Cebu gets P4.7B for housing loan from Pag-IBIG

CEBU, Philippines - The Home Development Mutual Fund, more popularly known as the Pag-IBIG Fund, is setting aside at least 73 percent of its house building fund allocation for Cebu province.

Pag-IBIG Fund Vice President of Home Lending Operations of the Visayas and Mindanao Group Fermin Sta. Teresa said that of the P6.4 billion intended for housing loans for the Visayas region, P4.7 billion, or 73.44 percent, would be for Cebu.

The P6.4 billion is meant to provide accessible housing programs that could cater to over 8,000 families in the Visayas region.

Sta. Teresa also said Pag-IBIG fund has now reached P55 billion, which is enough to finance close to 72,000 houses of members.

As to reforms instituted by the government owned and controlled corporation, he said they have set bold reforms on their home lending policy to insure accessibility of the housing program to everyone.

Pag-IBIG has also increased the housing availment loan amount from P3 million to P6 million, with the amount to be determined based on the member's capacity to pay.

In line with the house lending program that Pag-IBIG has been providing, it has also set a home matching program, where the company determines the housing need of the potential beneficiary and matches it with land owners and developers to simplify the home ownership process.

"What is important here is that it serves as an opening avenue to all the members to have an easiest access to decent and affordable houses for their families," said Sta. Teresa.

Pag-IBIG has also been planning to partner with local government units for their socialized housing projects, where beneficiaries could buy a housing unit for as low as P450,000.

It likewise assured members availing the housing loan not to worry about the interest rate for it has lowered it to 5.5 percent, which is more than 50 percent less than the previous 11.5 percent, regardless of the amount borrowed.

Sta. Teresa also said that members who are paying an 11.5 percent interest rate should come to their office for processing so they could also avail of the lower interest rate.

"For those members who availed the loan in the past who are still paying higher interest this year, as long as their accounts are updated, they could come to Pag-IBIG, visit the account office, and they can avail of the change of the amortization from 11.5 percent to 6.5 percent to 5.5 perent," said Sta. Teresa

He said that for next year, Pag-IBIG will continue its reform program so people could access affordable housing loans. (FREEMAN)