Pag-IBIG Fund more than doubled the share of its housing loans going to socialized housing in 2026 as the government expanded subsidized financing for minimum wage earners and low-income families under its Expanded Pambansang Pabahay para sa Pilipino (4PH) program.
Financing for socialized housing reached P12.10 billion, nearly 16 percent of Pag-IBIG’s total housing loans, from P4.45 billion or 7 percent a year earlier.
The number of socialized homes financed also surged to 10,904 units from 3,987, pointing to a significant shift in lending toward borrowers who typically face greater difficulty qualifying for conventional home loans.
Under Expanded 4PH, qualified buyers of socialized housing can access Pag-IBIG’s subsidized 3 percent annual interest rate, making monthly amortizations more affordable for lower-income households.
Housing Secretary and Pag-IBIG Fund Chairperson Jose Ramon Aliling said the increase reflected efforts to make homeownership more attainable for workers who would otherwise struggle to finance a home.
“By making home financing more affordable, we are helping more minimum wage and low-income workers move closer to owning a home,” Aliling said.
The 3 percent rate was among the first policy changes Aliling introduced to the original 4PH program after assuming office last year, as the government sought to improve access to housing for its intended beneficiaries.
Pag-IBIG also offers promotional rates of 4.5 percent for loans of up to P4.9 million and 5.75 percent for loans above P4.9 million and up to P10 million, extending relatively affordable financing to buyers outside the socialized housing segment.
Across its housing operations, Pag-IBIG reported a 15 percent increase in the number of homes financed and a 20 percent rise in loan releases from January to September 2026, indicating broader growth in housing credit beyond the socialized segment.
The fund has also signed agreements with property developers to expand the supply and range of housing units available to Filipino workers under Expanded 4PH.
The growth in socialized housing lending, however, also highlights the need to ensure that financing support is matched by an adequate supply of affordable units that meet the program’s requirements.
For Pag-IBIG, the latest figures suggest that subsidized credit is reaching a larger pool of lower-income borrowers, although sustained gains in homeownership will ultimately depend on whether affordable housing supply keeps pace with financing.
