Sat. May 25th, 2019
home loan

Alternative to Pag-IBIG Home Loan For OFWs

Have you set your heart on a property but you are not yet eligible for a Pag-IBIG loan?

Or maybe you just want to shop around for the best loanable amount offer and lowest interest rate. Whatever the reason is, there are other ways to finance your purchase of property in the Philippines even if you are overseas.


Here are other means to get a loan:

SSS Direct Housing Loan Facility for OFW

  • You can only get up to P2 million for a housing loan through SSS, suitable for Socialized and Low-Cost Housing Loans.
  • You may include two other members of your family who are also SSS members in your loan application.
  • Your loan is payable in 5 to 15 years with interest starting at 8% per year.
  • You may check the requirements and other details through the agency’s website.

In-house Financing

  • Your real estate developer can also help you through in-house financing.
  • Requirements in applying for in-house application is fairly easy. Usually, your initial down payment, a certificate of employment and document showing your source/s of income are enough to guarantee your loan approval.
  • One downside is the interest rate. In-house financing has the highest rate with almost triple the interest amount asked for by Pag-IBIG. However, unlike banks, these rates are fixed no matter how the country’s economy is doing.
  • In-house financing also offers shorter payment terms than most other loan providers. If you choose in-house financing, you can get a lower price for properties that are still pre-selling, meaning the buildings are not yet finished (or might not even started a brick).

Bank Financing

  • Some people are intimidated by the idea of getting a loan from banks. But, if you have a stable income, enough savings and you purchase a property that suits your financial capability getting a housing loan might not be that scary at all.
  • Banks are very strict at screening every loan candidate. Aside from assessing your financial capability, banking records and tax remittances they will also scrutinize your real estate developer. If all of the above is satisfactory, your loan is almost guaranteed.
  • But before you apply for a housing loan, you have to look for the right bank. Different banks have different programs, especially for OFWs. Here is a list of some reputable banks in the Philippines:
BDO BPI Metrobank

(age, gross family income/month, contract conditions and others)

At least 21 but not above 65 years old by the time the loan term ends


At least 2-3  years employment contract for OFW

Designated representative – an attorney-in-fact and a Special Power of Attorney (SPA)



Designated representative – an attorney-in-fact.


At least 21 but not above 65 years old by the time the loan term ends


At least 2  years of landbased employment in the last 5 years

At least a combined 24 months with an agency or 48 months from previous or multiple agencies including the present agency for seafarers.

Designated representative – an attorney-in-fact and a Special Power of Attorney (SPA)


Requirements –  Completed application form

–  Photocopy of valid ID

–  Marriage contract, if already married

–  Proof of remittance in the last 3 months

–  Certificate of Employment with Salary of Employment Contract

–  Photocopied collateral documents like TCT/CCT and tax declaration


–  Completed application form

–  2  valid IDs

–  Authenticated Certificate of Employment or Contract / POEA validated Crew Contract or Exit Pass for seamen

–  Proof of remittances

–  SPA

–  Collateral documents such as TCT/CCT, Lot Plan with location, tax declaration, and endorsement letter or contract to sell from developer


–  Completed application form

–  Government  ID

–  Authenticated Certificate of Employment or Contract / POEA validated Crew Contract or Exit Pass for seamen

–  Photocopied collateral documents like TCT/CCT and tax declaration, contract to sell or house plans


Loan Amount Minimum of P500,000 up to 80% of the appraised property value. Minimum of P400,000 up to 70% of the appraised house and lot.

80% if the appraised value is not more than P5 million.

For vacant lots and condos only a maximum of 60%.

70%-80% for house and lot and townhouses.

60%-70% for condominiums


Maximum Loan Term 20 years 25 years for house and lot

10 years for condo

25 years
Interest Year 1: 5.5% Year 1: 5.5% Year 1: 5.5%

These are just three banks, there are many other banks to choose from.

Purchasing a home is within your grasp. All you need is just a little bit of research, plenty of hard work, determination and of course a lot of love, you will soon be a proud homeowner.


Adarme, Nicole. “In-House Financing VS Bank Financing: Which One is for You?” Megaworld Blog. 10 July 2015

Adarme, Nicole. “Tips on Getting a Bank Loan for your CondoMegaworld Blog. 18 Feb 2015

BDO|BPI Family |Direct Housing Loan Facility for OFWsLoans. Social Security System.


3 thoughts on “Alternative to Pag-IBIG Home Loan For OFWs

  1. hindi ko po maintindihan. bakit ung housing loan ko umabot ng 3.4m ang kabuuang bayad samantalang ang niloan na amount lang ay 1.4m?

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