Do you need to finance your property purchase with a bank loan in the Philippines?

Significant improvements in the country’s economy have made the Philippines one of the most promising investment arenas in the Southeast Asian region.  With home loan interest rates now at an all-time low and with amortization periods now much longer, the property sector today is experiencing the gains as demand for more housing increases.  Today, more than ever, Filipinos are given more opportunities to own a home with the various financing packages made available by financing institutions.

As home loan rates improve, more and more home buyers are seriously taking a look at financing by banks and financial institutions as a better option.  There are several financing options available right now that make owning a home easier on the home buyers’ pocket.

Before deciding to take out a bank loan, though, always take note of the fixing period (also referred to as cycle, tenor, repricing period).  The fixing period is the period for which the interest indicated will apply.  After this period interest rates will be repriced, to either go up or down depending on economic factors prevailing at the time of repricing. You probably have noticed that the longer the fixing period, the higher the interest rate which, at initial glance, could be a disadvantage for you.  However, choosing a longer fixing period offers you the protection of having a fixed rate, regardless of any fluctuations, particularly upward movements, due to economic conditions.  I advise you consider and weigh all the factors that could affect rates in the future and strike a balance between paying a higher fixed interest rate as against hedging your bets for better and lower rates in the future.

If you want to know your estimated amortization please use the Loan Amortization Calculator at the right side of this page.  Just enter the loan amount, interest rate and term (number of years) and click “Calculate” and the calculator will automatically compute for your amortization.

Below are the current home loan interest rates of BDO and Security Bank, two of the most respected banks in the Philippines.  If you need help in applying for a bank loan in the Philippines, just Contact me and I can assist you.  I can also assist foreigners who wish to apply for condo purchase financing.

BDO Home Loan Rates 
Fixing PeriodRate
1 year5.5%
2 years6.5%
3 years6.5%
4 years6.88%
5 years6.88%


1 YEAR5.25%
2-3 YEARS6.25%
4-5 YEARS7%
6-10 YEARS8%
11-15 YEARS 9%


Contact me and I can assist you in your home loan application with these banks.

Kathy Lacuna 

Accredited Broker

Mobile # +63 9154348928







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Pagibig Series 4 : How much can a member borrow from PagIBIG?