Vol. XXII, No. 67 [ BusinessWorld Online ]
Tuesday, October 28, 2008 | MANILA, PHILIPPINES
DAVAO CITY — The regional office of Pag-IBIG Fund has reported an improvement in its asset disposal program.
The agency, said Davao branch manager Manolito O. Olegario, has already sold 123 acquired housing units this month, from an average of 80 units disposed monthly in previous years.
This city, Pag-IBIG records showed, has about 2,000 foreclosed units ready to be sold to interested parties at rates lower than those sold by private real estate firms.
The problem in disposing these units, however, is that 90% remained occupied by previous owners and would require court litigation.
Mr. Olegario, however, said the agency expects to sustain its current pace of selling foreclosed units.
He noted that many homebuyers, especially those from rural areas who want to have their own addresses here, are scouting for units now held by financial institutions because of lower price.
He noted that the drive to reach out to occupants of foreclosed housing units has been more successful compared with efforts in previous years.
Increase in housing foreclosures here occurred in late ’90s during the height of the Asian financial crisis when major businesses here, especially those with Malaysian equity, closed down. The region suffered from a double whammy in the late ’90s when the situation was compounded further by the Estrada administration’s offensive against Moro rebels which slowed down investments in, as well as flow of goods between, this region and Central Mindanao.
