Pag-IBIG loans for housing hit record P83 billion

MANILA, Philippines —  The Home Development Mutual Fund, commonly known as Pag-IBIG, has released a record P83.3 billion in housing loans in the nine months to September this year.

In a statement, Pag-IBIG said home loans jumped by 27 percent to hit P83.31 billion in the last three quarters from P65.48 billion a year ago.

This is Pag-IBIG’s highest home loan release for the nine-month period.

Pag-IBIG CEO Marilene Acosta attributed the strong demand for home loans to Pag-IBIG  interest rates that remain low despite the current market trend, high loan-to-appraised value ratio, long repayment period and better insurance terms.

Pag-IBIG’s total number of financed homes also increased by 17 percent to 74,708.

For the third quarter alone, the agency released a record P31.35 billion.

Of the total releases, P5.72 billion was allocated for socialized home loans benefitting 13,131 members belonging to the minimum-wage and low-income sectors.

Acosta said the agency expects to exceed anew the P100-billion level in home loans.

“We have nearly surpassed the amount released for the entire 2019, which was one of our best performing years. By the end of 2022, home loan releases may reach P110 billion, surpassing yet again the P100 billion housing loan takeout level for a single year,” Acosta said.

“This figure will translate to over 100,000 Filipino workers who will fulfill their dreams of home ownership,” she said.

Housing chief and Pag-IBIG Fund Board of Trustees chair Jose Rizalino Acuzar, for his part, noted that higher loan releases and increasing number of borrowers are part of the government’s effort to provide Filipino families with their own homes.