The Pag-IBIG Fund has reduced housing loan interest rates to as low as 4.5 percent for homes priced above the socialized housing ceiling, providing members with more affordable financing options through the end of 2026.
In a statement on Thursday, Pag-IBIG announced that loans or installment payments exceeding the socialized housing ceiling—currently set at P950,000 for house-and-lot units and P1.8 million for condominium units—up to the P2.5-million low-cost housing cap will carry a 4.5 percent annual interest rate.
"By lowering our three-year fixed rates from 6.25 percent to as low as 4.5 percent, we are helping our members save on their monthly amortization during the first three years of their loan," said Pag-IBIG Fund Chief Executive Officer Marilene Acosta.
For loans above P2.5 million up to P10 million, the annual interest rate will be 5.75 percent. Both promotional rates are fixed for three years before repricing based on the borrower's chosen repricing period.
The lower rates translate to significantly reduced monthly payments. For example, a P2.5-million housing loan payable over 30 years would have a monthly amortization of about P12,667—roughly P2,700 less than under the previous 6.25 percent rate.
Qualified members can avail of these promotional rates for housing loan and acquired-assets installment applications filed until December 31, 2026.