The recently concluded SHDA Pledging Ceremony at the Malacañang Palace last November 20, 2003 gathered an overwhelming support from the different real estate developers. With President Gloria Macapagal-Arroyo present, the SHDA members pledge 236,076 housing units under the program SHDA Pledge 200,000. The said ceremony was attended by our very own Mr. Johnny Corpuz, ADC's Head of the Sales and Marketing Division.

Accepting the pledge, the president said “This is an unprecedented call to build houses for the working class.” The housing commitment will consist of more than 77,000 units of low-cost housing worth Php28.9B; 33,084 units of socialized housing worth Php6.62M; and 66,423 units for middle income groups worth Php53.14B. The rest goes to upscale projects.

Government-sponsored housing for the poor is one of the eight centerpiece projects that President Arroyo identified as her administration's priorities during the last 18 months of her term. ADC is one of the real estate developers who responded to this call by launching a socialized housing project called Eastwind Homes last October 2002.

The call of the president to all government financial institutions involved in the housing program to cap their interest rate at 6% for low and medium-cost housing has been successful in promoting Eastwind Homes located in Montalban, Rizal, resulting to its fast selling of units.

In line with this event are the new developments in PAG-IBIG Financing as embodied in the latest HDMF Circular 189-B noting the further reduction of its Interest Rates:

Socialized Housing
Php 150,000 – from 9% to 6%
Php 225,000 – from 12% to 9%
Economic
Php 225T-Php 500T – from 14% to 10%
Middle Cost
Php 501T-Php 2M – from 16% to 12%

Also included in the circular are higher loan to value ratios, longer loan payment period and entitlement, and faster appraisal service among the few. With these developments, “developers forecast that mass housing, not high-end housing, will actually drive the real estate sector this year.” -( Philippine Daily Inquirer, January 07, 2003)

by: allan natividad