Lawyer Angelico T. Salud, NHMFC president, said that the 11-month loan level which surpassed the two previous years’ respective performance, is attributed to the wide-ranging policy reforms spearheaded by Housing Secretary Michael T. Defensor, concurrent chairman of the Housing and Urban Development Coordinating Council in pursuit of President Arroyo’s housing commitments to the informal housing sector.
Contributing to the uptrend in CMP loan availments are the adjustments in loan entitlements of up to P100,000 per housing beneficiary in Metro Manila and highly-urbanized areas, and up to P85,000 outside these areas; reduction by 59 percent of the loan documentary requirements; allowing a portion of CMP loans to defray costs in the transfer of CMP land titles; inter-agency coordination in fast-tracking issuance of capital gains tax exemption and title-transfer for CMP-financed lands; and the decentralization of loan processing, among others, Salud informed.
Among the highlights of NHMFC performance during the year also include the initial gains towards the liquification of NHMFC’s P38-billion mortgage loan portfolio, comprising some 186,000 housing beneficiary loans earlier granted by NHMFC to members of SSS, GSIS, and Pag-IBIG Fund using funds provided by the latter three financial institutions, Salud reported.
The interest shown by both local and foreign institutions and investment houses to provide financial advisorship in the planned liquidation of these mortgages either through outright sale, securitization, assignment of assets or through other modes of disposition, will not only boost efforts to infuse fresh funds into housing, but also in hastening the development of a secondary mortgage market in the country, he pointed out.
To raise to securitization-grade level the quality of its mortgage portfolio, as well as assist economically-distressed housing beneficiaries, NHMFC also implemented during the year an aggressive loan servicing and collection campaign coupled with a loan penalty condonation component.
Starting July 2001 up to June 2002, NHMFC is gearing to assist 23,000 informal housing beneficiaries for a loan target of P1 billion, as the agency’s contribution to President Gloria Macapagal-Arroyo’s state-of-the-nation (SONA) commitment to provide 50,000 informal settlers with housing assistance, Salud concluded.