Home / Banking and Bank Deposit Products / Housing Loan interest rates in the Philippines

 
Sponsored Links

The battle for low housing loan rates in the Philippines is on. In the previous months, we’ve seen a variety of advertisements by local banks aggressively promoting their discounted home loan rates.

Here is a list of housing loan rates offered by Philippine banks.

(Update October 2014: Compare New Housing Loan Interest Rates in the Philippines)

Home Loan Interest Rates in the Philippines (as of June 2011)

Repricing Period Allied Bank BDO BPI FB* BPI FB** EastWest Bank HSBC Robinsons Bank* Security Bank
1 year 8.50% 7.88% 5.50% 8.75% 5.88% 5.75% 5.88% 8.75%
2 years 9.00%         7.49%   9.50%
3 years 9.50% 9.75% 7.75% 9.75%   7.69%   9.50%
5 years 9.75% 10.00% 8.75% 10.00%   8.99%   10.00%
10 years 11.50% 11.00% 10.00% 11.00%        
15 years 11.50% 11.25% 11.00% 11.25%        
16-25 years   11.50%   11.50%        

Notes:
* BPI FB – promo rates of BPI Family Savings Bank, valid until June 30, 2011
** BPI FB – published interest rates of BPI and BPI Family Savings Bank, before the promo period
*** Promo rate of Robinsons Bank, valid until June 30, 2011; no other fixed interest rates published for longer years

Sponsored Links

It’s good to see banks fighting it out by driving down interest rates.

Customers, however, must be wary of the terms and conditions of the housing loan agreement because the rates offered are usually just promo rates that are subject to repricing after a certain period.

Repricing means the housing loan can have a new interest rate charged to it after a certain period. A one-year repricing option, for example, means that at the end of the first year, a new interest rate may be charged on the loan. Usually the new interest rate to be charged is higher than the original interest rate.

Just a tip: Don’t be lured by ultra-low housing loan interest rates that are subject to annual repricing. Choose that only if you believe the market will continue to have low interest rates in the next few years.

But if you’re not sure about the interest rate and you’re also not ready for higher monthly payments, better to lock in a relatively higher interest rate for a longer period of time so you can have peace of mind as regards your monthly amortization in the coming years.

(Update October 2014: Compare New Housing Loan Interest Rates in the Philippines)

Source: Inquiries with Philippine banks

Comments via Facebook

comments

 
 
  • anon

    what is the maximum rate for personal loans in the phillipines, some person is charging over 35% a week for loans is this legal?

  • Ramilbitong89

    This is indeed very helpful. Can you post again an update. This was lat year’s data and might have already change. 

  • kcmendoza

    Sir, if you can provided updated date for 2012 list of interest rate for Home loan Philippines, this was really a big help in deciding which bank we will push through, thanks and regards,

  • firstthingfirst

    I have a current loan with bank A. Can I have a loan from bank B who offers lower interest rate to pay-up my loan with bank A?

  • LR

    Hi guys! If you’re interested in taking a home or auto loan, here’s a nice article to read: https://www.facebook.com/notes/loan-ranger/much-ado-about-loans/277985018987418

  • https://Foursquare.com/ Foursquare.Com

    Wonderful blog! I found it while searching on Yahoo News.
    Do you have any suggestions on how to get listed in Yahoo News?
    I’ve been trying for a while but I never seem to get there!
    Appreciate it

  • https://www.Youtube.com/ www.Youtube.com

    Asking questions are really good thing if you are not understanding something totally, except this paragraph presents pleasant understanding even.

  • http://www.svfriesland.nl/verslagen/552-kollumerkatloop Julianne

    Everyone loves what you guys tend to be up too.
    This type of clever work and exposure! Keep up the awesome works guys I’ve incorporated you guys to blogroll.

  • John

    GOOD DAY to you I am Mr John Emmanuel, a Reputable, Legitimate & an
    accredited money

    Lender. I loan money out to individuals in need of financial assistance.

    Do you have a bad credit or are you in need of money to pay bills?

    i want to use this medium to inform you that i render reliable beneficiary

    assistance as I’ll be glad to offer you a loan at 2% interest rate to

    reliable individuals.

    Services Rendered include:

    *Refinance

    *Home Improvement

    *Inventor Loans

    *Auto Loans

    *Debt Consolidation

    *Horse Loans

    *Line of Credit

    *Second Mortgage

    *Business Loans

    *Personal Loans

    *International Loans.

    Please write back if interested.

    Upon Response, you’ll be mailed a Loan application form to fill. (No social

    security and no credit check, 100% Guaranteed!) I Look forward permitting
    me to

    be of service to you. You can contact me via e-mail Johnemmanuelloanfirm@gmail.com or
    Johnemmanuelloanfirm@look.com

    Yours Sincerely

    MR John Emmanuel ( MD)