Planning to acquire your very own house and lot after years of working abroad? Get to know the requirements of bank housing loans for OFWs. We’ve listed them down for you.
Bank Housing Loans
Real estate is a popular investment among Filipinos, owing to the notion that if they acquire a home and lot, farmland, condominium units, and the like, they would never lose their hard-earned money as the value of these properties rises over time. The proliferation of real estate businesses that provide reasonable rates and flexible financing options is another reason why it is a popular investment option for many. Many Filipinos dream of owning a home that they can eventually call their own.
However, just like any other investment, buying a house or property has its drawbacks. For starters, real estate investing would need a substantial sum of money, and earnings may not be realized immediately.
The good news is that there are other banking institutions that especially cater to Overseas Filipino Workers that offers bank housing loans. These banks are eager to provide a helping hand to you, whether you need a company loan, a personal loan, a house loan/refinancing of an existing housing loan, or a vehicle loan. There is a step-by-step guide on bank housing loans available online. But if you already know it, let’s take a look at different options and what are the usual requirements for taking a Housing Bank Loan.
Suggested Read: How to Get a Housing Loan in the Philippines
Security Bank
Security Bank Housing Bank Loan Offers:
- PHP 1 million is the minimum loan amount.
- Maximum loan amount: 80% of the assessed value of the property
- Rates of interest:
- For one to three years, 6.25 percent is set.
- For the next five years, 6.75 percent will be fixed.
- For a period of ten years, 7.75 percent will be set.
- Term of the loan: up to 20 years
- Five banking days for approval is a quick turnaround time.
- It can be used to buy a house and land, an empty lot, or a condominium unit.
- It may also be used to build, renovate, or refinance a property.
Who are qualified to loan:
- you must be at least 21 years old but not more than 65 years old.
- Having a monthly combined income of PHP 50,000
- For a period of at least two years, you must have been employed continuously.
- Self-employed applicants must have run a legal and productive company for the previous three years.
Bank Housing Loan Requirements:
- Form for requesting a loan has been completed.
- One clear copy of a valid ID with a photo (same requirement for spouse or co-borrower)
- Any of the following recent income papers are required for employed applicants: Employment and Compensation Certificate
- Income Tax Return (ITR)
- Paystubs from the previous three months
- Statements from the last three months’ bank accounts
- For candidates who are self-employed:
- ITR
- Any of the following income documents: one-year audited financial statements, three-month bank statements, or rental contracts
- Application for Mortgage Redemption Insurance (MRI)
- Power of Attorney for Special Purposes (for OFWs only)
BDO
BDO Housing Bank Loan Offers:
- The minimum loan amount is PHP 500,000 for a house and lot and PHP 300,000 for just the lot.
- Maximum loan amount: 80% of the assessed value of the property
- Rates of interest:
- For one to two years, 6.25 percent is set.
- For three years, 6.75 percent will be set.
- For the next four to five years, 7.25 percent will be set.
- Term of the loan: up to 20 years
- Five banking days for approval is a quick turnaround time.
- It can be used to buy a house and land, an empty lot, or a condominium unit.
- It can also be utilized for house building, remodeling, purchase cost reimbursement, or refinancing.
Who are qualified to loan:
- you must be at least 21 years old but not more than 70 years old.
- Having a monthly salary of at least PHP 50,000
- For a period of at least two years, you must have been employed continuously.
- Self-employed: Must have run a legal and profitable company for the previous two years.
- For OFWs, they must work for two to three years in a row.
Bank Housing Loan Requirements:
- Form for requesting a loan has been completed.
- a photocopy of one valid ID that matches the application’s information
- Any of the following recent income papers are required for employed applicants:
- Employment and Compensation Certificate
- ITR
- Paystubs from the previous three months
- For candidates who are self-employed:
- ITR’s most recent version
- Articles of Partnership or Incorporation, Certificate of Business Registration from DTI or SEC (whichever is applicable)
- Background information or a company profile
- Any of the following income documents: two-year audited financial statements, six-month bank statements, or rental contracts
- For OFW’s
- Proof of remittance for the last three months is required.
- If at sea, the most recent crew contract
- COEI (Consularized Certificate of Employment with Income) or pay stubs from the last three (3) months
METROBANK
METROBANK Housing Bank Loan Offer:
- PHP 500,000 is the minimum loan amount.
- Maximum loan amount: Metrobank-accredited developers can borrow up to 90% of the property’s net selling price.
- Rates of interest:
- For one to three years, 5.75 percent is set.
- For four to five years, 6.75 percent will be set.
- Term of the loan: up to 25 years
- It can be used to buy a house and land, an empty lot, or a condominium unit.
- Can also be used for house building, asset purchase, acquisition cost reimbursement, or refinancing.
Who are qualified to loan:
- When the loan matures, you must be at least 21 years old but not more than 65 years old.
- Having a monthly salary of at least PHP 40,000
- For a period of at least two years, you must have been employed continuously.
- For OFWs, either a land-based (technical or administrative staff/officer) or a sea-based (officer) position is available.
- OFWs in current work or who have renewed or signed a contract at a loan application
• Employed locally in the previous two years for land-based OFWs with fewer than two years of service 5 years before becoming an OFW, or as an OFW with several employment or a mix of local and international work
• For sea-based OFWs, a total contract period of 24 months was completed your present agency, or 48 months if previous agencies are included
• Self-employed persons must earn at least $1,000 (equal to Php30,000), or have the same GMFI (Gross Monthly Family Income) for a set period of time those who make money
Bank Housing Loan Requirements:
- Form for requesting a loan has been completed.
- a photocopy of a government-issued identification card
- Any of the following recent income papers are required for employed applicants:
- Employment and Compensation Certificate
- ITR
- Paystubs from the previous three months
- For business applicants who are self-employed:
- Registration with the Securities and Exchange Commission
- Certificate of Registration from the Department of Transportation
- ITR’s most recent version
- Financial Statements that have been audited for the past two years
- Six-month bank statement with “No Overdraft Charges” BOO certification
- In the case of OFWs:
- Land-based: Employment Certificate with Employer’s Email
If a maritime base is used, the most recent POEA contract should be used.
Maybank
Maybank Housing Loan Offer:
- PHP 500,000 is the minimum loan amount.
- The maximum loan amount is 80% of the appraised value for a home plus lot, condo, or townhouse, and 60% for a lot solely.
- Rates of interest:
- For one to two years, 6.75 percent is set.
- For three to four years, 7.25 percent is set.
- For the next five years, 7.5 percent will be fixed.
- It can be used to buy a house and land, an empty lot, or a condominium unit.
- It can also be utilized for house building, equity, or refinancing.
Who are qualified to loan:
- When the loan matures, your age plus the length of the loan should not exceed 65 years old.
- You must have worked for at least two years in a respectable organization; or
- You own a company that has been in existence for at least three years and has been profitable for the past two years.
- You should have a two-year employment contract if you are an international worker.
- If you’re a seafarer, you should be at least an officer level and have worked for at least two years in a row.
- For foreign laborers or seafarer candidates, an attorney-in-fact is necessary.
Bank Housing Loan Requirements:
- Form for requesting a loan has been completed.
- a photocopy of a government-issued identification card
- CENOMAR and a marriage certificate (if married) (if single)
- Any of the following recent income papers are required for employed applicants:
- Employment and Compensation Certificate
- ITR
- Paystubs from the previous three months
- For business applicants who are self-employed:
- Permits and Business Registration
- ITR’s most recent version (last two years)
- Financial Statements that have been audited for the past two years
- Description of the Business
Bank Statements/Passbook from the previous six months
- In the case of OFWs:
- Employment Contract / Employment Certificate
- Employment History / Most Recent Crew Contact (if applicant is a Seafarer)
- Special Power of Attorney (formatted according to Maybank)
- Bank statements/remittance evidence from the previous six months
- ITR’s most recent version (if applicable)
UnionBank
UnionBank Housing Bank Loan Offers
- PHP 500,000 is the minimum loan amount.
- Maximum loan amount: 80% of the contract price of the property
- Interest rates range from 8% to 11%.
- Term of the loan: One to twenty years
- Allows for a ten percent to ninety percent down payment.
- It can be used to buy a lot, a home and a lot, or a condominium, as well as to build, refinance, or renovate a house.
- Timeliness of approval
Who are qualified to loan:
- 21 to 65 years old at the time of debt maturity, but not older than 70.
- Filipino or a former citizen of the Philippines
- Employees who have a permanent position
- Individuals who have been self-employed for at least two years and have a profitable business.
- OFWs
Bank Housing Loan Requirements:
- Housing loan application form for a Unionbank Home Loan has been completed.
- Valid identification (SSS/GSIS/TIN ID)
- Contract of Marriage (if married)
- For employed candidates, the following are the most recent income documents:
- Salary information is included on the certificate of employment.
- Paystubs from the previous three months
- For self-employed candidates, the following are the most recent income documents:
- Certificate of Business Registration from the DTI or the SEC
- Statements of Income
- Statements from the last six months’ bank accounts
- ITR
- Contact information for a list of clients or suppliers
- Additional documents for OFWs:
- Valid passport with entry and exit stamps
- Original consularized Special Power of Attorney
Bank of the Philippines Island
Bank of the Philippines Island Housing Bank Loan Offer:
- PHP 400,000 is the minimum loan amount.
- Amount of the loan:
- 70 percent of the home and lot’s assessed value
- A empty land or residential condominium is worth 60% of its appraised value.
- up to 80% of the home and lot’s appraised value (as long as the amount does not exceed PHP 5 million)
- Rates of interest:
- 6.25 percent set for a year or two
- For three years, 6.75 percent will be set.
- For four or five years, 7.25 percent is set.
- For a period of ten years, 9.50 percent will be set.
- Fixed for 15 years at 10.50 percent
- For the next 20 years, 12% will be fixed
- Terms of the loan:
- For a house and a lot, up to 25 years is possible.
- Vacant land, residential condominium, commercial loan, refinancing, or multi-purpose loans can be financed for up to ten years.
- Processing time is short (You can expect a reply within five working days after submission of complete requirements.)
- Applicants with prudent wages and purchasing habits should apply.
The number of OFWs continues to rise year after year. These modern-day heroes continue to struggle for a better future while working away from home. Despite the money mistakes OFWs commit, they want to be able to provide for their families, send their children to decent schools, and retire comfortably.
All of these objectives are made achievable through investing. Whether it’s purchasing a home, applying for a bank loan dedicated for housing or investing in the stock market, investments for OFWs provide a chance for financial independence that should not be overlooked.
Read Also: The Importance of Real Estate Investing for OFWs
Now that you’ve learned and explored some of your options towards applying for a housing bank loan, it’s time to start looking for a home that will exceed your requirements.
Bria Homes, a reputable and rapidly expanding developer in the Philippines, might be just what you’re looking for. With over 50 projects nationwide, Bria offers House and Lots and Condominiums that are situated in key locations that will provide economic growth for its homeowners.
Written by Aaron Cruz
