Mortgage rates in Chile have been falling for almost three years from their 2023 peak, but they remain far above the lows of 2019 and 2020. For anyone thinking about buying a home, the difference between one rate and another adds up to millions of pesos over the life of the loan. This guide brings together the latest official average rate, explains the formula behind any mortgage calculator and shows, with our own calculation, what the monthly payment would be for different amounts and terms.
In September 2026, home loans were granted at an average rate of 4.07% a year on top of the UF (Chile's inflation-indexed unit), according to the Central Bank of Chile, Statistical Database. That is below the 5.21% of December 2023, the highest point since 2020, but almost twice the 1.99% recorded in October 2019, the series low.
Mortgage rates in Chile today: the official average
Each month the Central Bank publishes the weighted average rate on UF-indexed home loans actually granted by the financial system. It is the best public benchmark for telling whether an offer is in line with the market. Each borrower's rate will depend on income, down payment, term, type of rate (fixed, mixed or variable) and payment history.
View the data as a table
| Housing, UF | |
|---|---|
| 2009 | 4.54% |
| 2010 | 4.37% |
| 2011 | 4.26% |
| 2012 | 4.38% |
| 2013 | 4.36% |
| 2014 | 3.73% |
| 2015 | 3.77% |
| 2016 | 3.59% |
| 2017 | 3.48% |
| 2018 | 3.28% |
| 2019 | 2.18% |
| 2020 | 2.39% |
| 2021 | 4.00% |
| 2022 | 4.44% |
| 2023 | 5.21% |
| 2024 | 4.37% |
| 2025 | 4.14% |
| Sep 26 | 4.07% |
Over the past year and a half the rate has moved in a narrow range, between 3.96% and 4.45%. After touching 3.96% in May 2026, it edged up over the following months to 4.07% in September.
View the data as a table
| Housing, UF | |
|---|---|
| Feb 25 | 4.45% |
| Mar 25 | 4.41% |
| Apr 25 | 4.38% |
| May 25 | 4.38% |
| Jun 25 | 4.39% |
| Jul 25 | 4.36% |
| Aug 25 | 4.29% |
| Sep 25 | 4.21% |
| Oct 25 | 4.16% |
| Nov 25 | 4.13% |
| 2025 | 4.14% |
| Jan 26 | 4.12% |
| Feb 26 | 4.11% |
| Mar 26 | 4.06% |
| Apr 26 | 3.98% |
| May 26 | 3.96% |
| Jun 26 | 3.97% |
| Jul 26 | 4.00% |
| Aug 26 | 4.04% |
| Sep 26 | 4.07% |
View the data as a table
| Average home loan rate, Sep 2026 | 4.07% |
| Monetary policy rate, Nov 2026 | 4.50% |
| UF value, 4 Nov 2026 | $41,268.88 |
| Maximum indexed rate, over 2,000 UF | 5.68% |
Besides the average, there is a legal ceiling: the maximum conventional rate for indexed operations of one year or more, which the CMF sets every month. Since 15 October 2026 it has been 5.68% a year for loans above 2,000 UF and 6.48% for those up to 2,000 UF (CMF, Certificate No. 10/2026). The Central Bank's monetary policy rate has been 4.50% since early 2026, according to its official series.
How a mortgage calculator works
Every bank's mortgage calculator starts from the same fixed-payment formula (the French amortisation system). With the loan amount in UF (C), the monthly rate (i, the annual rate divided by 12) and the number of payments (n), the payment before insurance is:
Payment = C × i / (1 − (1 + i)^−n)
Because the loan is in UF, so is the payment: it is paid in pesos at the UF value on the payment date, which rises with inflation. With the UF at CLP 41,268.88 on 4 November 2026 (SII), a 3,000 UF loan (about CLP 123.8 million) over 25 years at the average rate of 4.07% has a payment of 15.95 UF, about CLP 658,292 a month before insurance. By the end of the term the borrower will have paid 4,785 UF, of which 1,785 UF is interest.
Payment table by amount and term
The table below applies the formula to four amounts and three terms using the September 2026 average rate. It is our own calculation: it excludes mandatory credit life and fire insurance and closing costs (appraisal, title search, notary, registration), which each bank shows in its own calculator. Use the search box to filter by amount.
| 2,000 | 20 | 12.19 | $503,212 | 2,926 | 926 |
| 2,000 | 25 | 10.63 | $438,861 | 3,190 | 1,190 |
| 2,000 | 30 | 9.63 | $397,386 | 3,467 | 1,467 |
| 3,000 | 20 | 18.29 | $754,818 | 4,390 | 1,390 |
| 3,000 | 25 | 15.95 | $658,292 | 4,785 | 1,785 |
| 3,000 | 30 | 14.44 | $596,079 | 5,200 | 2,200 |
| 4,000 | 20 | 24.39 | $1,006,425 | 5,853 | 1,853 |
| 4,000 | 25 | 21.27 | $877,722 | 6,381 | 2,381 |
| 4,000 | 30 | 19.26 | $794,772 | 6,933 | 2,933 |
| 5,000 | 20 | 30.48 | $1,258,031 | 7,316 | 2,316 |
| 5,000 | 25 | 26.59 | $1,097,153 | 7,976 | 2,976 |
| 5,000 | 30 | 24.07 | $993,465 | 8,666 | 3,666 |
Stretching the term lowers the payment but makes the loan more expensive. In the 3,000 UF example, going from 20 to 30 years cuts the payment from CLP 754,818 to CLP 596,079, while total interest rises from 1,390 UF to 2,200 UF.
| 3,000 UF loan | 20 years | 25 years | 30 years |
|---|---|---|---|
| Monthly payment | CLP 754,818 | CLP 658,292 | CLP 596,079 |
| Total paid | 4,390 UF | 4,785 UF | 5,200 UF |
| Interest | 1,390 UF | 1,785 UF | 2,200 UF |
Source: Pauta Financiera calculation with the average rate from the Central Bank of Chile, Statistical Database (September 2026) and the UF from the SII (4 November 2026). Excludes insurance and fees.
Does your bank, mortgage lender or developer offer home financing? Reach Pauta Financiera readers who are running their mortgage numbers.
See advertising optionsHow much the payment changes with each tenth of a point
The rate matters more than it seems. For the same 3,000 UF loan over 25 years, the payment would be about CLP 658,292 at today's average rate and CLP 738,990 at the December 2023 rate (5.21%): a difference of CLP 80,698 a month. That is why it pays to get quotes from several banks and negotiate: a few tenths of a point less can cover much of the closing costs.
The rate subsidy for new homes
Law 21,748, published on 29 May 2025, created a subsidy of up to 60 basis points on mortgage rates for buying new homes worth up to 4,000 UF in their first sale, capped at 50,000 subsidies and tied to the state-backed Fogaes guarantee. For reference, 60 basis points less would bring the payment in the 3,000 UF, 25-year example down to about CLP 617,815. Before getting quotes, ask the bank whether the home qualifies and whether places are still available.
What to look at in a mortgage besides the rate
- The CAE and total cost. As with any loan, the annual equivalent charge adds the rate, insurance and fees. Compare offers with the same amount, term and type of rate.
- The type of rate. A fixed rate keeps the UF payment constant for the whole term; a mixed rate is fixed for a few years and then variable; a variable rate adjusts to a benchmark. A lower starting rate can prove costly if it later rises.
- Insurance. Credit life and fire-and-earthquake cover are mandatory and are added to the payment; you can shop for them outside the bank.
- The down payment. The bigger the down payment, the smaller the UF amount and, generally, the better the rate banks offer.
- The payment-to-income ratio. Banks assess how much of your income goes to the payment; ask each lender for its limit before choosing a property.
- Closing costs. Appraisal, title search, notary and land registry fees are paid up front and do not show up in the instalment.
To cover the down payment or closing costs, some people add a consumer loan, a choice that makes the purchase more expensive: in September 2026 instalment consumer loans averaged 14.53% a year, more than three times the mortgage rate. This guide explains how to compare consumer loan rates and CAE.
Anyone still saving for the down payment can check how much a time deposit pays at official deposit rates and work out how long it will take to put the amount together.
Anyone carrying unpaid debts should settle them before applying, because banks check delinquency registries. In this article we explain how to get out of Dicom and how much Chileans owe by region.
Frequently asked questions
What is the average mortgage rate in Chile today?
According to the Central Bank, the average rate on UF home loans was 4.07% a year in September 2026, the latest figure published as of 4 November 2026.
How is a mortgage payment calculated?
With the fixed-payment formula: UF amount times the monthly rate, divided by one minus (1 + monthly rate) raised to minus the number of payments. Mandatory insurance is added on top, and the total is paid in pesos at that day's UF value.
What is the payment on a 3,000 UF loan?
At the 4.07% average rate over 25 years, about 15.95 UF a month (roughly CLP 658,292 at the 4 November 2026 UF), before insurance. Over 30 years it would fall to about CLP 596,079.
Where can I find a mortgage calculator?
Every bank has one on its website. Use them with the same amount, term and down payment, and write down the rate, CAE, payment including insurance and total cost to compare. The table in this article is a starting point.
Disclaimer: this information is journalistic and educational, not financial advice. Check the terms and the total cost (CAE) with the institution before signing up.
