Mortgage Calculator Philippines (Bank + Pag-IBIG)
Estimate your monthly amortization on a home loan from BPI, BDO, Metrobank, Security Bank, RCBC, Eastwest, China Bank, or Pag-IBIG. See total interest paid over the life of the loan, MRI and fire insurance estimates, and side-by-side comparison with Pag-IBIG.
🏦 8 bank presets
📊 Amortization schedule
⚖️ Pag-IBIG comparison
Loan Details
Total selling price of the property
Adjust manually to override the percentage
Loan Terms
Rate is indicative — confirm with your lender at application.
Monthly amortization
₱0
over – years
Loan amount₱0
Down payment₱0
Loan-to-value (LTV)–
Total interest paid₱0
Total amount paid₱0
Principal vs interest
+ Est. MRI (0.4%/yr)₱0/mo
+ Est. fire insurance₱0/yr
Effective monthly cost₱0
How home loan amortization works in the Philippines
A Philippine home loan is an amortizing loan — your monthly payment stays the same throughout the term, but the proportion that goes to principal versus interest changes over time. Early in the loan, most of your payment goes to interest. In the final years, most goes to principal. This is the standard “constant payment” mortgage used by every major PH bank and by Pag-IBIG.
Standard amortization formula
M = P × (r/12) × (1+r/12)^n / ((1+r/12)^n − 1)
Where: P = loan principal, r = annual interest rate, n = total months (years × 12)
Example: ₱4M at 7% for 20 years → M ≈ ₱31,012/month
This formula is identical at every Philippine bank — the only variables that change your monthly are the loan amount, the interest rate, and the term length. Where banks differ is in their posted rates, processing fees, and rate-lock periods. Some banks offer fixed rates for the first 1–5 years then re-price; others offer a single fixed rate for the entire term.
Philippine home loan rates by lender (2026 indicative)
Rates change frequently and depend on your loan amount, term, credit standing, and current Bangko Sentral policy. These are the indicative published rates as of early 2026. Always check the bank’s website or talk to a loan officer for the actual rate offer.
| Lender | Posted rate | Max term | Max loanable | Notable |
|---|---|---|---|---|
| Pag-IBIG Housing Loan | 5.75–10.00% | 30 years | ₱6,000,000 | Tiered by income, must contribute 24 months |
| BDO Home Loan | 7.00–8.50% | 20 years | 80% of appraised value | 1, 3, 5, 10, 15, 20 year fixing periods |
| BPI Housing Loan | 7.25–8.50% | 20 years | 80% of appraised value | Fast online application, BPI Family Savings |
| Metrobank | 7.50–9.00% | 20 years | 80% of appraised value | Includes free MRI on certain promos |
| Security Bank | 7.25–8.75% | 20 years | 80% of appraised value | Free online pre-qualification |
| RCBC | 7.50–8.75% | 20 years | 80% of appraised value | Strong on lot-only and house-and-lot |
| EastWest | 7.75–9.25% | 20 years | 80% of appraised value | Quick processing, premium pricing |
| China Bank | 7.25–8.50% | 20 years | 80% of appraised value | Good for high-net-worth borrowers |
Pag-IBIG vs commercial bank — which one wins?
This is the single most common question for Filipino first-time home buyers. The short answer: Pag-IBIG is almost always cheaper if you qualify and your loan is under the ₱6M cap, but banks have advantages too.
When Pag-IBIG wins
- Lowest rates. Pag-IBIG offers 5.75% for the lowest income tier (up to ₱4,500/month contribution) and tops out at 10% for the highest tier. Even the high tier beats most bank rates.
- Longer term. Up to 30 years vs 20 years at most banks. Longer term means lower monthly but more total interest.
- Higher LTV. Up to 100% of the property value if the contract price equals appraised value (most banks cap at 80%).
- Existing Pag-IBIG member. If you already contribute and have 24+ months of contributions, the application is straightforward.
When a bank wins
- Property exceeds ₱6M. Pag-IBIG caps at ₱6,000,000. For homes in BGC, Makati, or premium subdivisions, you’ll need bank financing for the excess.
- Faster approval and disbursement. Top banks can approve in 5–15 business days; Pag-IBIG often takes 30–60 days.
- Cleaner documentation experience. Bank loan officers are more responsive and the documentary chain is well-rehearsed.
- You’re not a Pag-IBIG member. Becoming a member and waiting for the 24-month minimum delays purchase by 2 years — not viable if you found your home today.
- Refinancing or restructuring. Banks compete on refi rates; Pag-IBIG terms are mostly fixed.
Hidden costs on top of your mortgage
The monthly amortization is not the only cost. Plan for these additional fees in your budget:
- Down payment. Typically 20% of the property value for bank loans, lower for Pag-IBIG. Paid up front.
- Documentary Stamp Tax (DST). 1.5% of the loan amount, paid to BIR before the loan is disbursed. On a ₱4M loan that’s ₱60,000.
- Mortgage processing fee. 0.5–1% of the loan amount, paid to the bank. Some banks waive this on promo.
- Appraisal fee. ₱5,000–₱15,000 to the bank’s appraiser. Required to determine the property’s loan value.
- Mortgage Redemption Insurance (MRI). Required by all lenders. Pays off the remaining loan if the borrower dies. Approximately 0.4% of the outstanding loan annually, added to your monthly amortization. Some lenders include this in the headline rate.
- Fire and earthquake insurance. Required by lenders, paid annually. Approximately ₱0.04% to ₱0.06% of the property value per year. For a ₱5M property, expect ₱2,000–₱3,000/year.
- Transfer tax. 0.5–0.75% of property value, paid to LGU when title transfers.
- Capital Gains Tax (paid by seller, but often passed to buyer in negotiations). 6% of property value.
- Title transfer and registration fees. ₱8,000–₱25,000 paid to Register of Deeds.
- Notarial fees and miscellaneous. ₱10,000–₱20,000 for deed of sale notarization, real estate broker fees if applicable.
Total transaction costs typically run 10–15% on top of the property price. On a ₱5M home, budget another ₱500,000–₱750,000 for fees, taxes, and the down payment beyond just the loan principal.
Tips for getting the best home loan rate
- Shop multiple lenders. Get pre-qualification from at least 3 banks plus Pag-IBIG before committing. Rates can vary 0.5–1% between lenders for the same applicant.
- Increase your down payment if you can. A 30% down payment often unlocks lower interest rates than the standard 20%. Bank pricing tiers reward higher equity.
- Pick the shortest term you can afford. 15-year amortization saves enormous interest compared to 30 years, even at the same rate. For a ₱4M loan at 7%, going from 30 years to 15 years cuts total interest paid from ₱5.6M to ₱2.5M.
- Negotiate the fixing period. Banks offer 1, 3, 5, 10, 15, or 20-year fixed rate periods. Longer fixing means rate certainty but typically higher rate. If you expect rates to drop, fix shorter; if you expect rates to rise, fix longer.
- Strengthen your credit profile first. Pay off credit card balances 3 months before applying. A clean credit report reduces your rate offer.
- Bundle services with your loan bank. Banks reward existing depositors and payroll customers with rate discounts of 0.25–0.5%.
- Time your application. Some banks run promo rates in Q1 (January–March) when home sales are slower. Watch for “promo period” rates.
Frequently asked questions
Why is most of my early payment going to interest?
That is how amortization mathematically works. Interest is calculated on the outstanding balance each month, so when the balance is high (early in the loan), the interest portion is high. As you pay down principal over time, the interest portion shrinks and the principal portion grows. By year 15 of a 20-year loan, the principal portion typically exceeds the interest portion. The monthly payment stays the same; only the split changes.
Can I pay extra to shorten my loan?
Yes, and you should if you can afford it. Most PH banks allow extra principal payments without penalty, but you must explicitly instruct the bank to apply the extra to principal (not as advance payment of future months). Paying just ₱5,000 extra per month on a ₱4M, 20-year loan at 7% shortens the loan by about 4 years and saves over ₱1M in interest. Confirm with your bank that they have no pre-payment penalty before doing this. Some banks charge 2–4% if you pay off the entire loan early within the fixing period.
What income do I need to qualify for a ₱4M loan?
Banks typically require your monthly amortization to be no more than 30–40% of your gross monthly income. For a ₱4M loan at 7% over 20 years, monthly amortization is approximately ₱31,000. At a 35% debt-to-income ratio, you would need gross monthly income of about ₱88,500 (₱1.06M annually) to qualify. Pag-IBIG is similar but may be more lenient. Self-employed and freelancers need to show 2–3 years of consistent income via ITR or audited financial statements.
Is MRI insurance really required?
Yes, every PH lender requires Mortgage Redemption Insurance (MRI) as a condition of the loan. It pays off the remaining mortgage balance if you die during the loan term, protecting your family from inheriting the debt. The premium is typically 0.4% of the outstanding loan per year, added to your monthly payment. Some banks bundle MRI into the quoted interest rate; others charge it separately. Read the fine print to understand which approach your lender uses. If you already have substantial life insurance, you may negotiate to use that instead of buying additional MRI.
What happens if I miss a payment?
First missed payment: late fee of 3–6% of the missed amount plus interest on the arrears. Second consecutive miss: bank sends a demand letter and reports to the Credit Information Corporation (CIC). Three consecutive missed payments: the bank can declare the loan in default, accelerate the entire balance, and begin foreclosure proceedings. Foreclosure in the Philippines typically takes 6–24 months and the borrower retains a right of redemption (1 year for judicial, 90 days for extrajudicial). Avoid this at all costs — contact your bank immediately if you are struggling, as restructuring options exist.
Can foreigners get a home loan in the Philippines?
Foreigners cannot own land in the Philippines but can own condominium units (up to 40% foreign ownership per building). For loans, foreign borrowers face stricter requirements: most banks require a Filipino co-borrower (typically a Filipina spouse), higher down payment (30–40%), and shorter terms (10–15 years max). Some specialist banks (HSBC PH, Citibank PH) offer dedicated foreigner mortgage products with simpler requirements but at premium rates. Pag-IBIG is members-only; foreign workers can become Pag-IBIG members if they have valid AEP/working visa and Philippine employment.
Should I take a fixed or variable rate?
Most PH home loans offer a “fixed for N years then re-pricing” structure rather than true fixed or fully variable. Common fixing periods: 1, 3, 5, 10, 15, 20 years. Longer fixing period = more rate certainty but typically 0.25–0.75% higher rate. If you expect to sell or refinance within 5 years, a shorter fix is fine. If you plan to hold the loan to maturity, longer fix protects you from rate increases. As of early 2026, BSP rates appear stable, making medium-fix (5–10 year) the popular choice. Avoid open-ended variable rates — these expose you to rate shock if BSP tightens monetary policy.
How long does the loan approval take?
From complete application to loan disbursement: Pag-IBIG typically takes 30–60 days, BPI and BDO usually 10–20 business days, smaller banks 20–45 days. The variables: appraisal scheduling, document completeness, title transfer status, and your credit verification. Pro tip: start the home loan application before you sign the Reservation Agreement so the financing is approved by the time you need to make the down payment. Most developers accept “subject to loan approval” reservations but require quick action.
Estimates only. Actual rates and fees depend on the lender’s underwriting, current rate environment, and your credit profile. Always confirm pricing with the bank or Pag-IBIG before signing. MRI and fire insurance estimates are typical industry averages.