Comparison Between SSS Housing Loan vs. Pag-IBIG Housing Loan Features
SSS HOUSING LOAN vs. PAG-IBIG HOUSING LOAN – Here is a comparison of two (2) of the most popular loans that can help you achieve your dream.
Purchasing a residential property or constructing one requires a huge amount of money. Truth be told that while many people have these as a goal, not everyone is ready to do it in cash. Meanwhile, there are options that you can turn to.
There are several Housing Loan offers that you can choose from to help you get that residential property or build your long-time dream house. You may turn to banks or to state entities that offer housing loans. Among these are the Pag-IBIG Fund and the Social Security System or more popularly called SSS.
The SSS Housing Loan offer and the Pag-IBIG Housing Loan offer bear different features. Here is a guide on the loan purposes, qualifications, loanable amounts, interest rates, loan terms, and documentary requirements under the offers.
Here are the SSS Housing Loan and Pag-IBIG Housing Loan features:
You may apply for loan for the financing of…
| SSS Housing Loan | Pag-IBIG Housing Loan |
| extension or expansion and enhancement of economic and aesthetic value of an existing housing unit | Purchase (plus cost of transfer) of residential lot or adjoining residential lots of up to a maximum of 1,000 sq.m. |
| the repair of dilapidated and structurally unsafe housing units | Purchase (plus cost of transfer) of residential house & lot, townhouse or condominium unit |
| installation of deep well and motor pump | House Construction |
| completion of an occupied bare house | Home Renovation |
| construction of concrete fence and steel gate | Refinancing of an existing housing loan |
| Combined Loan Purposes |
Who are qualified to apply for loan?
| SSS Housing Loan | Pag-IBIG Housing Loan |
| has posted at least 36 monthly contributions with 24 continuous contributions before the loan application | at least twenty-four (24) monthly membership savings |
| not older than 60 at the time of application | not more than sixty-five (65) years at the date of application and not more than seventy (70) years at maturity of the loan |
| without existing SSS housing loan | has a legal capacity to encumber real property |
| has not received final SSS benefits | has the ability to pass satisfactory background / credit and employment / business checks of Pag-IBIG Fund |
| no SSS or NHMFC repair and/or improvement loan | no outstanding Pag-IBIG Short-Term Loan (STL) in arrears at the time of the loan application |
| no Pag-IBIG Housing Loan that was foreclosed, cancelled, bought back due to default, or subjected to dacion en pago |
How much you may borrow?
| SSS Housing Loan | Pag-IBIG Housing Loan | |
| Minimum Loanable Amount: | at least 70% of the appraised value of the collateral | Depends on borrower’s actual need, desired loan amount, his/her capacity to pay, and the Loan-to-Appraised Value ratio |
| Maximum Loanable Amount: | up to 90% of the appraised value or P1 million | P6 million |
How much is the interest rate?
| SSS Housing Loan | Pag-IBIG Housing Loan |
| 9% per annum | 1-Year Fixing — 5.750% |
| 3-Year Fixing — 6.250% | |
| 5-Year Fixing — 6.500% | |
| 10-Year Fixing — 7.125% | |
| 15-Year Fixing — 7.750% | |
| 20-Year Fixing — 8.500% | |
| 25-Year Fixing — 9.125% | |
| 30-Year Fixing — 9.750% |
What are the loan terms available?
| SSS Housing Loan | Pag-IBIG Housing Loan |
| 5 Years | 1 Year |
| 10 Years | 3 Years |
| 15 Years | 5 Years |
| 20 Years | 10 Years |
| 15 Years | |
| 20 Years | |
| 25 Years | |
| 30 Years |
What are the documentary requirements for application?
| SSS Housing Loan | Pag-IBIG Housing Loan |
| There are documentary requirements for the SSS Housing Loan application that you need to prepare and submit to the Social Security System. | To apply for the loan offer, the Pag-IBIG Housing Loan Requirements is based on purpose of application. |