Pag-IBIG Fund encourages condo developers to register

CEBU, Philippines — The Home Development Mutual Fund (Pag-IBIG Fund) encourages more condominium developers to register with the agency starting this year, to take advantage of the strong demand from working professionals in the urban areas like Cebu.

High-valued properties in metropolitan areas such as Metro Cebu have pushed the demand for high-rise residential units or condominiums. This prompted the Fund to encourage more developers to register and tap Pag-IBIG members working within the metropolis, said Pag-IBIG chief executive officer (CEO) Acmed Rizaldy P. Moti.

Home loans availed of to fund residential condo units remain very low within the five to six percent of the total home loan portfolio, because until now only a few condo developers have registered their respective projects with Pag-IBIG Fund.

Moti said the agency is intensifying its campaign to attract more developers to partner with Pag-IBIG particularly for urban condominium projects to make this kind of residential properties easily accessible to the working class.

Availment of this kind of properties is largely dependent on the availability of Pag-IBIG registered projects, said Moti.

In major cities however, like Metro Manila, Cebu, Iloilo and Davao, take up for condominium residential loans is increasing, albeit still insignificant.

He hopes though that developers will be able to offer affordable condominium products that suit the financial capacity of Pag-IBIG members.

At present, he said there are still limited inventories of residential condominiums that are priced within P800 thousand to P2 million bracket.

Pag-IBIG is now working on possibilities of extending additional benefits to developers like providing developmental funding for developers.

"We are pushing the industry to produce more," Moti said.