Can I use my FGTS balance to finance a property?

In short: Yes — FGTS (Brazil’s employee severance fund) can be used to buy a residential property under the SFH system. The main conditions are: at least 3 years of FGTS contributions (combining all employers), no residential property in the city where you work or live, and the property must fall within the SFH price cap (R$2,250,000 in 2026).

What FGTS can be used for on a property

• As part of the down payment: your FGTS balance reduces the amount you need to come up with out of pocket
• To reduce the financed balance: works like an early principal paydown — lowers payments or shortens the term
• To pay down installments periodically: in some SFH contracts, FGTS can be used periodically to cover payments
• To pay off the loan early

Conditions for using FGTS

• At least 3 years of FGTS contributions across all employers (doesn’t need to be consecutive)
• Not owning a paid-off or financed residential property in the city where you work or live (properties in other cities don’t count against you)
• The property must be residential and within the SFH price cap (R$2,250,000)
• The property must be for your own use — it cannot be for rental (when buying with FGTS)
• Not having used FGTS to buy property in the last 3 years

How much can I use

The entire available FGTS balance can be used, subject to the bank’s appraised value of the property. Caixa checks the FGTS balance directly when reviewing the loan.

How it works in practice

1. Request your FGTS balance statement at Caixa (online via the FGTS app or in person)
2. Include the FGTS amount in your mortgage simulation — the bank calculates its impact on the down payment and financed balance
3. Once the loan is approved, Caixa automatically debits the stated FGTS balance
4. The funds go directly into the transaction — you don’t receive the money in your account

FGTS and Minha Casa Minha Vida

Under MCMV financing, FGTS can be combined with the government subsidy — further reducing the down payment needed. For Brackets 1 and 2, the combination of subsidy plus FGTS can cover nearly the entire down payment.

Practical example from Florianópolis

A federal civil servant (UFSC) with 8 years of FGTS contributions — balance: R$52,000. Buying an apartment in Pantanal for R$420,000. Required down payment: R$84,000 (20%). With FGTS: R$52,000 from FGTS plus R$32,000 from personal savings. Financed amount: R$336,000. Initial payment under SAC: ~R$3,600. This fits the income limit (R$11,500 × 30% = R$3,450 — the bank approves under Price; under Price, the payment comes to ~R$3,200).

Related questions

• How does mortgage financing work?
• What’s the minimum down payment to finance a property?
• Minha Casa Minha Vida 2026: income brackets and how it works
• SAC or Price: which amortization system should I choose?

Want to know if your FGTS balance can help fund your purchase? Talk to Regente.