Pag-IBIG eyes P8.6-billion socialized housing takeouts in Mindanao

DAVAO CITY, Philippines – State-owned Home Development Mutual Fund (Pag-IBIG Fund) is targeting P8.57 billion worth of socialized housing projects to be given out to its members in Mindanao.

The projected figure is a challenge for the agency’s accredited developers on the island, but Pag-IBIG Fund Deputy Chief Executive Officer Marilene Acosta said “it is for developers to produce more” socialized housing units for its members here.

In the first half of 2017, Pag-IBIG Mindanao recorded a P3.2 billion worth of loan value takeout which benefitted 3,951 families.

“There’s still a huge gap to fill,” Acosta told reporters in a briefing Thursday, September 14.

Key officials of Pag-IBIG were here to report the agency’s 1st semester accomplishments in its Home Lending Accomplishment Report attended by leading real estate developers.

Based on the figures, Pag-IBIG Mindanao will need to reach P5.37 billion of loan takeouts so it could reach the target.

Target achievable

One of the developers present during the fund’s briefing here said, however, that the goal is not beyond reach.

Mary Ann T. Chua, 8990 Housing Development Corporation (8990 HDC) General Manager, said their company alone projects P1.6 billion worth of projected socialized housing delivery this year.

Currently, 8990 HDC, Pag-IBIG’s top developer in terms of loans afforded to its members, has delivered P835 million worth of housing loans approved and taken out by Pag-IBIG members.

“And our target is in Davao alone,” Chua told Rappler.

There were 15 developers present on Thursday. Apart from 8990 Housing Development Corporation, present were Butuan-based VCDO Realty Corporation, General Santos City’s Agan Land Corporation, Cagayan de Oro City’s Jukens Builders and Trade, among others. All of these were recognized by Pag-IBIG as top developers on the island in terms of granting socialized housing units.

While Pag-IBIG Mindanao’s collection efficiency is still 87.74% (lower than the national rate at 90.2%) it is looking at the island region as it has new prospect areas for expansion.

Acmad Rizaldy P. Moti, the agency’s chief executive officer, said developers have been looking closely at country-side areas due to a surge in demand.

Moti identified the cities of Iligan and Cagayan de Oro City as one of those growth areas.

“There’s a huge demand (in theses cities) because the Maranaos now prefer to stay in safer areas,” he said, referring to situation in neighboring war-torn city of Marawi. – Rappler.com