Pag-IBIG Housing Loan Requirements
Pag-IBIG is an acronym which stands for Pagtutulungan sa Kinabukasan: Ikaw, Banko, Industriya at Gobyerno. This Pag-IBIG Fund continues to harness these four sectors of the society to work together towards providing Fund members with adequate housing through an effective savings scheme.
When it comes to application for a Pag-IBIG Housing Loan, it may require different sets of requirements depending on your loan purpose. In this blog, you will know the different requirements you need for availing the housing loan.
But first, check if you are eligible to avail for the housing loan. (READ: Checklist for Eligibility of Pag-IBIG Housing Loan) In this checklist, you may also determine the different Pag-IBIG Housing Loan Purpose.
Tip #1: Check if you are eligible to avail a Pag-IBIG Housing Loan.
It’s better to check first if you are eligible to avail a housing loan before you check if the property is accredited. Because once you are eligible, you will be able to proceed on the next steps even if what project or property you are going to buy.
So, before we go to the next step, let’s understand the two (2) modes of applying for a Pag-IBIG housing loan:
When you are trying to avail for a housing loan, you must identify the financing schemes provided by the project or property you are going to buy. Most of the time there are assigned representatives to answer inquiries about Bank financing or Pag-IBIG financing. In our case, look for a Pag-IBIG Representative on your Developer’s office. They will be the one to help and assist you. And you will be able to make sure if the project or property is accredited by Pag-IBIG.
Tip #2: Always make sure if the property is accredited by Pag-IBIG.
If it is accredited, most of the time, these representatives will assist you. They will only ask for some requirements that you need to provide, but other requirements that will be provided by the Developer, the representatives would be the one to ask for it. It is the most convenient and easiest way because the representatives will be the one to submit requirements in your behalf. This is an example of the Developer-Assisted mode.
For Retail mode, if the property is not accredited by Pag-IBIG or if the property you are going to buy is directly from a personal owner and not a project-based property, most of the cases you are going to apply directly from a Pag-IBIG office. You must request some requirements from the Developer/Owner then submit it to your Pag-IBIG office together with your basic requirements.
So always make sure if the property is accredited by Pag-IBIG if you are planning to avail the housing loan.
Once you are eligible to avail the Pag-IBIG housing loan and the property that you are going to buy is accredited, then it’s time to prepare for your Pag-IBIG Housing Loan Requirements.
Here are the documents required upon filing of Loan Application:
1. Housing Loan Application with recent ID photo of borrower/co-borrower (if applicable) (2 copies, HQP-HLF-068/ HQP-HLF-069)
2. Proof of Income
2.1. For Locally Employed, any of the following:
2.1.1. Notarized Certificate of Employment and Compensation (CEC), indicating the gross monthly income and monthly allowances or monthly monetary benefits received by the employee
2.1.2. Latest Income Tax Return (ITR) for the year immediately preceding the date of loan application, with attached BIR Form No. 2316, stamped received by the BIR
2.1.3. Certified One (1) Month Payslip, within the last three (3) months prior to date of loan application
NOTE: For government employees, the Certified One (1) Month Payslip, within the last three (3) months prior to date of loan application, must be submitted together with CEC or ITR.
2.2. For Self-Employed, any of the following Proof/s of Income:
2.2.1. ITR, Audited Financial Statements, and Official Receipt of tax payment from bank supported with DTI Registration and Mayor’s Permit/Business Permit
2.2.2. Commission Vouchers reflecting the issuer’s name and contact details (for the last 12 months)
2.2.3. Bank Statements or passbook for the last 12 months (in case income is sourced from foreign remittances, pensions, etc.)
2.2.4. Copy of Lease Contract and Tax Declaration (if income is derived from rental payments)
2.2.5. Certified True Copy of Transport Franchise issued by appropriate government agency (LGU for tricycles, LTFRB for other PUVs)
2.2.6. Certificate of Engagement issued by owner of business
2.2.7. Other document that would validate source of income
2.3. For Overseas Filipino Workers (OFWs), any of the following:
2.3.1. Employment Contract
- Employment Contract between employee and employer; or
- POEA Standard Contract
2.3.2. Certificate of Employment and Compensation (CEC)
- CEC written on the Employer/Company’s official letterhead; or
- CEC signed by employer (for household staff and similarly situated employees) supported by a photocopy of the employer’s ID or passport
2.3.3. Income Tax Return filed with Host Country/Government
The Fund may also require any or a combination of the following documents:
- Payslip indicating income received and period covered
- Valid OWWA Membership Certificate
- Overseas Employment Certificate
- Passport with appropriate visa (Working Visa) 14
- Residence card/permit (permit to stay indicating work as the purpose)
- Bank remittance record
- Professional License issued by Host Country/Government
NOTE: If documents are in foreign language/s, English translation is required.
3. One (1) valid ID (Photocopy, back-to-back) of Principal Borrower and Spouse, Co-Borrower and Spouse, Seller and Spouse and Developer’s Authorized Representative and Attorney-In-Fact, owner of title (for Accommodation Mortgage), if applicable.
4. For OFW members, Special Power of Attorney (SPA) notarized prior to date of departure. For OFW member abroad, a SPA notarized by a Philippine Consular Officer, or SPA notarized by a local notary (of the country where the member is working) but duly authenticated by the Philippine Consulate.
5. Transfer Certificate of Title (TCT) (latest title, Certified True Copy). For Condominium Unit, present TCT of the land and Condominium Certificate of Title (CCT) (Certified True Copy)
6. Updated Tax Declaration (House and Lot) and Updated Real Estate Tax Receipt (Photocopy)
7. Vicinity Map/Sketch of the Property
8. Insurance Coverage
8.1. Health Statement Form (Medical Questionnaire)
- For borrowers over 60 years old
- For borrowers up to 60 years old, if loan is over P2.0 M to P6.0 M b.
8.2. Health Statement Form (Medical Questionnaire) and Copy of the result of medical examination conducted prior to assignment overseas as required by the employment agency
- For OFW borrowers over 60 years old
Additional Requirements Depending on the Loan Purpose
For Purchase of Residential House and Lot, Townhouse or Condominium Unit, Purchase of Lot with Construction of House, Purchase of a Fully Developed Lot/Adjoining Lot
1. Contract to Sell or similar agreement between the buyer and the seller. If the Seller is a Developer/Corporation/Association, submits also the following documents:
a. License to Sell (Applicable to Developer only)
b. Secretary’s Certificate on the Authorized Signatory of the Developer/ Corporation/Association
c. One (1) valid ID of the Corporate Secretary and Authorized Signatory of the Developer/ Corporation/Association (Photocopy, back-to-back) 15
For Purchase of Lot with Construction of House, Construction of House, Home Improvement, Refinancing with Construction of House/Home Improvement
1. Building Plans, Specification with Bill of Materials duly signed by the Licensed Civil Engineer or Architect
2. Notarized SPA for Accommodation Mortgagor (for Accommodation Mortgage)
1. Latest Statement of Account on Outstanding Loan Balance duly signed by the Manager or the account officer
2. Any of the following documents:
- Official Receipt representing payments for the past 12 months (or any valid proof of payment)
- Subsidiary Ledger
The documents above are the required documents submitted together with the HLA (Housing Loan Application). You can also submit an Online Housing Loan Application at www.pagibigfund.gov.ph to select the scheduled date of submission of documentary requirements to the preferred Pag-IBIG Branch.
Once the housing loan application is approved, the requirements prior to loan release must be submitted within 90 days from receipt of LOG (Letter of Guaranty) and/or NOA (Notice of Approval).
Here are the documents required prior to loan release:
1. TCT/CCT in the name of the borrower/co-borrower/s (if applicable) with proper mortgage annotation in favor of Pag-IBIG Fund (Owner’s Duplicate copy)
2. TCT/CCT in the name of the borrower/co-borrower/s (if applicable) (Certified True Copy) with proper mortgage annotation in favor of Pag-IBIG Fund (RD’s copy)
3. Surety Bond (for properties that are subject to the lien imposed by Section 4 Rule 74 of the Rules of Court)
4. Updated Tax Declaration (House and Lot) and Updated Real Estate Tax Receipt (Photocopy) in the name of the borrower/co-borrower/s, if applicable
5. Loan and Mortgage Agreement duly registered with Registry of Deeds with original RD stamp (HQP-HLF-162/163)
6. Duly accomplished and notarized Promissory Note (HQP-HLF-086/087)
7. Disclosure Statement on Loan Transaction (HQP-HLF-085)
8. Post Dated Checks (PDCs) or Collection Servicing Agreement with Authority to Deduct Loan Amortization, if applicable
Additional Requirements Depending on the Loan Purpose
1. Occupancy Permit (for Purchase of Residential Unit (new), Purchase of Lot with Construction of House, Construction of House, Home Improvement, Refinancing with Construction of House/Home Improvement)
2. Building Plans/Electrical/Sanitary Permits duly approved by the building officials (for Purchase of Lot with Construction of House, Construction of House, Home Improvement, Refinancing with Construction of House/Home Improvement)
3. Deed of Absolute Sale duly registered with Registry of Deeds with original RD stamp (for Purchase of Lot/Adjoining Lot, Purchase of Lot with Construction of House and Purchase of Residential Unit)
4. Latest Statement of Account on Outstanding Loan Balance duly signed by the Manager or the account officer (for Refinancing)
After all these requirements are complete and accurate, you have to wait for the release of your Check. Documents must be completed or else your loan proceeds will not be released. So, make sure that your documents are complete and accurate.
Besides from completing your loan requirements, here are standard fees that is required to pay upon submission of application, upon loan take out and other Fees and Charges that you might encounter.
Upon submission of Housing Loan Application and required documents
Php 1,000 – Processing Fee (non-refundable)
Php 2,000 – Appraisal Fee
Upon loan take-out
Php 2,000 – To be deducted from loan proceeds
Other Fees and Charges
Php 1,000 – To be charged for every re-filing or re-evaluation of housing loan application.
Php 1,000 – For every inspection in excess of four (4) inspections for accounts with staggered releases (e.g. home improvement and house construction), to be deducted from the final loan release.
Php 2,000 – To be charged as Handling Fee per additional Check issued for split payment of loan proceeds.
There you have it. These are all the requirements and fees you need to prepare when applying for your Pag-IBIG Housing Loan and the documents you need to submit once your Pag-IBIG Housing Loan is approved.
Interested to get a Pag-IBIG Housing Loan?
Read our complete Step-by-Step Guide to Pag-IBIG Housing Loan Application [Updated]