and family-estate protection on its finished-home page. Until then, the certificate of encumbrances will still show the mortgage.
Frequently asked questions
Can I get a BIESS loan if I am not an IESS member?
No. BIESS lends to IESS members (employees, self-employed or voluntary) and retirees, with the minimum contributions it publishes.
How many contributions do I need for BIESS?
36 in total; employees at least 13 consecutive; self-employed and voluntary members 36 consecutive (published terms, checked on 5 October 2026).
How much does BIESS finance?
For a finished home, between 80 % and 95 % of the commercial appraisal depending on the amount band, over up to 25 years. The Vivienda Premier loan has its own terms: up to USD 65,000 (expenses included) over up to 30 years, according to its page checked on 5 October 2026.
Is the BIESS rate fixed?
No. According to BIESS, the rate on its mortgage loans is readjusted every 180 days, based on the Central Bank's real-estate segment rate.
Sources
- Préstamo hipotecario: Vivienda terminada — Banco del Instituto Ecuatoriano de Seguridad Social (BIESS)
- Preguntas frecuentes — Banco del Instituto Ecuatoriano de Seguridad Social (BIESS)
- Préstamo hipotecario: Vivienda Premier — Banco del Instituto Ecuatoriano de Seguridad Social (BIESS)
- Boletín de prensa 002: tasa de 2,99 % para el préstamo Vivienda Premier (27-01-2026) — Banco del Instituto Ecuatoriano de Seguridad Social (BIESS)
- Código Civil (Codificación 2005-010) — FAOLEX, FAO (copia del texto oficial)
- Código Orgánico de Organización Territorial, Autonomía y Descentralización (COOTAD) — Consejo de Participación Ciudadana y Control Social (copia publicada)