Housing loan is one of the programs of  Pag-IBIG fund for all Filipinos.  This is one of the great offers of the Pag-IBIG fund because we can have it here in our own home.

Even if Filipinos wages are low or moderate, they can still get or buy their own home.  Through the Home Development Mutual Fund or better known as the Pag-IBIG Fund will help Filipinos to provide and finance their home purchase at their best rates compared to the offers of real estate and bank developers.  So Filipinos not need to worry about paying high interest rates and amortization every month.

The following are the need requirements for members who can avail of the Housing Loan program:

1. The Pag-IBIG I, Pag-IBIG II or the Pag-IBIG Overseas Program must have at least 24 months of contribution.  If less than 24 months the members can pay the lump sum payment and they have need a contribution of at least 12 months.

2. Not more than 65 years old on the date of the loan application and no more than 70 years old loan maturity.

3. It must pass the satisfactory checks of the Pag-IBIG Fund in terms of background, credit and employment.

4. There must be no outstanding Pag-IBIG housing loan even as a principal borrower or co-borrower.

5. There should also be no arrears on outstanding Pag-IBIG multi-purpose loan.

6. There should be no Pag-IBIG housing loan that has been foreclosed, canceled or repurchased as it has been refinanced or subjected to dacion en pago in the case where the borrower is no longer interested in pursuing the loan and surrendering the property.

When applying for a housing loan here are the step by step guidelines that you must take to get or buy the home you want.

1. Ask for a list of requirements.
The list of requirements depends on the loan you can get.  You can request this from any branch of the Pag-IBIG office or even Pag-IBIG online.  The basic requirements to be prepared are as follows:

a.  Housing Loan Application (HLA) form, with valid ID photo of borrower and co-borrower (if applicable)

b.  Proof of income

c.  Valid ID of principal borrower and spouse also the co-borrower and spouse

d.  Certified true copy of Transfer Certificate of Title.

e.  For Condominium Unit: Certified true copy of Transfer
Certificate of Title of the land and Condominium
Certificate of Title.

g.  Updated tax declaration and real estate tax receipt of
house and lot.

h.  Contract to sell or similar agreement between buyer
and seller

i.  Vicinity map / sketch of the property.

j.  Submission of health statement form or medical
questionnaire if the borrowers are over 60 years old
and members availing of 2-6 million loans

2. Go to the nearest branch of the Pag-IBIG fund office and submit the HLA form along with the requirements and pay the counter P1,000 for non-refundable processing fee.

3. Please wait for the Notice of Approval (NOA) or Letter of Guaranty (LOG) to be sent.  If the borrower application is not approved it will have a Notice of Disapproval.  Once the borrower receives the NOA it can sign the loan documents and submit them within 90 days.

4. If all NOA requirements have been completed please bring it to the nearest Pag-IBIG Fund office to submit and  for preparing the check to be released.  NOA requirements must be completed within 90 days.  These include the following:

a.  Bureau of Internal Revenue for payment of capital
tax gains and documentary stamps;

b.  Local government unit for payment of transfer tax
and transfer of tax declaration

c.  Registry of Deeds for transfer of the title and
annotation of mortgage.

5. Claiming of loan proceeds
To obtain loan proceeds at the Pag-IBIG Fund office you must bring at least 2 valid ID’s and show the following documents:

a. Transfer Certificate of Title and Condominium
Certificate of Title in the name of the borrower
and co-borrower with mortgage annotation

b.  Updated tax declaration and real estate tax
receipt of house and lot in the name of the
borrower and a co-borrower.

c.  Deed of Absolute Sale with original stamp from
the Registry of Deeds

d.  Occupancy permit secured from LGU Engineering

e.  Payment schedule of loan proceeds

The borrower must carry 12 postdated checks if the loan is not paid by salary deduction.

6. Begin paying monthly amortization payments once your loan has been approved.