Guide on the Pag-IBIG Home Equity Appreciation Loan / HEAL Offer for Members
PAG-IBIG HOME EQUITY APPRECIATION LOAN – Here is a guide on how you can turn your house’s value into cash through the Fund’s HEAL offer.
One of the best purchases you can make is a house or any residential property. It can be a bungalow house for you and your family, an apartment, a condominium unit, a rowhouse, etc. Truth be told that it is a whole lot different and more comforting to be living in a space you can call your own.
However, truth be told that a residential property purchase requires a huge amount of cash. At times, a residential property purchase leaves a person with no more cash to use for other purchases like getting a vehicle to make life even more convenient or adding more improvements in your home. This is why the Pag-IBIG Fund created the HEAL.
The HEAL or the Pag-IBIG Home Equity Appeciation Loan was crafted to allow existing Home Loan member-borrowers with good accounts obtain another access to cash for other purposes. Throught it, you can “another loan based on the net value of your mortgaged property with Pag-IBIG”.
How a member can have a good-standing account? It is important to pay your monthly amortizations on time. Under the loan offer, a member-borrower can avail a loan at very low interest rates and borrower-friendly terms.
Under the loan offer, the maximum loan term is up to 30 years. You may borrow cash based on your property’s net value thus, the loanable amounts varies. The loan proceeds may be used in any of the following purposes:
- Home Improvement
- Livelihood/additional capital for business
- Education expenses
- Health and wellness expenses
- Purchase of appliance and furniture/electronic gadgets
- Payment of utilities/credit card bills
- Travel and leisure
- Other life goals
With regards to the limitations on the loan proceeds under the HEAL offer of the Pag-IBIG Fund, the following are the basis of the Fund:
- your desired loan amount
- your capacity to pay
- your latest Loan-To-Value Ratio, computed based on 60% of latest appraised value of your mortgaged property with Pag-IBIG Fund less the Total outstanding balance of your existing Pag-IBIG Housing Loan/s
- your maximum aggregate loan value, computed based on P6 million(six million pesos) less total outstanding balance/s of your existing Pag-IBIG Housing Loan/s
Under the Pag-IBIG Home Equity Appreciation Loan, up to three (3) members may be combined in one loan account. This means that the two (2) co-borrowers are equally liable to the loan as the principal borrower.
Who are qualified to apply for the Pag-IBIG Home Equity Appreciation Loan? There are a few qualifications in applying for the Pag-IBIG HEAL offer.