Andorra Approves Six More First-Home Guarantees, Total Now 20

The Andorran government has approved six additional applications for its first-home ownership guarantee programme, bringing the total to 20 out of 25 applications received over the past five months.

The Council of Ministers gave the green light to the latest batch on Wednesday, as announced by government spokesperson Guillem Casal during the post-meeting press conference. Of the remaining applications, two were withdrawn by applicants and three are still under review. Casal highlighted that the programme has benefited around 50 people across these families, with average annual incomes of €58,999—below the national median wage for 70% of recipients. "This supports the societal groups that need the most assistance to access a primary residence," he stated.

The average purchase price for the approved properties stands at €397,829.80, with total government funding exceeding €1.07 million and more than €500,000 already allocated since launch. Properties are capped at €600,000.

The initiative targets long-term residents who can prove at least seven years of legal, effective and permanent residency in Andorra, own no property domestically or abroad, and hold assets below 30% of the home's value. No down payment is required.

Under the scheme, the government covers all mortgage interest for the first seven years at Euribor plus 0%. Thereafter, rates shift to Euribor plus 0.50% for up to 50 years total, allowing buyers to focus payments on principal early on and ensuring long-term affordability.

The application process involves solvency checks by banks, valuations from the National Housing Institute, and finalisation via notary deed among the buyer, bank and government.

Part of the government's broader housing strategy, the programme aims to ease property access, bolster residential stability and address challenges faced by residents building their lives in the country. Casal described it as successful despite some opposition.