INFONAVIT’s Plan to Regularize Irregular Homes Sparks Debate

A national debate has emerged around INFONAVIT’s plan to address the issue of irregular housing occupation in Mexico. On June 16, Octavio Romero, Director General, INFONAVIT, revealed that a census had identified 168,000 homes under irregular conditions. Of these, 145,000 are inhabited, many by individuals who either stopped paying their mortgage or by others who occupied the homes without any legal entitlement. The remaining 23,000 homes were found to be uninhabited or vandalized.

Romero says that the institution aims to end evictions by regularizing these houses.  “The instruction from the President is to speak with those occupying the homes and find a solution,” he says. Under this new policy, INFONAVIT will offer residents an opportunity to regularize their status, potentially through subsidized schemes such as rent-to-own contracts at book value. This plan, according to Romero, seeks to make these homes legally accessible to their occupants, many of whom are low-income individuals or families.

The vandalized and abandoned properties will be rehabilitated and reallocated, potentially to vulnerable groups such as single mothers, young people, and individuals with disabilities, again under a rent-to-own scheme, Romero says.

However, this proposal quickly sparked widespread controversy. On June 17, Rosa Icela, Minister of Interior (SEGOB), said that while the federal government supports reconciliation efforts and aims to avoid violent evictions, it also respects property rights. She reiterated that cases involving forced entry or trespassing must be investigated and that legal ownership cannot be disregarded in the name of social justice. 

Following backlash, President Claudia Sheinbaum addressed the issue directly during her press conference on June 18. She emphasized the government’s commitment to the Constitution and to protecting private property: “First of all, private property is protected — that is established in the Constitution — and we are going to uphold it. This is not about taking someone’s home away; that must be made very clear to avoid misinterpretations by commentators or the media,” states Sheinbaum.

Sheinbaum says that many homes financed through INFONAVIT were built far from city centers, making them impractical for workers. Many residents abandoned these properties due to long commutes or lack of services. Others were victims of fraud, with some homes being reportedly sold multiple times.

“The real issue is what to do with these homes. Many are abandoned; others are occupied by individuals who have not paid for them. We cannot just turn a blind eye and say nothing’s happening,” states Sheinbaum. She adds that any solution must respect existing property rights and the legal status of loans. Sheinbaum says that no occupied home will be taken from someone who is still paying for it, and that the ongoing census is crucial to determining the legal and financial status of each property. The goal, she said, is to find lawful, fair solutions that prevent waste and promote housing access, without repeating costly, ineffective eviction strategies of the past.

“Thousands of millions of pesos have already been spent on legal firms trying to recover these homes, with no success. We have tested those routes, and they did not work,” states Sheinbaum.

She adds that the administration is committed to avoiding violent evictions, reiterating that only a judge can determine whether a housing unit is illegally occupied. “What we cannot do is act as if nothing is happening. These homes and lots — some unoccupied, others occupied irregularly — represent a national issue that must be addressed legally and fairly,” states Sheinbaum.

Private Sector’s Response

Private sector organizations criticized the government’s plan. In a joint statement, AMIB, CANACO CDMX, CONCAMIN, COPARMEX, COMCE, and CNET condemn the proposed regularization of illegally occupied homes. They argue that this plan contradicts INFONAVIT’s legal mandate and threatens the savings of millions of workers who contribute to the institution. The business chambers criticized the move as a dangerous precedent that could institutionalize illegality and undermine the right to private property.

Their statement pointed out that 86% of the 168,000 homes identified are occupied by individuals with no legal connection to the properties, and offering them the opportunity to purchase these homes below market value disregards the rightful ownership and obligations associated with mortgage contracts. The organizations demanded that INFONAVIT cease any actions that might be interpreted as legitimizing home invasions and reminded authorities that INFONAVIT lacks the legal authority to assign ownership or leases to non-beneficiaries.