Bank Financing For A Home

[United Army]

Has anyone went through a bank for a home mortgage? I'm looking at a townhouse in Talisay City, Cebu and submitted an application to BPI. Any pit falls I should know about?

[Art2ro]

It may depend on your age, immigration and marital status! So what and which are you? We got a home loan from BPI and only up to the age of 65. I at the time of the loan was 50 yrs old and my wife and I are both Fil/Am with U.S. passports using the "Balikbayan Program" which allows us to purchase a lot and house. Since all of my paperwork and other documents was in order, our loan was processed without any problems for just a one million peso loan to finish construction of our home and add an extension and a 2 car garage. They gave me a 12 year loan at 14% variable amortization loan, which now is presently down to around 7.88%. Our unpaid balance is at an amount where we can pay off the balance anytime we wish since it's now to a small manageable amount where it won't break us to pay it off in full. BTW, in 2000, our purchase price of our lot including the basic structure, roof and 4 walls only (unfinished interior with no garage) on a 187 sq meter lot was only P2.9 million. At today's prices, I couldn't buy a house and lot today in our subdivision for under P5 million! It's not a very big house, but we are content where we live and it's almost paid for! You can check out our pics on our forum photo gallery here: http://www.philippin..._album&album=36or our Photobucket website:http://s946.photobucket.com/albums/ad302/ezartjho/?albumview=slideshow

Edited December 7, 2010 by Fil/AmArt

[Mr Lee]

Has anyone went through a bank for a home mortgage?  I'm looking at a townhouse in Talisay City, Cebu and submitted an application to BPI.  Any pit falls I should know about?

If it is a new townhouse then ask if they have their own financing, that was what my wife and I did when we bought one of our condo units and they usually offer pretty good rates that way.  In our case if was 0% interest for two years and one of my friends got 0% interest for three years when he bought his last year.  As for pitfalls, just be careful to read every little thing in the mortgage if you get one, and it might be best to get an attorney because we did not get the title until we paid off the loan, so make sure how that works with the bank or developer you will use.  Let me add the obvious, you cannot own land, so it would either have to be in your wifes name, daughters name, or the developer sells it without the land, so if that is the case then in any of the above, make sure you are covered for the term you intend to stay there. 

[United Army]

It may depend on your age, immigration and marital status! So what and which are you? We got a home loan from BPI and only up to the age of 65. I at the time of the loan was 50 yrs old and my wife and I are both Fil/Am with U.S. passports using the "Balikbayan Program" which allows us to purchase a lot and house. Since all of my paperwork and other documents was in order, our loan was processed without any problems for just a one million peso loan to finish construction of our home and add an extension and a 2 car garage. They gave me a 12 year loan at 14% variable amortization loan, which now is presently down to around 7.88%. Our unpaid balance is at an amount where we can pay off the balance anytime we wish since it's now to a small manageable amount where it won't break us to pay it off in full. BTW, in 2000, our purchase price of our lot including the basic structure, roof and 4 walls only (unfinished interior with no garage) on a 187 sq meter lot was only P2.9 million. At today's prices, I couldn't buy a house and lot today in our subdivision for under P5 million! It's not a very big house, but we are content where we live and it's almost paid for! You can check out our pics on our forum photo gallery here: http://www.philippin..._album&album=36or our Photobucket website:http://s946.photobucket.com/albums/ad302/ezartjho/?albumview=slideshow

Age under 60, married and the bank did not ask me about my immigration status at all. The loan after the down payment will be for around P2,899,053 or so.

[United Army]

Has anyone went through a bank for a home mortgage? I'm looking at a townhouse in Talisay City, Cebu and submitted an application to BPI. Any pit falls I should know about?

If it is a new townhouse then ask if they have their own financing, that was what my wife and I did when we bought one of our condo units and they usually offer pretty good rates that way. In our case if was 0% interest for two years and one of my friends got 0% interest for three years when he bought his last year. As for pitfalls, just be careful to read every little thing in the mortgage if you get one, and it might be best to get an attorney because we did not get the title until we paid off the loan, so make sure how that works with the bank or developer you will use. Let me add the obvious, you cannot own land, so it would either have to be in your wifes name, daughters name, or the developer sells it without the land, so if that is the case then in any of the above, make sure you are covered for the term you intend to stay there.

"if that is the case then in any of the above, make sure you are covered for the term you intend to stay there. " What do you mean by this statement???The developer can't help me, he wants the full payment within 6 months, so that won't do for me. I will ask him if this townhouse is being sold with the land, I think it is.

[Mr Lee]

Has anyone went through a bank for a home mortgage?  I'm looking at a townhouse in Talisay City, Cebu and submitted an application to BPI.  Any pit falls I should know about?

If it is a new townhouse then ask if they have their own financing, that was what my wife and I did when we bought one of our condo units and they usually offer pretty good rates that way.  In our case if was 0% interest for two years and one of my friends got 0% interest for three years when he bought his last year. As for pitfalls, just be careful to read every little thing in the mortgage if you get one, and it might be best to get an attorney because we did not get the title until we paid off the loan, so make sure how that works with the bank or developer you will use.  Let me add the obvious, you cannot own land, so it would either have to be in your wifes name, daughters name, or the developer sells it without the land, so if that is the case then in any of the above, make sure you are covered for the term you intend to stay there.

"if that is the case then in any of the above, make sure you are covered for the term you intend to stay there. "  What do you mean by this statement???The developer can't help me, he wants the full payment within 6 months, so that won't do for me.  I will ask him  if this townhouse is being sold with the land, I think it is.

If it is being sold with the land, then you wife will be able to call all the shots. Just so you know going into the deal ahead of time.  Just know that if something should God forbid happen to your marriage, then you are out the money. 

[United Army]

Has anyone went through a bank for a home mortgage? I'm looking at a townhouse in Talisay City, Cebu and submitted an application to BPI. Any pit falls I should know about?

If it is a new townhouse then ask if they have their own financing, that was what my wife and I did when we bought one of our condo units and they usually offer pretty good rates that way. In our case if was 0% interest for two years and one of my friends got 0% interest for three years when he bought his last year. As for pitfalls, just be careful to read every little thing in the mortgage if you get one, and it might be best to get an attorney because we did not get the title until we paid off the loan, so make sure how that works with the bank or developer you will use. Let me add the obvious, you cannot own land, so it would either have to be in your wifes name, daughters name, or the developer sells it without the land, so if that is the case then in any of the above, make sure you are covered for the term you intend to stay there.

"if that is the case then in any of the above, make sure you are covered for the term you intend to stay there. " What do you mean by this statement???The developer can't help me, he wants the full payment within 6 months, so that won't do for me. I will ask him if this townhouse is being sold with the land, I think it is.

If it is being sold with the land, then you wife will be able to call all the shots. Just so you know going into the deal ahead of time. Just know that if something should God forbid happen to your marriage, then you are out the money.

Is there a big thing about the bank keeping the title till the loan is paid off?

[Mr Lee]

Has anyone went through a bank for a home mortgage?  I'm looking at a townhouse in Talisay City, Cebu and submitted an application to BPI.  Any pit falls I should know about?

If it is a new townhouse then ask if they have their own financing, that was what my wife and I did when we bought one of our condo units and they usually offer pretty good rates that way.  In our case if was 0% interest for two years and one of my friends got 0% interest for three years when he bought his last year. As for pitfalls, just be careful to read every little thing in the mortgage if you get one, and it might be best to get an attorney because we did not get the title until we paid off the loan, so make sure how that works with the bank or developer you will use.  Let me add the obvious, you cannot own land, so it would either have to be in your wifes name, daughters name, or the developer sells it without the land, so if that is the case then in any of the above, make sure you are covered for the term you intend to stay there.

"if that is the case then in any of the above, make sure you are covered for the term you intend to stay there. "  What do you mean by this statement???The developer can't help me, he wants the full payment within 6 months, so that won't do for me.  I will ask him  if this townhouse is being sold with the land, I think it is.

If it is being sold with the land, then you wife will be able to call all the shots. Just so you know going into the deal ahead of time.  Just know that if something should God forbid happen to your marriage, then you are out the money.

  Is there a big thing about the bank keeping the title till the loan is paid off?

IMO, not if the bank is reputable, which BPI usually is, but just like all other things in the Philippines, it could be a long drawn out process to sell without having the title in hand.  Also know that there is BPI Savings Bank which is a separate bank from BPI Bank. 

[United Army]

Has anyone went through a bank for a home mortgage? I'm looking at a townhouse in Talisay City, Cebu and submitted an application to BPI. Any pit falls I should know about?

If it is a new townhouse then ask if they have their own financing, that was what my wife and I did when we bought one of our condo units and they usually offer pretty good rates that way. In our case if was 0% interest for two years and one of my friends got 0% interest for three years when he bought his last year. As for pitfalls, just be careful to read every little thing in the mortgage if you get one, and it might be best to get an attorney because we did not get the title until we paid off the loan, so make sure how that works with the bank or developer you will use. Let me add the obvious, you cannot own land, so it would either have to be in your wifes name, daughters name, or the developer sells it without the land, so if that is the case then in any of the above, make sure you are covered for the term you intend to stay there.

"if that is the case then in any of the above, make sure you are covered for the term you intend to stay there. " What do you mean by this statement???The developer can't help me, he wants the full payment within 6 months, so that won't do for me. I will ask him if this townhouse is being sold with the land, I think it is.

If it is being sold with the land, then you wife will be able to call all the shots. Just so you know going into the deal ahead of time. Just know that if something should God forbid happen to your marriage, then you are out the money.

Is there a big thing about the bank keeping the title till the loan is paid off?

IMO, not if the bank is reputable, which BPI usually is, but just like all other things in the Philippines, it could be a long drawn out process to sell without having the title in hand. Also know that there is BPI Savings Bank which is a separate bank from BPI Bank.

I talked to BPI today and the title for our townhouse will be in both our names. Not just my wife's.

[Mr Lee]

I talked to BPI today and the title for our townhouse will be in both our names.   Not just my wife's.

OK so the loan will be in both your names, because they know you will be the one paying, so therefore, so will the title be written. Do you actually think that will give you any rights to the property in a country where we have not property ownership rights? Adding our names on the title only makes us responsible for the payments and does not give us rights of ownership except as the law states it does. I discussed this with a lawyer in the past, have you? If not then I suggest you do, and I also suggest you read the topic I split off of this one HERE, so you go into this with your eyes wide open. Owning a home can be a wonderful thing, but it can also turn into a nightmare for some. Now with all that said, my wife and I wish you and your family only the best and hope you enjoy your new home.