Pag-IBIG Housing Loan Collaterals & Limitations 2023 — A Guide for Borrowers

Guide on the Pag-IBIG Housing Loan Collaterals & Limitations 2023 — List of Policies

PAG-IBIG HOUSING LOAN COLLATERALS – Here is a guide for the acceptable collaterals and the limitations under the Pag-IBIG Fund loan offer.

When it comes to housing loans, the most popular state institutions is the Pag-IBIG Fund. It has helped countless Filipinos obtain residential properties in the most affordable way possible.

Pag-IBIG Housing Loan Collaterals 2023
Photo Credit: Daily Tribune

The Housing Loan offer of the government agency is open for members who have posted at least 24 monthly contributions in their account and have good account standing. Under it, you can maximize the loan term for up to 30 years thus it is really possible to have light monthly amortizations.

Pag-IBIG Fund
Photo Credit: iMoney

The Pag-IBIG Fund Housing Loan offer is open for application for several purposes. You may apply for it to finance any of the following purposes:

  • purchase (plus cost of transfer) of residential lot or adjoining residential lots (max 1,000 sq.m.)
  • purchase (plus cost of transfer) of residential house & lot, townhouse or condominium unit (old or brand new, property mortgaged w/ the Fund, adjoining houses/units) inclusive of a parking slot
  • construction of house
  • house improvement
  • refinancing of an existing housing loan
  • combined Loan Purposes

The Pag-IBIG Fund has set a list of eligibility requirements in applying for the loan offer. To qualify, the member-borrower must meet the following criteria:

  • active member with least 24 months savings
  • not more than 65 years old at the date of loan application
  • not more than 70 years old at the date of loan maturity
  • Legal capacity to acquire and encumber real property
  • No Pag-IBIG housing loan foreclosed, cancelled, bought back, or voluntarily surrendered
  • If with existing Pag-IBIG Housing account or Short Term Loan (STL), payments must be updated

The loanable amount under the Pag-IBIG Housing Loan 2023 offer varies depending on the target property, the actual need, and the capacity of the borrower. Meanwhile, the Fund has posted the maximum amount that a member can borrow. With regards to the interest rates, the Pag-IBIG Housing Loan Interest Rate 2023 is based on the fixing period chosen during the application.

Aside from the eligibility requirements, the Fund has also set rules in terms of the collaterals. Here are the Pag-IBIG Housing Loan collaterals accepted by the Fund this 2023:

  • Clean Title
    • Transfer of Certificate Title (TCT)
    • Original Certificate of Title (OCT)
    • Condominium Certificate of Title (CCT)

Aside from the Pag-IBIG Housing Loan collaterals accepted by the government agency, it also has a clear set of limitations. Here are those that are not accepted under the loan offer of the state institution:

  • less than 28 sq. m. lot area
  • less than 18 sq. m. condominium floor area
  • properties with road right of way less than 1.5 meters
  • land types classified other than residential use
  • residential buildings must be compliant to the National Building Code, PD958 or BP220 as the case may be

To apply for the offer, you need to prepare and submit the documents required based on the specific type of property involved in the loan application. Here is a guide for your on the documentary requirements set by the Pag-IBIG Fund:

The Pag-IBIG Fund loan application evaluation may take between 3 weeks to a month. Wait for an update from the state institution regarding the status of your loan application.

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