Comparative analysis of interest rates charged by financial institutions for mortgage loans in the district of San Vicente, department of San Vicente, El Salvador

Abstract

The study examines the interest rates applied to housing loans in the district of San Vicente during 2025, with the purpose of analyzing how the conditions established by financial institutions influence families’ access to homeownership. To achieve this, the research was primarily based on primary sources obtained through direct interviews with representatives of financial institutions, complemented by secondary sources such as national statistics, revealing that factors such as income levels and differences between urban and rural areas condition the ability to access mortgage financing. Despite some progress in housing conditions, problems such as poor housing quality and overcrowding still persist. The research adopted a mixed-method approach, combining quantitative analysis of variables such as interest rates, terms, amounts, and requirements, with a qualitative comparative analysis among banks, cooperatives, and organizations such as Habitat for Humanity El Salvador, organizing the information into comparative tables and supporting it with a practical case study that simulates a loan application.