Housing7 min read

Pag-IBIG Housing Loan Step-by-Step

The most affordable path to homeownership in the Philippines. Everything you need to know about qualifying, applying, and getting approved.

Why Pag-IBIG is your best option

Pag-IBIG offers housing loans at 5.75% annual interest — roughly half the rate of commercial bank loans (7–10%). Maximum loan amount is P6,000,000 with a term of up to 30 years. This makes monthly amortization significantly lower than bank alternatives.

Eligibility requirements

To qualify for a Pag-IBIG housing loan, you need:

  • At least 24 monthly Pag-IBIG contributions (not necessarily consecutive)
  • Not over 65 years old at the time of application
  • No outstanding Pag-IBIG housing loan
  • Legal capacity to acquire property
  • Adequate income to cover amortization (debt-to-income ratio assessed)

Tip

Start tracking your Pag-IBIG contributions now. After 24 months, you're eligible. The Contributions Tracker shows exactly how many months you have.

Required documents

Prepare these before visiting the Pag-IBIG office:

  • Housing Loan Application Form
  • Two valid government IDs
  • Proof of income: payslips (3 months), ITR, Certificate of Employment
  • Pag-IBIG loyalty card or MID number
  • Transfer Certificate of Title (TCT) or Condominium Certificate of Title (CCT)
  • Current real estate tax receipt and tax declaration
  • Vicinity map and lot plan of the property

Sample computation

For a P2,000,000 property with 10% down payment and a 20-year loan at 5.75%:

  • Loan amount: P1,800,000
  • Monthly amortization: ~P12,636
  • Total amount paid over 20 years: ~P3,032,640
  • Compare with bank loan at 8%: monthly amortization ~P15,053 (P2,417 more per month)

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