Housing Loan Guide · Philippines
Borrowing against a property you already own, for personal use — travel, medical, education, or debt consolidation.
When the borrower is a company rather than an individual, the paperwork shifts toward corporate governance — SEC registration, Articles of Incorporation, board resolutions naming who's authorized to sign, and two years of audited financials. It's the most document-heavy borrower category, but it's also how businesses acquire commercial or investment property under the company's name rather than a personal one. A Property Equity Loan (PEL) isn't for buying real estate at all — it's a personal loan secured against a property you already own outright or have significant equity in. People use PEL proceeds for travel, medical expenses, tuition, a vehicle purchase, or consolidating higher-interest debt into one lower-interest, property-backed loan. Below is the complete, up-to-date checklist for a Corporation borrower pursuing a Property Equity Loan (PEL) in the Philippines — 13 borrower-side documents plus everything the bank needs on the property side.
Process
Submit and complete all borrower and loan documents listed above.
You're confirmed income-qualified and cleared to proceed.
Both your income and the collateral property are fully verified.
The bank drafts your mortgage and loan agreement documents.
You sign the finalized loan documents in person or via your attorney-in-fact.
The loan is officially annotated on the property's title.
Funds are disbursed and the process is complete.
Pre-Approval
Pre-Approval
What Happens Next
You're confirmed income-qualified.
Income Matching
Your monthly amortization should be 50% or below of your monthly income.
GMIR = 50% of Monthly Income
Adjusted GMIR = GMIR − Existing Monthly Amortizations
Loan Amount = Adjusted GMIR × (1 − (1 + r/12)⁻ⁿˣ¹²) / (r/12)
Post-Approval
FAQ
PEL is meant for personal use cases like travel, medical expenses, education, vehicle purchase, or debt consolidation — the bank will typically ask for proof matching your stated purpose.
The property should be owned outright or have substantial equity — check with your bank on their specific minimum equity requirement.
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