BANK FINANCING

The following are the basic information you should know about Housing Loan:

• Eligible borrowers are Filipino citizens. 

• Foreign nationals of some countries are allowed for condominium purchases only. 

• However, a purchase of house and lot or vacant lot will be considered if a foreign national is married to a Filipino citizen and an Affidavit of Support and Waiver of Rights over the collateral property are executed by the foreigner.

• Borrower's age should be at least 21 but not more than 65 years old upon maturity of the loan.

• Principal borrowers must have an income source as a regular employee or from a business with a minimum profitable operation of 2 years.

The amount of loan you can borrow depends on your income (capacity to pay) and the appraised value of the collateral.

• The minimum gross monthly income requirement is P40,000.00 - P50,000, depending on bank (combined for married applicants).

• The maximum loanable amount vs. appraised value of collateral is 80% for house and lot, condominium, but not to exceed P5.0M (provided applicant is employed and purpose is for owner-occupancy). 

However, loan amounts may still vary based on verified income and appraised value of the collateral.

Depending on the bank, here is general  list of requirements and an application form. Please find below simple instructions:

Fill-out the form below and we will contact you. Collate all necessary documents based on the list of requirements.

• We will contact you soon for you to submit complete requirements with the Application Form we will send you later.  
• Bank credit evaluation process only starts on the day complete requirements are received by the Account Officer (incomplete requirements will delay the application process).

Generally, within 5 banking days after you have submitted complete requirements, you will be advised by the Account Officer (AO) on the status of your application. By then, you will find out if your application is approved.

Q. What happens to my documents if my loan is not approved?

A. Your Account Officer will return all the documents that you have submitted in the event that your loan is not approved.

Q. What fees do I have to pay?

 An appraisal fee is required to be paid upon submission of complete requirements. This also covers the cost of credit investigation and title verification. It is non-refundable. Upon approval of loan the following fees will be charged:

• Mortgage Registration fee (for the annotation of the loan, to be paid prior to loan release).

• Mortgage Redemption Insurance (MRI) premium.

Fire / Lightning / Earthquake Insurance premium (for collateral with improvements only).

Q. If I am applying for a construction loan, how will it be released to me?

For construction loan and major renovation, the release of the proceeds is on a staggered basis. The loan release will be in accordance with the required percentage of completion. A schedule of release will be made available to you. Construction must be finished within one (1) year, otherwise, the Bank has the option to call your loan due and demandable.

Q. I am a Filipino working abroad, can I apply for a housing loan?

Yes, provided that you can submit your certificate of employment as well as employment contract duly authenticated by the Philippine Consulate Office. Also, you need a co-maker and attorney-in-fact who is residing in the Philippines. Your attorney-in-fact can be your wife or a relative who also has the capacity to pay. He / she needs to submit a Special Power of Attorney duly executed by you and his / her Income Tax Return (Please refer to list of additional requirements).

Q. I am formerly a Filipino citizen and now a citizen of another country, can I apply for a housing loan?

Yes, but only for purchase of condominium units. However, under the Balikbayan law, you may purchase land of not more than 1,000 sq. m. provided that you intend to stay here for at least two (2) years and you have a source of income in the Philippines. You will be asked to execute a sworn statement showing your intention to reside in the Philippines. Upon application, you will need to indicate the following information:The date you lost your Filipino citizenship.

Q. I am separated, can I apply for a housing loan?

If you are legally separated and can submit copies of the court decision regarding your separation, we can process your loan having you as the sole borrower without requiring your estranged spouse to sign. However, if you are not legally separated, your estranged husband / wife must sign on all documents.

Q. Can I still apply for a loan if a different party owns the collateral?

Yes, you can still apply provided that the owner of the property is willing to be your co-borrower / co-mortgagor. He / she must fill out a separate application form and must meet the age requirement. Upon loan approval, he / she will be required to sign on all documents. However, this will be treated on a case-to-case basis.