Consolidated Housing Loan Program
Pag-IBIG Housing Loan Program
For End-User Financing (Cir. 213)
LOAN PURPOSE
The Pag-IBIG housing loan may be used to finance any one or a combination of the following:
- Purchase of a fully developed lot not exceeding 1,000 square meters, which should be within a residential area;
- Purchase of a lot and construction of a residential unit thereon;
- Purchase of a residential house and lot, townhouse or condominium unit, inclusive of a parking slot, which may be:
- old or brand new
- a property mortgaged with HDMF; or
- an acquired asset which is disposed of through sealed Public Bidding or Negotiated Sale, Rent-to-Own Program.
- Construction or completion of a residential unit on a lot owned by the member;
- Home improvement; i.e., any alteration in an existing residential unit intended by a homeowner to be a permanent integral part thereof, which will enhance its durability and material value;
- Refinancing of an existing mortgage loan with an institution acceptable to HDMF, provided that the loan to be refinanced is current and updated at the time of loan application; and the account reflects a perfect repayment history for at least 2 years, as supported by the borrower’s official receipts.
- Combination of loan purposes shall be limited to the following:
- purchase of a fully-developed lot not exceeding 1,000 square meters and construction of a residential unit thereon
- purchase of a residential unit, whether old or new, with home improvement; or
- refinancing of an existing mortage, specifically a lot loan, with construction of a residential unit thereon.
BORROWER ELIGIBILITY
To qualify for a Pag-IBIG housing loan, a member shall satisfy the following requirements:
- Must have made at least 24 monthly contributions at the time of loan application as evidenced by the remittance of at least 24 monthly contributions at the time of loan application; or
- Not more than 65 years old at loan maturity and must be insurable;
- Has the legal capacity to acquire and encumber real property;
- Has passed satisfactory background/credit and employment/ business checks of the developer and Pag-IBIG Fund;
- Has no outstanding Pag-IBIG housing loan, either as a principal borrower or co-borrower;
- Has no outstanding Pag-IBIG MPL in arrears at the time of loan application. A member whose MPL is in arrears shall be required to pay his arrearages over the counter to update his account.
LOAN AMOUNT
Maximum of P2,000,000.00 Million, which shall be based on the lowest of the following: the member’s actual need, his loan entitlement and the loan-to-collateral ratio.
- Loan Entitlement Based on Pag-IBIG Contributions
| MONTHLY CONTRIBUTIONS |
LOAN ENTITLEMENT |
| POP |
Pag-IBIG I & II |
|
|
US$ equivalent at point of availment |
P100 |
Up to P125,000 |
| 200 |
Over P125,000-P250,000 |
| 300 |
Over P250,000-P375,000 |
| 400 |
Over P375,000- P500,000 |
| 600 |
Over P500,000 - P750,000 |
| 800 |
Over P750,000 - P1,000,000 |
| 1,000 |
Over P1,000,000- P1,250,000 |
| 1,200 |
Over P1,250,000-P1,500,000 |
| 1,400 |
Over P1,500,000-P1,750,000 |
| 1,600 |
Over P1,750,000- P2,000,000 | |
LOAN-TO-COLLATERAL RATIO
The ratio of the loan amount to the appraised value of the collateral shall not exceed the following rates:
| Loan Amount |
With Buyback Guaranty |
Without Buyback Guaranty |
| Up to P300,000 |
100% |
100% |
| Over P300,000 to P750,000 |
100% |
90% |
| Over P750,000 to P1M |
90% |
80% |
| Over P1M to P2M |
90% |
70% |
|
|
INTEREST RATE
| Loan Amount |
If payment is made on or before due date |
If payment is made after due date |
| Up to P150,000 |
6% |
8% |
| Over P150,000 to P180,000 |
7% |
9% |
| Over P180,000 to P300,000 |
9% |
11% |
| Over P300,000 to P500,000 |
10% |
12% |
| Over P500,000 to P750,000 |
11% |
13% |
| Over P750,000 to P2M |
12% |
14% | |
LOAN TERM
The Pag-IBIG housing loan shall be repaid according to the following schedule:
| Loan Amount |
Term of Loan |
| Up to P750,000 |
Maximum of 30 years |
| Over P750,000 - P2,000,000 |
Maximum of 20 years | |
LOAN PAYMENT
- Over-the-Counter (OTC)
- Salary Deduction
- Issuance of Postdated Checks (PDCs)
- Auto Debit Arrangements with Banks
COLLATERAL
- First Real Estate Mortgage (REM)
- Contract-to-Sell (CTS)
LOAN CHARGES
A processing fee of P3,000.00 which shall be paid as follows:
- P1,000.00 upon filing of the loan application, which shall be non-refundable if the loan is disapproved;
- P2,000.00 upon loan takeout.
Other expenses such as standard appraisal fees, registration expenses, notarial and documentation fees, as well as taxes pertinent to the sale and transfer of the property to the borrower.
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