Pag-IBIG Davao rakes about P1 billion under end-user housing projects

May 26, 2008

Pag-IBIG Fund Davao branch raked in about a billion pesos under its end-user financing for housing projects as of November 2007 making the Southern Mindanao Group achieved 116 percent performance for its housing services.  Most of the homebuyers from the other parts of Mindanao chose Davao City to locate their residence or second home.

The Southern Mindanao group surpassed their target by hitting 116 percent or about P1.454 billion which were spent to fund some 3,797 units as against the 2007 target of only P1.258 billion.

Davao City (to include Davao del Sur area) was able to deliver some 2,079 units valued at P957,175,000; General Santos City with 795 units with cost at P265,317,000; Tagum (including Davao Oriental and Compostela Valley Provinces) had 715 units with P165,598, 000 funding and Cotabato (to include Maguindanao, North Cotabato, Sultan Kudarat and Cotabato City) had 208 with P66,664, 000.

Pag-IBIG Fund vice presdient for Southern Mindanao operations Jose W. Banzon, Jr. attributed the increase in housing availment to their new scheme where interest rates were brought down making housing units affordable to homebuyers.

He said they observed that homebuyers in Davao City are mostly families sending their children in colleges and universities.

“This is the wisest decision they make because it is more advantageous nowadays to buy a house than rent one where the amortization is much lower than renting a house,” he said.

For a P300,000 house and lot package one would only get an interest rate of 6 percent or an amortization of about P1,800. Before the same package was charged 9 percent interest rate and the monthly amortization of P2,700.



Good Payor Incentive Program

May 26, 2008

Loan borrowers of Pag-IBIG Fund have been given a two percent discount when they pay their home loans before the due date.  The new scheme is part of the benefits’ package for workers dubbed as “Good Payor Incentive Program”.



May 26, 2008

The Fund grants some P6.18 billion in dividends to nearly 6.5 million Pag-IBIG members nationwide.

The 2006 dividend comprises 80 percent or the largest ever percentage cut from the Fund’s net income, which represents a dividend rate of 4.81 percent. The Pag-IBIG Fund Charter provides that it should distribute at least 70 percent of its annual net income as dividends to its members.

The steady increase in annual dividends signifies the Pag-IBIG Fund’s continuous growth and stable financial standing.

Pag-IBIG Fund president and CEO Atty Romero Quimbo declared that a higher income for the Fund invariably leads to higher dividends and better services for the Fund members.

Today’s news report

May 19, 2008

Pag-IBIG Southern Mindanao asset to hit P12.8-B this year

Pag-IBIG Fund Southern Mindanao assets are projected to hit P12.8 billion in 2008.

Jose W. Banzon, Jr., Pag-IBIG Fund vice president for southern Mindanao operations said Davao is expected to corner the biggest asset with P5.7 billion, General Santos with P2.6 billion, Tagum, P2.3 billion and Cotabato, P2.2 billion.

Total assets last year was pegged at P11.6 billion, Banzon said.

Banzon likewise reported that gross revenue as of September 2007 was recorded at P714 million. It was able to deliver to its multi purpose loan borrowers for the same period about P226 million while housing loans both for mortgage contract receive and with contract to sell at P 379 million.

Also on the third quarter last year, the Fund was able to extend some P16.9 million in institutional loan while other housing related loans was at P75 million and fund management availed of housing developers was about P16.5 million.

Operating expenses incurred by the Fund as of September 2007 was about P183.5 million and these covers depreciation, loan loss provision, interest expense, foreclosure expenses, acquired asset management costs and death benefit.

Meanwhile Banzon said that insofar as collections are concerned, their target are as follows: P2.8 billion for short tem loans, P952.5 million for housing loans, P513.8 million for asset recovery, P131.8 million for institutional loan or a total for all programs at P5.566 billion.

About P1.069 billion is their expected collection for members’ contributions this year.


VP de Castro urges regular payments of housing loan amortizations

May 15, 2008

Vice President and Housing czar Noli de Castro urged urban poor homeowners to also pay reguarly their home loan amortization as he exhorts everyone not to forget their obligation.

The Vice President in a Housing Summit May 9, 2008 at the Philippine Women’s College, Matina, Davao City met with the homeowners organizations of Davao City where he also awarded the Certificate of Title to beneficiaries of housing projects of unused government lands converted into sites for socialized housing.

The summit was also attended by Pag-IBIG Officers led by Deputy Chief Executive Officer and Executive Vise President Jaime A. Fabiana and SM Vice President Jose W. Banzon, Jr. Also present were Pag-IBIG branch managers Manolito Olegario of Davao, Rodrigo Suemith of General Santos and Elizabeth Tinagan of Tagum.

De Castro was elated saying that the Summit was a good opportunity where the urban poor and the stakeholders discussed on their housing concerns.

“Ang Davao City naman di mahilig ng libre at huwag tayong mag short cut sa proseso kasi maraming sabit pag magshort cut tayo,” he said.

With regards to their concern on housing, the Vice President encouraged homeowners to send their issues and concerns to his office as he is willing to answer them provided they must indicate their addresses so they would know where to send the feedback.

De Castro also announced that because of so many complaints they had shortened the processing of requirements among shelter agencies.

House Speaker Prospero C. Nograles in a public hearing in Davao City on May 8 said homeowners must take the opportunity once the consolidation of House Bill Nos. 89, 411 and 1932 be firmed up.

The House of Representatives Committee on Housing is consolidating all the bills with regards government housing program to gather all the inputs of different sectors raised during public hearings.

House Bill No. 89 is an “Act to establish a socialized and low cost housing restructuring program, providng the mechanism therefore, and for other purposes,” authored by Rep. Rozzano Rufino B. Biazon, House Bill No. 411 is authored by Rep. Eduardo C. Zialzita re “An act instituting a socialized and low cost housing loan restructuring program, providing the mechanism therefore, and for other purposes”, and House Bill No. 1932 is entitled “An act instituting a socialized and low cost housing loan restructuring program, providing mechamism therefore, and for other purposes”, authored by Speaker Prospero C. Nograles.

Nograles said the only way to stop foreclosure is the restructuring program and they are finding ways to fill the gap even as he said that they had lowered the interest rate and is now pegged at six percent.

Restructuring is a temporary relief of homeowners whose account has been delinquent and facing foreclosure and once the law this will be the chance for those facing foreclosure pero hindi naman pwedeng hindi tayo magbayad, Nograles pointed out.

“Once the homebuyer avails of restructuring they must also pay their obligation because these shelter agencies also have operating expenditures,” he said.

And definitely when we borrow we must also pay,” the House Speaker stressed.

Quotes from VP Banzon

May 15, 2008

“The Fund family must continue extending their services with clients satisfaction. Let us maintain quality service and by serving the clients with smile as well as sustain an accommodating attitude to all clients”.

“We should listen to feedback because this is a tool that will help us improve our services”.

“We should not discard the past when Pag-IBIG Fund was just starting. Its humble beginnings and sacrifices made the Fund what it is today.This should be a guide as we continue to make Pag-IBIG Fund a model of service”.

News Report

May 15, 2008

Pag-IBIG loan availment rises to 80% of savings.

The Pag-IBIG Fund has increased the computation of loan availment of the multi purpose loan (MPL) from the member’s accumulated savings to 80 percent.

Pag-IBIG Fund Mindanao vice president Jose W. Banzon, Jr. told the Davao media that this is one innovation that the Fund has given to members as an incentive for those with contributions that had reached five years and above.

“What is good with the new scheme is that the loan can be renewed in six months unlike the previous where a borrower has to wait for the maturity period of 12 months before the loan can be renewed,” he said.

MPL is among the saleable program that the members avail of because it can be accessed easily with processing for renewal only in three days while first timer can have it within 24 hours.

In Mindanao, he said, the Fund was able to loan out in 2005 some P4 billion this year and 35 percent of the 772,000 Pag-IBIG Fund members spread out all over the island availed of the loan window.

MPL is a short-term loan where proceeds could be used by the borrower for purposes either as capital for income generating project, educational purposes or for health concerns and others.

No survey as yet has been conducted to where the proceeds of MPL were applied by the borrowers but through word of mouth some Pag-IBIG Fund borrowers of the short-term loan used the proceeds for livelihood purposes.