By Iris C. Gonzales (The Philippine Star) Updated August 31, 2009 12:00 AM
MANILA, Philippines - The Social Security System (SSS), the state pension fund for private employees, earned a total of P124.89 million from the sale of more than 200 acquired real estate properties all over the country, its top official said.
The real estate properties were acquired from borrowers who were unable to pay their obligations to the agency.
SSS president and chief executive officer Romulo Neri said the agency was able to sell its idle properties after it cut by half the downpayment to five percent of the selling price to make it easier for workers to purchase their own homes.
Aside from the hefty discount on the downpayment, Neri said SSS offers a maximum payment term of 10 years and that buyers could pay until age 70.
The pension fund auctioned the properties during the government’s third national housing fair, which offered affordable homes to workers at attractive payment schemes.
“SSS fully supports efforts to help Filipino families have a house of their own. In less than a year, we sold a total of 221 acquired properties to SSS members and the rest were bought by government employees and uniformed personnel,” Neri said.
The agency has been selling its foreclosed assets at market prices. About half of the properties were located at the National Capital Region. SSS earned a total of P73.67 million from selling 113 units of houses and lots in the NCR.
Annual interest rates are pegged at six percent for properties worth up to P500,000 and nine percent for properties priced higher. Cash buyers get a 10 percent discount on the selling price, which was double the discount SSS offered in the past.
SSS reported a lower net revenue of P8.37 billion in the first half of the year or P8.38 billion lower than the P16.75 billion recorded in the same period last year.
Total revenues of P47.78 billion in the first half of the year also declined by P5.39 billion or lower than the P53.17 billion recorded in the same period last year.