The Subsidy for the Acquisition of Land by Indigenous Peoples is a government benefit administered by CONADI (National Indigenous Development Corporation) to enable indigenous individuals and communities to purchase land. Indigenous Law No. 19,253 created an Indigenous Land and Water Fund, administered by CONADI, to finance these subsidies. CONADI therefore grants non-repayable financial subsidies to registered indigenous individuals or communities who meet the social, cultural, and savings requirements established by law. Below we explain the steps in the process, the amounts available, deadlines, and key conditions.
Requirements for application
To apply for the indigenous land subsidy, the following is required:
- Indigenous status and registration: Be an accredited indigenous person or a member of an indigenous community/association registered in the National Registry of Indigenous Communities.
- Prior savings: Have a savings account for the home with a minimum amount (usually 10% of the value to be financed) that is credited at the time of application.
- Socioeconomic requirements: Meet the family income conditions defined in the contest rules (similar to other housing subsidies).
- Other cultural requirements: Some calls for proposals may require background information related to culture or proposed productive projects.
Applications are submitted through periodic public competitions (for example, in January 2025 there was a 19th competition), using CONADI’s digital platform and the Clave Única (Unique Key). Performance in the competition is evaluated according to criteria such as prior savings, socioeconomic status, and family composition (for individual applications) or, additionally, seniority and number of community members (for group applications).
Allocation of the subsidy
Once the application period has closed, CONADI reviews the documentation and scores the applications. If you are awarded the subsidy, CONADI will give you a subsidy certificate, not in cash, but as administrative support for the purchase of the property. This subsidy covers a maximum amount (which depends on the competition) and can only be used to purchase indigenous land authorized by CONADI.
Search and selection of the property
With the certificate in hand, beneficiaries must find eligible land. The selected property must meet legal conditions:
- Be recognized as indigenous land: It must be registered as indigenous land with the Real Estate Registry, or be a property that CONADI expressly authorizes for purchase with the subsidy.
- Clear titles and free of encumbrances: There should be no litigation, mortgages, or debts affecting ownership. CONADI will require a title search to confirm clear ownership of the land.
- Compatible use: Land use (e.g., agricultural, residential, or cultural) must be consistent with the indigenous community or family’s project.
The search can be carried out directly by the beneficiary, but they must always must submit the proposal for land to CONADI for its review.
Appraisal, approval, and purchase
Once the property has been chosen, the appraisal and validation phase begins:
- Official appraisal: CONADI orders an official valuation of the land. This appraisal determines the maximum that will be paid by the subsidy.
- Study of titles: Lawyers from a5> CONADI review the background registration and legal of the property.
- Purchase approval: If everything is in order (appraisal, titles, use), CONADI formally authorizes the purchase.
Unlike other subsidies, the subsidy is not paid in cash to the beneficiary. Instead, CONADI manages the sale directly. This means that the agency pays the a23> seller the amount agreed upon (up to the appraised value), and then the property is a30> registered in the name of the community or indigenous person who is the beneficiary. In this way, the money does not pass through the applicant: CONADI transfers it to the authorized seller.
Use and protection of the property acquired
Once the deed is formalized, the land becomes indigenous property with all the protections of Law No. 19,253. These include: it cannot be sold, leased, or encumbered to non-indigenous third parties. In fact, Article 22 of the Indigenous Law states that land acquired with this Fund cannot be sold for 25 years. In practice, this ensures that the land remains in the patrimony of the indigenous community or family. The beneficiary may use the property for productive, residential, or cultural purposes, as approved in their project, but may not freely market or transfer it.
In summary: the process is as follows: you apply for the subsidy → CONADI awards you a certificate → you choose an eligible property → CONADI evaluates and approves it → CONADI purchases the land on your behalf → you receive the deed.
Subsidy amounts
- Individuals: The government contribution covers up to $25 million per indigenous person (10% must be contributed by the applicant as prior savings). In the January 2025 call for applications, CONADI increased this limit to $30 million.
- Communities or group applications: When the application is community-based, the amounts may be higher. Normally, the cap per community has been up to $500 million, although this will depend on the specific competition.
- Non-refundable: The subsidy is a direct contribution that is not paid immediately, but is also not refundable. It is exclusively for the purchase of land.
- Requires personal contribution: Since it covers up to a fixed amount, the beneficiary is required to have prior savings to complete the total value of the land. It does not finance 100% if the price exceeds the subsidy.
Key conditions and criteria
- No direct payment to the applicant: As mentioned, the certificate is used only for the purchase of the land. You do not receive checks; instead, CONADI pays the seller.
- Multiple plots of land with the same subsidy: ConDI may authorize the purchase of more than one plot of land with the same subsidy, provided that they meet the requirements and are within the amount.
- Public competition: The subsidy is awarded through a public competition (Law No. 19,253, Article 20, letter a). Each competition has specific rules and deadlines (e.g., publication of rules, application period, results, etc.).
- Allocation criteria: Priority is given to those who demonstrate the greatest social need and savings effort. The score mainly considers previous savings, socioeconomic status, and family composition. In community applications, the age and size of the community are also taken into account.
Deadlines and duration of the process
From the awarding of the subsidy to the signing of the deed, the process usually takes between 6 and 12 months. In detail:
- Initial term of 6 months: Upon receiving the certificate, you have 6 months to finalize the purchase (find land, appraisal, etc.).
- 6-month extension: If necessary (for example, due to delays in processing), CONADI may grant an additional 6 months by means of a reasoned decision. This means that, in total, you could have up to 1 year from the date of certification to complete the deed.
- Real time: Under ideal conditions, it could be done in 6 months, but registration and administrative procedures often extend the process.
- Digital streamlining: Since 2022, CONADI has implemented a digital platform for managing procedures, which speeds up the land purchase process by up to 30% by optimizing documentation and communications. However, title searches, coordination with notaries and deeds, and other factors (such as rural areas that are difficult to access) can delay the process.
What happens if the price of the land exceeds the official appraisal?
The regulations do not allow the beneficiary to pay the difference between the sale price and CONADI’s appraisal. The subsidy covers up to the value of the official appraisal of the land, valid at the time of registration, and cannot be supplemented with extra contributions from the buyer. This is in line with the protection of indigenous lands: Law No. 19,253 prohibits the sale of properties acquired with these resources for 25 years. In practice, if a seller asks for more than the appraisal value, CONADI cannot authorize the purchase at that higher price. The beneficiary cannot contribute additional funds to cover the excess. In summary: the amount of the subsidy is final and must match or be less than the agreed purchase price; no separate payment by the indigenous buyer is contemplated.
What is CONADI and what are its functions?
The National Indigenous Development Corporation (CONADI) is the Chilean public agency responsible for administering funds and programs for indigenous peoples. It was created in 1993 by Indigenous Law No. 19,253. Its institutional mission is to “promote, coordinate, and execute government action in favor of the comprehensive development of indigenous peoples and communities.” Its main functions include:
- Protection of indigenous lands: CONADI administers the Indigenous Lands and Waters Fund to finance the purchase of land and water rights for indigenous communities and individuals. It also maintains the Indigenous Lands Registry and ensures that these lands are not sold or transferred improperly.
- Subsidies and financial support: Provision of subsidies for purchasing land, water for irrigation and productive infrastructure, and promotes projects or enterprises by indigenous peoples.
- Cultural strengthening: Implements programs to revitalize indigenous languages and promotes cultural, heritage, and spiritual expressions of indigenous peoples.
- Conflict mediation: Intervenes in disputes over land resources between communities. a7> or water resources between indigenous communities and private individuals and the State, seeking legal and fair solutions.
- Advisory and representation: Advises indigenous communities on legal, social, and economic issues, and represents the interests of indigenous peoples in national public policy.
In summary, CONADI is the key institution that channels state support to indigenous communities, managing subsidies (such as land subsidies) and defending the cultural and territorial heritage of indigenous peoples.
