DHSUD okays moratoruim on housing loan payments

April 11, 2020

THE Department of Human Settlements and Urban Development (DHSUD) is seeking more ways on how to assist the general public cope with the ongoing crisis brought about by the coronavirus disease 2019 (COVID-19).

This, as DHSUD Secretary Eduardo Del Rosario on Tuesday, April 7 led another top-level meeting, this time with the Board of Directors and officials of the National Home Mortgage Finance Corporation (NHMFC), via teleconference at his office –the third in two weeks.

Last week, Secretary Del Rosario also presided over the board meeting of the Social Housing Finance Corp. (SHFC) and DHSUD Management Committee on Tuesday and Friday, respectively.

“We assure all our stakeholders that amid these difficult times, DHSUD continues to function and deliver necessary public service, particularly with regards to housing concerns,” Secretary Del Rosario said.

“During these meetings, we explore all possible measures to aid the public amid these difficult times and in support to President Rodrigo Duterte’s efforts to ease the burden of our countrymen,” he added.

During the DHSUD Management Committee, officials raised several measures that could be adopted, particularly by Regional Offices, to provide aid to the most vulnerable sectors in their respective regions.

So far, in compliance to Republic Act 11469 or the Bayanihan to Heal as One Act to mitigate the COVID-19 crisis, DHSUD approved two separate payment moratoriums for the benefit of those who have existing loans to all subdivision and condominium projects registered with the department.

A three-month moratorium on Housing and Short Term loan payments to the four KSAs, namely, the National Housing Authority (NHA), the Home Development Mutual Fund or PagIbig Fund, the SHFC and NHMFC will be implemented.

The three-month moratorium, covering March 16 to June 15, would benefit more than 5.5 million members/borrowers and will result to the non-collection of more than P31 billion in amortization.

Only last Friday, Secretary Del Rosario likewise signed another memorandum ordering a moratorium during the quarantine period and 30 days after its expiration on in-house financing plans or credit intermediation extended by real estate developers to buyers of units from subdivision and condominium projects that required registration with DHSUD.

The unpaid amortizations during the moratorium shall be payable within six months thereafter or any option mutually agreed upon by both the buyers and developers without interests and penalties.

"All these efforts are aimed primarily to ease the burden of the general public," Secretary Del Rosario stressed.