Details about the Pag-IBIG House Construction Loan Interest Rate per Fixing Period
PAG-IBIG HOUSE CONSTRUCTION LOAN INTEREST – Here is a guide for the members who plan to apply for the Pag-IBIG Fund loan offer.
Are you a Pag-IBIG Fund member who is planning to construct a residential property for you and your family? You might want to apply for the Pag-IBIG Housing Loan offer which encompass the financing of several purposes including the house construction.
The Housing Loan of the Pag-IBIG Fund is undeniably the offer that is more popular compared with the Pag-IBIG Multi-Purpose Loan, a cash loan offer. Under the said offer, you may apply for the financing of the construction of your residential property and the monthly repayments can be extended to up to 30 years.
Thus, with Pag-IBIG, there is really a way for you if you want light monthly installments. The entity also offer a high loanable amount under the Pag-IBIG House Construction Loan 2023.
Like in other loans, the Pag-IBIG Fund has set a list of eligibility criteria for qualification to the loan offer. The member-loan applicant must be:
- active member with least 24 months savings
- 65 years old and below at the date of loan application but should not exceed 70 years old upon the date of loan maturity
- has the legal capacity to acquire and encumber real property
- has no Pag-IBIG housing loan foreclosed, cancelled, bought back, or voluntarily surrendered
- If the Pag-IBIG Fund member-borrower has an existing Pag-IBIG Housing account or Short Term Loan (STL), the payments for the existing loan must be updated
As mentioned earlier, the maximum loan term offered is 30 years. The Pag-IBIG House Construction Loan interest actually depends on the fixing period chosen by the member-borrower and approved by the Fund.
| 1-Year Fixing | 5.750% |
| 3-Year Fixing | 6.375% |
| 5-Year Fixing | 6.625% |
| 10-Year Fixing | 7.375% |
| 15-Year Fixing | 8.000% |
| 20-Year Fixing | 8.625% |
| 25-Year Fixing | 9.375% |
| 30-Year Fixing | 10.000% |
The Pag-IBIG House Construction Loan interest will be implemented based on a diminishing principal balance until the loan is fully-paid. Here are the documents needed in applying for the loan offer:
- Housing Loan Application with recent ID photo of borrower/co-borrower (if applicable) (2 copies, HQP-HLF-068/069)
- Proof of Income (see details at the back)
- One (1) valid ID (Photocopy, back-to-back) of Principal Borrower and Spouse, Co-Borrower and Spouse
- Updated Real Estate Tax Receipt and Updated Tax Declaration and (photocopy), if applicable
- Building Plans, Specification with Bill of Materials duly signed by the Licensed Civil Engineer or Architect
Once the Pag-IBIG Fund has approved your loan application, there are documents that you must prepare and submit for the release of the loan proceeds. Here are the requirements for loan releasing:
- updated Real Estate Tax Receipt and Updated Tax Declaration (photocopy), if applicable
- Loan Documents
- Notarized Loan Agreement (For ROPA Accounts with House Construction or Home Improvement) (HQP-HLF-596)
- Duly accomplished/notarized Promissory Note (For ROPA Accounts with House Construction or Home Improvement) (HQP-HLF-597) for each loan release
- Disclosure Statement on Loan Transaction (HQP-HLF-085)
- Building Plans/Electrical/Sanitary Permits duly approved by the building official
- Occupancy Permit