Everything That You Need to Know About Housing Loans

Getting a housing loan seems to be hard work, with all those application forms and files to compile. You also have to make sure that the loan that you’re getting matches your budget. And of course, you have to make sure that you get the best property that you truly deserve.

Here’s a list of the things that you have to know about housing loans so that you won’t get lost in the whole process.


You have to fill up the much needed requirements before you go ahead with your housing loan. Here are the list that you have to remember:

  • Signed application form
  • Clear copy of 1 or 2 valid government ID’s
  • Marriage contract for married applicants
  • For expatriates or foreigners, a photocopy of Alien Certificate of Registration (ACR) showing that their VISA status as permanent immigrants or Alien Employment Permit (AEP). VISA ID is also acceptable.
  • Latest Income Tax Return (ITR)
  • Latest Certificate of Employment or latest pay slips for 3 months
  • Business Registration Papers for self-employed housing loan applicants, along with latest Audited Financial Statements for 2 years and 3 months consecutive Bank Statements.

The steps

As mentioned, getting a house loan comes with different processes. Here’s a list of them:

  1. Application process: This is the part where you fill the application form for the housing loan and specify the terms and conditions stated in the document. The application phase also starts when you start securing and submitting the requirements needed for the housing loan. Different housing loan Philippines vary in the days when you have to wait out for the result.
  2. Processing process: This is when the bank will check and see if you’re qualified for the housing loan. This is called prequalification. Someone from the bank or lending institution will give you a call to check your financial capacity. You can expect questions about your assets, your monthly income, and your liabilities when a representative from the bank calls you. The bank will also check on your co-maker to see if he/she has the ability to pay should you fail to do so.

The processing phase also includes getting preapproved. Getting preapproved means you need to submit the right housing loan documents, your bank statements, employment information, your latest income tax return, and other important documents. This will show the bank that you do have the capacity to pay for the housing loan every month.

  1. Annotation process: If you have passed the processing phase for your housing loan, your bank will call you to inform you that your housing loan is approved. However, the borrowers are asked to sign a loan covenant and to pay for the Pay Processing Fee for REM.
  2. Release process: Once the bank approves your housing loan, the money is then released to you.

Quick reminders

Here’s a fast tracks of reminders when getting a housing loan:

  • Never lie to your forms
  • Calculate all the fees
  • Do not forget your credit

Good luck on your application!