Homes for low-wage earners worth P3.67B financed in H1 - Pag-IBIG Fund

The Home Development Mutual Fund or Pag-IBIG Fund on Friday said it financed 8,471 socialized homes for minimum wage and low-income members amounting to P3.67 billion in the first half of 2022.

In a statement, Pag-IBIG Fund said socialized home loans make up 19% of the total number of housing loans financed by the agency from January to June.

The agency said the P3.67 billion for socialized home loans represents 7% of the total housing loans released by the agency for the period.

For the first half of the year, the Pag-IBIG Fund posted record-highs of 47,184 in housing units financed and P51.96 billion in home loans released.

“We at Pag-IBIG Fund remain committed in pursuing our mandate to provide a home for every Filipino worker. With our Affordable Housing Program, achieving the dream of homeownership is made possible especially for minimum-wage workers. The program’s lowest rates and longest payment term allow our members from the low-income sector to buy or build a home of their own,” said Pag-IBIG Fund CEO Acmad Rizaldy Moti.

Pag-IBIG Fund said its Affordable Housing Program (AHP) is a special home financing program designed for minimum wage and low-income members from the National Capital Region (NCR) who earn up to P15,000 a month and from outside the NCR who earn up to P12,000 per month. 

Under the AHP, eligible borrowers enjoy a special subsidized rate of only 3% per annum for home loans of up to P580,000 for socialized subdivision projects.

Pag-IBIG Fund Deputy CEO for Home Lending Operations Marilene Acosta said that the AHP’s 3% rate translates to a monthly amortization of as low as P2,445.30 for a socialized home loan amounting to P580,000, making homeownership within reach of low-income earners.

“We first offered the AHP’s subsidized 3% rate in May 2017 to help more members, particularly those from the minimum wage sector, realize their dreams of owning a home. With our very low rates, our members are able to enjoy a monthly amortization on their home loans that is lower than the cost of rent,” Acosta said.

“And, since qualified borrowers do not need to put out cash for equity under the program, payments are even more within budget of low-income members,” she said. —VBL, GMA News