Purpose and rule on LTV limits
- Pag-IBIG Fund Circular No. 401 governs the determination of the loanable amount based on the loan-to-appraised value (LTV) ratio under the Pag-IBIG Fund Affordable Housing Program.
- The ratio of the loan amount to the appraised value of the collateral must not exceed the limits stated in the Circular.
- The LTV ceiling depends on whether the loan falls up to the Socialized Housing Limit or over the Socialized Housing Limit up to P750,000.
Loan-to-appraised value (LTV) ceilings
- For loans with an amount up to the Socialized Housing Limit, the maximum LTV is 100%.
- For loans with an amount over the Socialized Housing Limit up to PHP 750,000, the maximum LTV is 95%.
- The Circular applies the LTV ceiling to the loanable amount determined under the Pag-IBIG Fund Affordable Housing Program rules.
Repeal and continuity of other provisions
- Pag-IBIG Fund Circular No. 401 repeals Item No. 4.3 of Pag-IBIG Fund Circular No. 379.
- Pag-IBIG Fund Circular No. 401 repeals the Amended Guidelines on the Pag-IBIG Fund Affordable Housing Program insofar as they fall under the repealed item.
- All other terms and conditions of Pag-IBIG Fund Circular No. 379 that are consistent with the LTV provision remain in full force and effect.
Signatory
- The Circular was signed by ACMAD RIZALDY P. MOTI, Chief Executive Officer.