Housing Loan Guide · Philippines
Borrowing against a property you already own, for personal use — travel, medical, education, or debt consolidation.
Retirement doesn't disqualify you — banks simply need your pension to show up consistently in your bank statements. Whether it's SSS, GSIS, or a private pension, what matters is that the deposits are regular and traceable. The requirement list is short compared to other borrower types, which makes this one of the more straightforward applications once your pension proof is in order. 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. One thing specific to Pensioner applicants: pension must reflect in bank statements. Below is the complete, up-to-date checklist for a Pensioner borrower pursuing a Property Equity Loan (PEL) in the Philippines — 6 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
Good to Know
Pension must reflect in bank statements.
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.
Explore More