Questions about Pag-ibig housing loan
Posted by engkanta on February 20th, 2010
I know I’ve been remiss about updating this blog, and I want to thank you for continuing to visit even though my last post before today had been in September.
Changes in schedule at home and in work have given me a little time to concentrate on this blog, and I’m hoping that the extra hours would allow me to answer your many questions about Pag-ibig’s housing loan.
I know there’s no way I would be able to answer each and every question as they come, considering that I’ve received over 500 queries since this blog started.
What I’m going to do therefore is compile all your queries into a Frequently Asked Questions (FAQ) list that you can browse anytime. Right now, I’m still collating all the questions that had been asked and, once that’s done, I will try to give a comprehensive answer to all of them.
I will need a few days to do all of these, so please come back now and then to check if the FAQ section is up. Thanks.
Pag-Ibig provides e-payment for Pinoys abroad
Posted by engkanta on February 22nd, 2008
Several visitors to this site who are based outside of the Philippines have asked me about how to go about contributing to the Pag-ibig Fund.
The e-payment system will hopefully make it easier for you to pay your monthly contributions.
Some overseas Pinoys have also inquired if it is possible to apply for Pag-Ibig Overseas Program (POP) membership online. There’s currently no such thing.
However, overseas Pinoys may file their application with any of the following offices:
* Pag-Ibig Overseas Program (POP) Office
* POP Overseas Offices
* Accredited Overseas Marketing Representatives
* Metro Manila and Provincial Offices
[Read more →]
Pag-ibig housing loan and net income
Posted by engkanta on October 21st, 2007
Among the four factors used by the Pag-ibig Fund to compute the amount of housing loan that its members may avail of is their monthly net disposable income.
Net disposable income is what’s left of your salary after deducting taxes, mandatory contributions to Pag-ibig and Social Security System (SSS) for the private sector or Government Service Insurance System (GSIS) for the public sector, and loan or other payments (if applicable).
Since Pag-ibig decides on the lowest amount of loan that a member may take out based on either contribution, actual need, loan-to-collateral ratio, or capacity to pay (based on the net disposable income), it is the latter factor that is usually used as basis for most housing loan computations.
The table below is a listing of net incomes and their equivalent housing loan amounts pegged on the loan terms or the number of repayment years.
(For loans over 750,000 pesos, see the rest of the Pag-ibig income table.)
Easy steps to a Pag-Ibig housing loan
Posted by engkanta on October 16th, 2007
You’ve seen the property that you want to acquire, checked it out repeatedly, in fact, and you’re convinced that it’s the right one for you.
You’re a Pag-Ibig fund member and want to acquire the house and lot or the lot where you want to build your home through a Pag-Ibig housing loan but don’t know how to go about it.
Let these easy steps published in the Pag-Ibig publication “Pabahay ni GMA” and posted in the agency’s website guide you.
1. Attend a housing loan counseling session at the Pag-Ibig Fund office nearest you.
Applicants are asked to accomplish a preliminary loan counseling questionnaire, housing loan application form, and membership status verification slip (MSVS).
[Read more →]
Buy only titled lands: realtor
Posted by engkanta on August 13th, 2007
They say the best evidence of property ownership is a Torrens title because it is both indefeasible and imprescriptible.
As an indefeasible and imprescriptible document, a land title can neither be annulled or voided nor subjected to prescription.
Hence, a good rule to follow when acquiring property would be to buy only those covered by an original certificate of title (OCT) or transfer certificate of title (TCT).
Realtor Wilfredo G. Montuerto, who is the managing broker of the Montuerto Realty Development Corp., said during a lecture on real estate appraisal that he discourages clients from buying properties covered only by tax declarations.
Pag-ibig housing loan guidelines
Posted by engkanta on August 8th, 2007
If you’ve made that big decision to buy a house, chances are you’re also already choosing from the many possible financing options available to you because, let’s face it, only a few people can afford to pay cash for big purchases like property acquisitions.
One alternative that private sector employees should consider when acquiring a house and lot is to take out a housing loan from the Home Development Mutual Fund (HDMF), more popularly known as Pag-ibig Fund.
Republic Act 7742 has made membership in the fund mandatory for private sector employees earning 4,000 pesos and above. If you’ve been contributing religiously to the fund for at least two years, you probably quality for that loan.
Pag-ibig Fund allows borrowing of up to 2 million pesos to fund any of the following:
* purchase of a fully developed lot in a residential area
* purchase of a lot and construction of a house on it
* purchase of a house and lot, townhouse, or condo unit
* construction of a house on a lot owned by the member
Taxes on real estate transactions
Posted by engkanta on August 1st, 2007
Jose Reyes, who works in a call center in Cebu City, has been transferred to his company’s main branch in Manila. He wants to move for good and sold his house and lot in a subdivision in Lapu-Lapu City for 2.5 million pesos.
How much is he required to pay in taxes to government for the sale?
The computation of his tax due depends on whether his property is a capital asset or an ordinary asset.
Capital assets refer to properties that are not used in connection with trade, business, or as an income source by the owner.
An example of a capital asset would be a residential house and lot “actually” used as residence by the owner.
On the other hand, properties used in trade or business or as a source of income by the owners are considered ordinary assets.
The applicable tax in the sale of capital assets is the capital gains tax. The tax rate is 6 percent of either the “price per deed of sale” or “zonal value” in case of land.
Government, in deciding which of the price or the zonal value (fixed by the local government unit) to use as basis in the computation of taxes, always goes for the higher amount.
Computing real property taxes in the Philippines
Posted by engkanta on July 25th, 2007
If you’ve owned real estate for some years now, chances are you already know what you need to pay government on a yearly basis.
Those still thinking of acquiring a house and lot or commercial and industrial land, be warned that aside from the one-time tax due on the sale, mortgage, or exchange of real property, there is also the regular yearly taxation–basic and special education fund–that you need to settle religiously.
The first of these yearly levies on properties is called the basic real estate tax. The other is the special education fund tax.
How does government determine how much basic tax owners should pay for their properties?
Central to this determination is what is called the fair market value (FMV) of a property.
Buyer’s market vs. seller’s market
Posted by engkanta on July 23rd, 2007
A seller of real property would not want to sell in a buyer’s market and a buyer would rather not buy in a seller’s market.
Sounds confusing? Let me explain.
Buyer’s market and seller’s market are real estate jargons that mean the exact opposite of each other.
But I think you’ve guessed that by now.
Anyway, on to my explanation.
Property sold to 2 persons–who gets it?
Posted by engkanta on July 22nd, 2007
Mr. A sold his vacant lot, measuring 500 square meters, to Mr. B for 1.5 million pesos in 2006. A year after or in 2007, Mr. A sold the lot again to Mr. C. for the same amount.
Who between Mr. B and C has the bigger right over the property?
Real estate laws in the Philippines say the buyer in good faith who first registered the sale has priority right over the 500-square meter lot.
If Mr. C, who paid for the property a year later than Mr. B, first registered the sale with the Register of Deeds, he gets ownership of the land.