To further widen the reach of President Ferdinand R. Marcos Jr.’s flagship Expanded Pambansang Pabahay para sa Pilipino, or Expanded 4PH Program, and help address the oversupply of available housing inventory, Pag-IBIG Fund has raised its maximum housing loan amount per borrower to ₱10 million, providing middle-income and higher-earning Filipino workers access to affordable long-term home financing, particularly in Metro Manila and other highly urbanized areas, top officials announced on May 26.
The higher loan ceiling complements the program’s ongoing subsidized 3% housing loan rate for qualified buyers of socialized housing, enabling Pag-IBIG Fund to serve more members seeking homes beyond the socialized housing segment through affordable long-term financing.
DHSUD Secretary Jose Ramon P. Aliling, who also chairs the Pag-IBIG Fund Board of Trustees, said the increase is part of the government’s broader effort to make homeownership more accessible to Filipino workers across income segments.
“With the higher ₱10-million loan ceiling, Pag-IBIG Fund can now serve more members, especially Filipino workers who seek homes in higher price segments but still require long-term and affordable financing to own homes near their workplaces, schools and sources of livelihood. This move allows Pag-IBIG Fund to widen access to home financing across more income segments, in line with the directive of President Ferdinand R. Marcos Jr. to make decent andaffordable housing more inclusive and accessible to more Filipino families,” Aliling said.
Aliling said the move also supports efforts to improve the take-up of available housing units, particularly in Metro Manila and other urban centers where there is an oversupply of ready-for-occupancy condominium units. He said the higher loan ceiling, combined with Pag-IBIG Fund’s long-term home financing, can make the purchase of these units more affordable for qualified members.
“This is also our call to developers: let us make the numbers meet. Pag-IBIG Fund is expanding the financing available to qualified borrowers. We urge our developer-partners to recalibrate their prices, offer reasonable packages and help bring their available units within the reach of Pag-IBIG Fund members. When housing prices, borrower capacity and affordable financing meet, more Filipino workers can finally own homes of their own,” Aliling said.
Pag-IBIG Fund Chief Executive Officer Marilene C. Acosta said the increase in loan ceiling reflects Pag-IBIG Fund’s mandate to serve Filipino workers from all income segments.
“At Pag-IBIG Fund, our mandate is to serve all Filipino workers. This means serving first-time homebuyers and members who need subsidized support, as well as middle-income and higher-earning members who also need affordable long-term financing to buy homes for their families. Because of our strong financial position, we are able to offer a higher loanable amount while keeping our housing loan rates not only affordable, but among the lowest in the market. With the higher loan ceiling, qualified borrowers now have even better access to home financing payable for up to 30 years, with interest rates that may go as low as 5.75% a year depending on their chosen fixing period. More importantly, this allows us to widen the reach of the Expanded 4PH Program so that more members, across more income segments, can gain access to decent and affordable homes, while eligible socialized housing borrowers continue to benefit from the 3% subsidized rate,” Acosta said.
Acosta said the broader Pag-IBIG Housing Loan Program is intended to make homeownership a practical alternative to renting for more Filipino workers, especially when available housing units are offered at prices that match members’ income and borrowing capacity.
“For many families, rent is already one of their biggest monthly expenses. Through Pag-IBIG Fund’s affordable housing loan terms, monthly amortizations for reasonably priced homes can be lower than rent in many urban areas. This is the value we want to give our members: instead of paying rent month after month, they can use their hard-earned income to pay for a home they can eventually call their own,” Acosta added.
Pag-IBIG Fund emphasized that the higher maximum loan amount remains subject to credit evaluation, capacity-to-pay requirements, collateral appraisal and other housing loan guidelines to ensure that borrowing remains responsible and sustainable for members.
Officials said the higher loan ceiling strengthens Pag-IBIG Fund’s role in bridging available housing supply to actual homebuyer capacity, while encouraging developers to offer homes at prices that better match the income and financing ability of Filipino workers.
