Building Your Dream Home: Comparing Housing Loans Offered by Banks for OFWs

There are many reasons why you decide to seek greener pastures and work overseas. Aside from providing a better future for your family, you wanted to have a house you can call not just your home but also your own.

Let’s face it. Owning a house in the Philippines can be expensive. Despite the savings and your hard work combined, they may not be enough to finance your dream home – yet. Thankfully, banks realized this demand and offered a Housing Loan specifically for OFWs.

Check out the terms and features of the Housing Loan offered by banks:

BDO’s Home Loan via Asenso Kabayan Program 

Interest Rate Loan Terms Payment Options Processing Time
Starting at 5.25% with annual interest rate repricing at 7% -Up to 80% of the property’s appraised value

-Term up to 20 years

60-day grace period payment or Interest only for the first 6 months Within 5 working days for Metro Manila and within 10 days for provincial areas

BDO is among the most stable banks in the country. It offers Housing Loan to help you buy your dream home, renovate your existing home, or to finance another property.

Requirements include:

  • At least 21 years old but not exceeding 65 years old at the maturity of the loan
  • Must be employed at least two years consecutive contract for skilled workers or three years consecutive contract for household workers
  • Assignment of Attorney in Fact as your Loan Administrator in case you are not physically present at the time of the loan application
  • At least P100 deposit in your Peso Account
  • Filled out and signed application form
  • One valid ID
  • Proof of Remittance for the last three months
  • Consularized Certificate of Employment with Salary of Employment Contract in case proof of remittance is not submitted
  • If seafarer, latest Crew Contract
  • Photocopies of land title and Tax Declaration

In case you are availing of Home Loan for construction purposes, the following documents must be submitted:

  • Building or Floor Plan of the proposed improvement
  • Specification of proposed finishes
  • Bill of Materials

BPI Family’s Housing Loan for OFWs 

Interest Rate Loan Terms Payment Options Processing Time
Starting at 5.25% with yearly repricing rate of 7.50% per annum -Minimum Loan Amt is P400,000

-Payable 10 (vacant lot / condo) to 25 (house and lot) years

-Up to 70% of appraised value of house and lot

-Up to 60% of appraised value of vacant lot or residential condo

-Auto Debit Arrangement (ADA)

-Over the counter

Within two weeks or less from the time all the documentary requirements are submitted

BPI offers two types of Housing Loan for OFWs: Housing Loan for land-based workers and Seafarers.

Here is a list of requirements needed when applying for a loan:

  • Duly accomplished Application Form
  • 2 valid IDs
  • Must have an existing Allottee Payroll Remittance Agreement with BPI
  • Must not be more than 60 years old at the time of the loan application
  • Has minimum monthly income of P40,000
  • Crew Contract and Exit Pass validated by POEA for seafarers
  • Contract or Certificate of Employment authenticated by the Philippine Consulate for Land-based workers
  • Proof of monthly remittances
  • Collateral documents such as but not limited to clear copy of the TCT/CCT, lot plan certified by licensed Geodetic Engineer, and photocopy of tax declaration, clearance, and receipts
  • Loan Administrator and/or Consularized Special Power of Attorney in case you are unable to personally appear to submit and sign documents.

Chinabank’s HomePlus for OFWs

Interest Rate Loan Terms Payment Options Processing Time
Limited info, but allows you to avail of fixed rate for one, five, or 10 years Up to 10 years for condominium units, 15 years for vacant lot, and 25 years for house and lot Automatic debit arrangement Limited information available

Chinabank also recognizes the need of OFWs for a place they can call their own; hence the HomePlus housing facility. You can use this for the purchase of your new home, home renovation, refinancing of an existing housing loan with other lenders, or construction of a residential property.

Requirements include:

  • Duly accomplished loan application
  • Must not be more than 65 years at the time of loan maturity
  • At least three years of employment
  • No adverse credit findings such as bounced checks or court cases
  • Deposit Statement of Accounts for at least six months
  • Valid ID
  • Certificate of Employment showing length of service and monthly compensation package
  • Payslip for the last six months
  • POEA Contract
  • Special Power of Attorney in case someone will transact on your behalf

Take note that the documents must be authenticated by the Philippine Embassy or Consul if the documents were issued abroad.

Land Bank’s Bahay Para Sa Bagong Bayani (3B)

Interest Rate Loan Terms Payment Options Processing Time
Depends on the prevailing market rate and subject to yearly repricing -15 years if w/o co-borrower and 20 years if there is a co-borrower

-Loan amount is OFW’s lowest paying capacity or 80% of the loan collateral

Limited information available Limited information available

Land Bank’s 3B is a special housing lending program designed for OFWs. The purpose of this facility is to allow OFWs to buy, build, or renovate your home, whether residential, townhouse, or condominium unit – with more flexible terms.

Check out the requirements:

  • Duly accomplished Application Form with 1×1 photo
  • At least 21 years old but not more than 65 years of age at the time of loan maturity
  • Must hold a live contract from a reputable company
  • Title must be under the name of the OFW-lender
  • Copy of Employment Contract
  • Collateral documents such as TCT or CCT, tax declaration, latest tax receipts, lot plan, and location and vicinity map

PNB’s Sure Home Housing Loan 

Interest Rate Loan Terms Payment Options Processing Time
Starts at fixed interest rate of 5.75% to 10.75% -Min loan amt at P750K for purchase of house & lot, townhouse or condo in Metro Manila and 500K for areas outside MM

-Min loan amt at 500K for purchase of lot within MM and 200K outside MM

-Up to 20 years for purchase of house & lot, townhouse, or condo; or 10 years for lot purchase / home improvement

Automatic debit arrangement or post-dated checks Limited information available

Whether you are looking for ways to help you finance the purchase of a lot or condominium unit, PNB’s Sure Home Housing Loan is there to help. Just make sure you will meet and submit the following requirements:

  • Duly accomplished Housing Loan application form
  • Photocopy of 2 valid government IDs
  • Payment of non-refundable P3,500 appraisal fee
  • Photocopy of passport
  • POEA-approved Contract or Certificate of Employment and authenticated by the Philippine Embassy if direct-hired. If contract is not written in English language, a translation must be provided
  • Crew Contract and Exit Pass from POEA if seafarer
  • Proof of remittances through PNB or other banks

Unfortunately, this facility is only available for OFWs working in Japan, Singapore, New York, and Los Angeles.

PSBank’s Home Loan with Prime Rebate 

Interest Rate Loan Terms Payment Options Processing Time
Depends on the prevailing rate at the time of approval of loan -Loan amount between P500K to P25M

-Up to 80% of the appraised value

-Up to 10 years for residential lot purchase and 25 years for house & lot, townhouse, or condo

-Online payment using enrolled deposit account

-Post-dated checks

-Automatic Debit Arrangement

Five banking days, wherein you will be notified thereafter via SMS

PSBank is among the best in the market when it comes to home loan, which caters to the needs of both OFW and non-OFW borrowers.

Here is a list of the requirements needed to process your loan:

  • Payment of Appraisal Fee (P3,500) and Processing Fee (fixed at P4,000), payable via cash or check
  • Valid IDs with photo and signature
  • Consularized Certificate of Employment
  • Job Contract
  • Proof of remittance for at least three to six months, payslip for at least three months, or Income Tax Return, whichever is applicable

East West’s Home Loan 

Interest Rate Loan Terms Payment Options Processing Time
Starts at 5.5% to 11%, depending on the term of the loan Limited information available Offers the longest payment option, allowing you to pay your Home Loan up to 30 years Five banking days, wherein you will be notified thereafter via SMS

Make sure you will submit the following documents when applying for a Home Loan with East West:

  • Duly accomplished application form, which you can apply online
  • Minimum monthly income of P40,000
  • 2 valid government-issued IDs
  • Consularized Certificate of Employment with Compensation
  • Original six-month remittances or payslips, whichever is applicable
  • Crew contract validated by POEA for seafarers

Security Bank’s Housing Loan 

Interest Rate Loan Terms Payment Options Processing Time
Starts at 5.5% fixed for one year and up to 9%, depending on the term of the loan -Up to 80% of the appraised value for new house & lot, condo, or townhouse; or 70% of the appraised value for vacant lot or second home

-One to 25 years, depending on the property being financed

-Regular monthly amortization or Fantastic Elastic arrangement

-Automatic debit arrangement

-Monthly amortization will start one month after loan release

Limited information, although you will receive the status of your application via SMS

The requirements include:

  • Monthly income of at least P50,000
  • Employed for at least two years
  • Filled out and signed application form
  • One valid ID with clear photo and signature
  • Any of the income documents, whichever is applicable: Certificate of Employment with Compensation issued within the least six months, latest Crew Contract (seafarer) or Employment Contract (land-based OFW), Allotment Slip, or latest three-month payslip
  • Collateral documents (copy of TCT/CCT, tax declaration, latest tax receipts, and tax clearance among others)
  • Consularized Special Power of Attorney if OFW is abroad and assigned someone to transact on his/her behalf
  • Mortgage Redemption Insurance application form

What Security Bank is most proud of is its Fantastic Elastic feature. It is a flexible payment option that allows you to choose the repayment scheme for your housing loan. Aside from the fixed monthly amortization, you can avail of the Fantastic Elastic option wherein you can make over or underpayments on the loan. This can only be done through automatic debit arrangement on your tagged on your account specifically dedicated for payment of home loan.

RCBC’s My Home Housing Loan 

Interest Rate Loan Terms Payment Options Processing Time
Prevailing interest rate at the time of loan release -Up to 80% of the property’s appraised value for townhouse, house & lot, and condo; and 70% for vacant lot

-Min floor area of 50 sqm for land with improvement and min 25 sqm for condominium

Must open a checking or savings account where the amortization will be deducted Limited information, available

Whether it’s for the purchase of a house and lot, construction, renovation, or takeout of another existing home loan, RCBC can lend a helping hand.

Requirements are as follows:

  • Permanent employment of at least two years
  • Certificate of Employment and Compensation
  • Valid government-issued IDs
  • Photocopies of collateral documents such as TCT/CCT, tax declaration, and latest real estate tax receipts

Tons of banks offering Housing Loan for you. With this information in mind, do you have a lender in mind to help you finance the purchase of your new home?