By Othel V. Campos | Jun. 03, 2014 at
12:01am [ manilastanardtoday.com ]
A group of home builders has proposed
the creation of a P65-billion assistance program for all income-earners who
have not yet availed of housing loans from any government institution.
The Chamber of Real Estate and
Builders Association Inc. said the proposed Omnibus Housing and Urban
Development Act of 2014 aimed to give all duly-employed individuals a chance to
have their own home.
The group said the proposed program would
be administered by the National Home Mortgage Finance Corp. The program will also include under its
network all direct home lending operations of Social Security System,
Government Service Insurance System and Home Development Mutual Fund or
Pag-IBIG Fund.
The proposed bill also seeks the
creation of the Housing and Urban Development Department that will undertake a
just and comprehensive solution to the perennial housing problem and ensure the
optimum utilization of land resources in improving the quality of life of the
Filipino people.
It aims to stimulate private
homebuilding activity to levels that will promote and sustain economic growth
and development in terms of expanded opportunities for employment, business and
government revenues as well as promote the orderly development and growth of
urban and urbanizing communities nationwide.
Creba said all employed individuals
whether or not members of SSS, GSIS or Pag-IBIG Fund but have not availed of
any housing loan from any government agency would be eligible to avail of
housing loans under the proposed program.
The P65-billion fund will be sourced
from the unused portion of the Agri-Agra funds of banks, P10 billion each from
the SSS and GSIS and P70 billion from the HDMF and such other funds as may be
generated, pursuant to the law.
Under the proposed bill, all financing
entities such as banks, SSS, GSIS and Pag-IBIG shall remit in cash to the NHMFC
their respective contributions in exchange for NHMFC bonds, promissory notes
and/or other similar instruments with maturities of not less than five years
but not more than 10 years and fully guaranteed by the Home Guaranty Corp. as
to principal and interest.
The said fund shall be used
exclusively for homebuyer financing and no part of the fund shall be used for
administrative or operating expenses of the NHMFC. The NHMFC will create a sinking fund to
ensure repayment of the maturing notes, bonds and/or similar instruments.
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