Pag-IBIG Fund will continue offering a 3% annual interest rate for qualified socialized housing loans under the Expanded Pambansang Pabahay para sa Pilipino (4PH) Program, despite concerns over rising global oil prices linked to the conflict in the Middle East.
The state-run agency said the move is meant to keep homeownership affordable for Filipino workers as instability in global oil markets threatens to increase the cost of living.
Department of Human Settlements and Urban Development Secretary Jose Ramon Aliling, who chairs the Pag-IBIG Fund Board of Trustees, said the agency is following President Ferdinand R. Marcos Jr.’s directive to ensure decent and affordable housing remains accessible, particularly to low- and middle-income workers.
“In keeping with the directive of President Ferdinand R. Marcos Jr., Pag-IBIG Fund shall maintain the 3% interest rate for qualified socialized housing loans under the Expanded 4PH so that more Filipino workers can continue to pursue homeownership even during a time of global uncertainty,” Aliling said.
He said keeping monthly amortizations low would allow more families to buy homes while supporting housing construction and related jobs.
Under the Expanded 4PH Program, first-time homebuyers earning less than ₱47,856 a month in the National Capital Region and less than ₱34,686 outside Metro Manila may qualify for the subsidized 3% interest rate during the first five years of their loan.
All overseas Filipino workers may also qualify for the same rate regardless of income.
Pag-IBIG Fund said the first 30,000 qualified borrowers may also avail of the 3% rate for the first 10 years of their housing loan through its Early Bird Promo.
The program covers socialized house-and-lot units worth up to ₱950,000 and condominium units priced up to ₱1.8 million.
Borrowers may also receive up to ₱100,000 in additional financing for home improvements, including utility connections and home fixtures.
The loan carries a 100% loan-to-value ratio, meaning borrowers are not required to provide a cash equity.
At the current rate, monthly amortization is estimated at around ₱4,005 for a house-and-lot package worth ₱950,000 and about ₱7,589 for a condominium unit worth ₱1.8 million.
Pag-IBIG Fund said these monthly payments are lower than the cost of renting in many areas.
Eligible borrowers may also receive additional subsidies from the national government, potentially reducing the effective interest rate to as low as 1%.
Pag-IBIG Fund Chief Executive Officer Marilene Acosta said the agency can sustain the subsidized rate because of its strong financial position.
“We continue to heed the direction of President Marcos in helping uplift the lives of Filipino workers by keeping homeownership affordable for those who need it most,” Acosta said.
She added Pag-IBIG is also expanding access to housing through regional housing fairs that bring together developers, financing institutions and government agencies in one venue.
The agency earlier launched the initiative through the Central Luzon Housing Fair and plans to hold similar events in South Luzon, the Visayas, Mindanao and the National Capital Region in the coming weeks.
The Central Luzon Housing Fair gathered more than 40 developers, financing institutions and government agencies and offered on-site assistance for housing loan applications.
“Through these regional housing fairs, we are making it easier and less costly for members to find a home by bringing quality housing units available for sale, partner developers, and Pag-IBIG Fund financing together in one place,” Acosta said.
Pag-IBIG Fund said it has the capacity to continue supporting the housing program after posting record housing loan releases in 2025.
The agency released ₱140.54 billion in housing loans last year, benefiting 90,727 Filipino workers and their families.
