Housing loans are a way to bring someone closer to owning their dream house. But approaching this necessary financial step will require you enough knowledge to know what housing loan will best suit your goals and finances. 

In the Philippines, there are numerous banks offering their housing loans at a competitive rate. Reasonably, borrowers can get intimidated and confused by all these choices leaving them unsure whether they chose the best bank to work with. 

To help you make smart financial decisions, here are some of the banks in the Philippines with the best home loan and mortgage rates.

Applying for a Housing Loan: The Basics

A housing loan is a form of finance provided to a borrower by a financial institution for real estate needs such as purchasing, remodeling, construction, or refinancing. Housing loans are offered to homeowners and individuals who wish to buy a house that does not have enough savings or available cash to make quick purchases or other modifications. As a result, borrowers may pay their loans in installments, making house ownership much more accessible.

Each banking firm offering mortgage loans has its own set of criteria, but in general, banks will keep the ownership rights to the home as collateral until the borrower finished his installments. Because the bank is providing a big quantity of money, this is a sort of security for the transaction.

The most typical requirements of a person eligible to apply for a housing loan are following:

• You must be a Filipino citizen or a foreigner who has applied for an approved visa (working visa, quota/non-quota immigrant visa, or sec 13A visa).
• Has to have a steady source of income from work or a business.
• For employed applicants, a regular working status with at least two years of employment is required.
• For self-employment, you must own a firm that has been running successfully and profitably for at least 2 years.
• You must be at least 21 years old but no older than 65.
• A monthly salary of at least PHP50,000.00 is required.

1. RCBC My Home

Features:

• Minimum amount to loan: PHP300,000.00
• Maximum amount to loan: PHP5,000,000.00
• Minimum Loan Tenure: 1 year
• Maximum Loan Tenure: 20 years
• Maximum FIxed Period: 20 years
• WIth Fire Protection Insurance from Malayan Insurance Co. Inc

Interest Rates:

Metrobank Home Loan

Features:

• Minimum amount to loan: PHP500,000.00
• Maximum amount to loan: PHP100,000,000.00
• Minimum Loan Tenure: 1 year
• Maximum Loan Tenure: 25 years
• Maximum FIxed Period: 5 years
• Only Php30,000 per month in family income is necessary.
• Get a loan from Metrobank authorized developers for up to 90% of the property’s sale value.
• With fixed interest rates and payment periods of up to 25 years.

Interest Rates:

UnionBank Housing Loan

Features: 

• Minimum amount to loan: PHP500,000.00
• Maximum amount to loan: PHP50,000,000.00
• Minimum Loan Tenure: 1 year
• Maximum Loan Tenure: 20 years
• Maximum FIxed Period: 15 years
• Get a loan for up to 90% of the selling price of the property.

Interest Rates:

Security Bank Home Loan

Features:

• Minimum amount to loan: PHP1,000,000.00
• Maximum amount to loan: PHP100,000,000.00
• Minimum Loan Tenure: 1 year
• Maximum Loan Tenure: 20 years
• Maximum FIxed Period: 5 years
• You can loan up to 80% of the appraised value.
• The lowest interest rate in the market.

Interest Rates:

CTBC My Family Home Loan

Features:

• Minimum amount to loan: PHP500,000.00
• Maximum amount to loan: PHP25,000,000.00
• Minimum Loan Tenure: 1 year
• Maximum Loan Tenure: 20 years
• Maximum FIxed Period: 5 years
• With the fixed-rate program, you may lock in a long-term interest rate.

Interest Rates:

BDO Home Loan

Features:

• Minimum amount to loan: PHP500,000.00
• Maximum amount to loan: PHP100,000,000.00
• Minimum Loan Tenure: 1 year
• Maximum Loan Tenure: 20 years
• Maximum FIxed Period: 5 years
• With your home loan, you may earn Rewards Points that can be redeemed at any SM Department store for products of your choosing.

Interest Rates:

EastWest Bank

Features:

• Minimum amount to loan: PHP500,000.00
• Maximum amount to loan: PHP5,000,000.00
• Minimum Loan Tenure: 1 year
• Maximum Loan Tenure: 30 years
• Maximum FIxed Period: 30 years
• A loan amount of up to 80% of the property’s appraised value is possible.
• The lowest interest rate of 5.50 percent for a one-year re-pricing is possible.

Interest Rates:

Maybank MaxiHome

Features: 

• Minimum amount to loan: PHP1,000,000.00
• Maximum amount to loan: PHP5,000,000.00
• Minimum Loan Tenure: 1 year
• Maximum Loan Tenure: 20 years
• Maximum FIxed Period: 5 years
• A large loanable sum of up to 80% of the property’s appraised value is available.

Interest Rates:

Planning to Move Soon?

Finding the right house loan for you should be supported by how much you know your financial status. It is important to think this through before singeing any contracts. Discuss this with professionals and even Realtors at Presello that are experienced in the field of real estate financing.