VP Binay - more than 250k families able to own homes through community mortgage program

By OVP Media
October 14, 2013

MANILA – Vice President and housing czar Jejomar C. Binay today revealed that from 2004 to September 2013, the housing sector has helped 255,271 families own homes through the Community Mortgage Program.

The Socialized Housing Finance Corporation has targeted financing the housing of 19,000 families for this year.

The Community Mortgage Program is a mortgage financing scheme that assists legally organized associations of residents in depressed areas to own the lots they occupy.

The housing czar also said during the celebration of the CMP's 25th anniversary that changes to the process of applying for CMPs have helped communities that were affected by calamities.

"Doon sa mga komunidad na naapektuhan ng mga kalamidad o kaya may eviction order na mula sa korte, isinagawa natin ang cmp expresslane, pinasimple at pinakaunti ang mga kailangang dokumento para maaprubahan ang proyekto."

"Ang mga unang komunidad na nakinabang dito ay ang mga taga-Cagayan de Oro na naapektuhan ng bagyong Sendong," said the Vice President.

He also said that the sector has encouraged local government units (LGUs) to be directly involved in the CMP, through both the Localized CMP (LCMP), and the city-wide approach. Binay said that they decided to involve LGUs so that community needs could be easily identified.

"Sa aming karanasan po kasi, kapag ang LGU ay hindi kasama sa proyekto, nahihirapan tayong kunin ang kanilang tulong katulad ng paglalagay ng maayos na kalye o mitigation projects sa mga lugar na malapit sa mga daanan ng tubig."

"Pero, kung sa simula pa lang ay involved na sila sa proyekto, alam na nila ang inyong mga pangangailangan at magagabayan na kayo kaagad kung paano mapapabuti ang proyekto," Binay said.

Binay added that under the new approach, the LGU and the SHFC, the agency tasked with implementing the CMP, have become proactive in identifying families that needed help in securing the land they were living on.

He also relayed the housing sector's other efforts to make the CMP more efficient and effective, such as partnering with other government agencies such as the Land Registration Authority in validating the land titles that community associations are planning to buy.

A partnership with engineers and architects is also being pushed, which Binay said would help communities in complying with requirements such as the subdivision plan.

The Vice President added that the SHFC is also mulling raising the amount that communities can borrow under the CMP.

"Ito ay hindi lamang para mabawasan ang equity ng mga pamilya sa pagbili ng lupa kundi upang mapaayos nila ang kanilang mga bahay."

"May CMP communities kasi na napasakanila na nga ang lupa, pero walang pagbabago sa ayos ng komunidad. Ang gusto sana natin, may improvement din sa lugar at sa inyong mga kabahayan," said Binay.

The current maximum loan amount for the acquisition of undeveloped lots is P90,000 for Metro Manila and highly urbanized areas, and P45,000 in other areas. For developed lots, the amount is at P90,000 and P60,000, respectively. For site development, the maximum amount is P15,000 per beneficiary. The maximum amount for housing materials is P60,000 per beneficiary.

Binay led the distribution of 144 Transfer Certificate of Titles to beneficiaries who have fully paid their housing loans in eight Community Mortgage Program (CMP) projects in Metro Manila during the celebration.

Checks amounting to P52.789 Million were also distributed to 18 landowners representing the initial 50% payment for the land acquired by the project beneficiaries.