MANILA – The Pag-IBIG Fund is offering lower promotional interest rates and increasing its maximum home loan ceiling to PHP10 million to help reduce monthly housing payments for Filipino workers amid higher commercial lending rates.
Department of Human Settlements and Urban Development Secretary Jose Ramon Aliling, who also chairs the Pag-IBIG Board of Trustees, said the subsidized and promotional rates support the government’s Expanded Pambansang Pabahay para sa Pilipino Program (Expanded 4PH) by making homeownership more affordable.
“Pag-IBIG’s promo rates are about making homeownership more affordable at a time when many Filipino families are carefully weighing the cost of buying a home,” Aliling said in a news release Tuesday.
“By lowering monthly amortization, we help more workers qualify for home financing, support stronger housing demand, and encourage more activity in the housing market,” he added.
Under the program, qualified borrowers for socialized housing may avail of a subsidized annual interest rate of 3%, allowing monthly amortization as low as PHP4,005 for a house-and-lot package worth PHP950,000.
Pag-IBIG also offers a promotional rate of 4.5% for low-cost housing loans above the socialized housing threshold up to PHP4.9 million, and 5.75% for loans exceeding PHP4.9 million up to the new PHP10 million ceiling.
Aliling said a stronger housing sector benefits the broader economy, noting that “every home financed means work for builders, suppliers, transport providers, furniture makers, retailers, and many other sectors connected to housing.”
Pag-IBIG Chief Executive Officer Marilene Acosta said the agency’s strong financial position enables it to offer below-market lending rates.
“We are able to offer these lower rates precisely because of our strong financial position. Our total assets and net income have grown steadily, our collections remain healthy, and our members continue to save with us in record numbers,” Acosta said.
Pag-IBIG data showed members saved PHP90.24 billion during the first five months of 2026. During the same period, the agency released PHP55.26 billion in housing loans, financing the purchase of 34,641 homes.