Pag-IBIG Fund financed over 17,000 socialized homes for low-income earners in the last ten months, a figure that grew by almost 50% from the previous year even amid the ongoing pandemic, top executives said on Monday (November 21).
From January to October, the number of socialized housing units funded by the agency grew 49% to 17,268 compared to the 11,560 socialized units in the same period in 2020. In terms of amount, socialized housing loans amounted to P7.54 billion, which is 59% higher than the P4.75 billion released last year.
“We are happy to announce that the number of members from minimum-wage and low-income sectors who were able to buy or build their homes continues to increase. Even during the pandemic, Pag–IBIG Fund’s Affordable Housing Program provides opportunities for the underserved to secure a home of their own. This is our contribution to the recovery of our country, which is being led by President Rodrigo Duterte,” said Secretary Eduardo D. del Rosario, Chairman of the Department of Human Settlements and Urban Development (DHSUD) and the 11-member Pag-IBIG Fund Board of Trustees.
Pag-IBIG Fund’s Affordable Housing Program (AHP) is a special home financing program that caters to the needs of minimum-wage and low-income members who earn up to P15,000 a month within the National Capital Region (NCR) and members who earn up to P12,000 per month outside the NCR. Under the AHP, Pag-IBIG Fund offers a subsidized rate of 3% per annum for socialized home loans worth up to P580,000, which is the most affordable rate in the market today.
So far this year, socialized units make up 24% of the total 72,301 homes funded by Pag-IBIG while socialized home loans comprise 10% of the P74.61 billion in home loans released as of October, according to Pag-IBIG Fund Chief Executive Officer Acmad Rizaldy P. Moti.
“Our approach to housing has always been comprehensive. And because PagIBIG Fund is exempt from tax under its Charter, we were able to create this special home financing program for our low-income members. With the AHP, monthly payments can be as low P2,445.30, which is lower than the cost of rent. And qualified borrowers will never have to put out cash for equity. Even during this difficult time, the AHP provides minimum-wage workers the opportunity to become homeowners. Our housing program is inclusive such that we have the AHP specifically to address the needs of our underserved sector. That is the Lingkod Pag-IBIG brand of service,” said Moti.