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ILoveCyrus

Home mortgages in Cebu ....?

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batman2525

 

 

UPDATE:   If your spouse has a Pagibig account, maybe you can transfer over to them.  Yes, they will do it.   I called and spoke with BDO who originated our loan.  I asked if it happens often that people switch and go to Pagibig.  She said NO, that it was more the other-way-around.   BDO receives transfers from Pagibig

 

My G/F here in the UK is buying a property on Mactan.....She is currently paying her equity,she took me along to a Pagibig seminar at the hospital where she works a couple of weeks ago(as she is planning on financing her loan through Pagibig) and we sat down with the Pagibig woman who was running the show that day,one of my questions to her was....

 

If my G/F pays off her Pagibig loan early will there be any prepayment charges...the answer was no.

Also,Pagibig organisation offers loans (I think ) up to 30 years,based on the borrowers age...therefore lowering the monthly payment.

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musicman666

 

Check your loan documents - mine with BDO allow the full outstanding principal amount to be paid out without any early payment penalties.  Indeed, extra principal payments can be made monthly at any time without any penalties.

 

 

One thing you ought to be aware of before paying off loans early is that the government will hit you for an extra tax for paying off the loan in one go. I think it's a percentage of the remaining loan based on something like the last six years which would encourage you to pay off say 90 percent and let it trickle out over a further six years to minimize this tax.

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stevensanph

One thing you ought to be aware of before paying off loans early is that the government will hit you for an extra tax for paying off the loan in one go. I think it's a percentage of the remaining loan based on something like the last six years which would encourage you to pay off say 90 percent and let it trickle out over a further six years to minimize this tax.

Can you provide a reference for this as google turns up nothing and i have made many principal payments in the past without paying any taxes...

 

Sent from my Nexus S using Tapatalk

 

 

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musicman666

Can you provide a reference for this as google turns up nothing and i have made many principal payments in the past without paying any taxes...

 

Sent from my Nexus S using Tapatalk

It was news to me ....but I think they called it capital gains and it's charged when the loan is paid off ....but the way it's implemented it penalises early pay offs.

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stevensanph

It was news to me ....but I think they called it capital gains and it's charged when the loan is paid off ....but the way it's implemented it penalises early pay offs.

hence the reason i would like a reference. I read various philippine forums on housing markets and finance and have never seen this mentioned. CGT is due when a property changes hand. You may be thinking of the cost to have the mortgage satisfied on the land title, but this is included (at least it was with me and bdo, and im looking at the doc right now!) in the costs of getting the mortgage in the first place (i paid about 35k for a 2m loan)....

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