How to Apply for an SSS Housing Loan?

Are you an SSS member trying to find financing for renovations or repairs to your house? You have a great chance to finance significant repairs, reconstruction, or improvements to your current house with the help of the SSS Housing Loan program. Whether you want to build a cement fence or a deep hole, enlarge your living area, fix structural problems, or make other important improvements to your home, this guide will show you how to apply for an SSS Housing Loan so you can make it safe and comfortable.

About SSS Housing Loan

SSS members can obtain monetary support for purchasing, building, or modifying a home through the SSS Housing Loan program. Members have the option to borrow up to ₱2 million at an annualized rate of interest, usually 6% yearly. Repayment of the loan can take anywhere from five to thirty years, contingent upon the borrower’s ability to repay the loan plus the amount received. By providing longer repayment terms and reduced interest rates, the initiative seeks to increase the affordability and accessibility of homeownership for SSS members.

Eligibility Requirements

The primary applicant needs to fulfill the following requirements to be eligible for an SSS Housing Loan:

Membership and Contribution History of SSS – The borrower has to be a current SSS participant who has made contributions for at least 36 months. The member must also have made at least 24 consecutive contributions in the 12 months before submitting the request for a loan.

Age Requirement – When applying, the member must be 60 years of age or younger. This guarantees the borrower enough time to pay back the loan before they become old enough to retire

Prior Credit History – It is not appropriate for the member to have received a repair and/or improvement loan from the National Home Mortgage Finance Corporation (NHMFC) or the SSS in the past. This regulation serves to guarantee that a wider pool of qualified candidates benefits from the program.

Final Benefits of SSS – Final SSS benefits cannot have been obtained by the member. This requirement makes sure the borrower is using the SSS services and actively participating in them.

Status of Payment – The borrower and their spouse must make timely payments on any current SSS loans, if relevant. This condition guarantees the borrower’s creditworthiness and solid payment record.

Document Requirements

You must include several crucial documents with your application for an SSS Housing Loan for it to be processed. These records aid in confirming your eligibility, financial situation, and specifics about your property. The following is a summary of the paperwork needed for a seamless application process:

ID and Application Forms

  • The Direct Home Repair and/or Improvement Loan Application in two copies. SSS ID cards for the primary applicant and, if relevant, the spouse. 
  • Provide two legitimate IDs, both original and photocopies (one of which must be a photo ID), if SSS IDs are not accessible.

For Employee Borrowers

  • Most recent income tax return (both photocopied and original).
  • Original Certification of Employment and Compensation, issued by a signatory approved by the SSS.
  • Two paystubs from the previous month.

For the Self-employed or Professionals

  • Statements of finances and income tax returns over the previous three years (one photocopy alongside the original).

Regarding Foreign Workers

  • The contract of employment and certification of employment and compensation, are both certified by the SSS Foreign Representative or the Philippine Consulate.

Documents About Property

  • Together with the owner’s duplicate copy, an authenticated duplicate of the
  • Original/Transfer/Condominium Certificate of Title (OCT/TCT/CCT) from the Registry of Deeds is provided.
  • Current Real Estate Tax Declaration accompanied by an official receipt for the payment of real estate taxes (one photocopy and one original).

Plans for the lot and building

  • Lot/Location Plan signed and sealed by a qualified geodetic engineer (15” x 20” dimension), including a lot sketch, border details, and nearby map (2 copies).
  • Consolidation-subdivision plan accepted by the Land Registration Authority or Bureau of Lands/DENR-NCR (15” x 20” dimension, one copy).
  • Complete building plans (20″ x 30″), sealed and signed by certified construction professionals, with structural, electrical, sanitary, and architectural designs included.
  • Provide as-built strategies for existing homes together with two copies of the owner’s compliance.

Bill of Materials and Specifications

  • Specifications and a Bill of Materials & Labor, sealed and signed by a qualified civil engineer or architect, along with the owner’s conformance (one original copy and one duplicate), are required for loans exceeding ₱100,000.
  • There is no requirement for the signature and seal on loans of ₱100,000 and less.

Range of the Works

  • A list of necessary tasks that have been drawn up and signed by the designer, civil engineer, or proprietor (original and one copy).

The Clearances and Permits

  • Construction or restoration permit along with location clearance, electrical, plumbing, and sanitary/hygienic permit, as well as official payment receipts (one photocopy and one original).

Property Images

  • Photos of the current property, which includes the front, back, sides, bathroom, and cooking counter.

Consent to Joint Application

  • Written approval from a partner concerning the repair or renovation loan (original copy) is required for joint applications (such as duplex units).

Regarding Condominiums

  • A professional architect or civil engineer will sign and seal the floor plan, which is scaled with measurements of 20″ by 30″.
  • Architectural drawings that display the site and floor plans that have been authorized by the building official.

Declaration of Affidavit

  • An affidavit promising to continue making monthly SSS Premium Contributions for the term of the loan is required solely for voluntary and independent members.
  • For your SSS Housing Loan application to be processed as smoothly as possible, ensure that you properly gather and submit all necessary documentation.

FAQS

Could a member of the voluntary SSS apply for a home loan?

Yes, as long as they fulfill the qualifying standards, voluntary SSS members are eligible to apply.

Can I renovate a house that I don’t own with the loan?

No, either the borrower or the spouse’s name must be on the property registration.

Are there fines associated with making late payments on a home loan?

Indeed, as stated in the loan acceptance, late payments are subject to penalties.

Is it possible to build a rental property with the loan?

No, the borrower’s primary residence is required to be the usage of the loan.

Is it possible to purchase a condominium with a housing loan?

Yes, you can utilize the loan to buy or renovate a condominium.