Collective initiatives to build more homes for Filipinos

Affordable and decent housing is a right that every Filipino has as guaranteed by the 1987 Philippine Constitution. However, the Philippines is currently facing a severe housing crisis that, if left unaddressed, can leave millions of its citizens homeless or living in dangerous areas such as riverbanks, steep slopes, and even cemeteries.

In 2021, the House of Representatives adopted a resolution declaring a housing crisis in the country and urging the Executive department to accelerate housing production. At the time, 4.5 million people were homeless or living in informal settlements in the country with more than 3 million of those residing in Metro Manila.

According to the United Nations-Habitat, that number has shrunk to a still massive 3.7 million Filipino informal settler families (ISFs) in 2023. Still, the Philippine government has a lot of work to do with data from UN-Habitat suggesting a housing units backlog of more than 6.5 million houses in 2022, which could balloon to over 22 million homes by 2040.

To address this housing dilemma, the government launched a flagship housing project aimed at providing 6 million affordably-priced homes and lower monthly amortization costs through various subsidies for Filipino workers who are members of the Pag-IBIG Fund. The Pambansang Pabahay Para sa Pilipino Housing (4PH) Program currently has at least 45 projects in various stages of construction around the country while another 200 memoranda of understanding have been signed with various local government units (LGUs).

“Our housing agenda aims to ensure that all Filipino workers have the means to accessible and affordable housing opportunities. Through the subsidies extended to beneficiaries of the 4PH program, prices of homes and monthly amortization costs will be significantly reduced,” Department of Human Settlements and Urban Development (DHSUD) Secretary Jose Rizalino L. Acuzar was quoted as saying in a press release by the Presidential Communications Office.

The 4PH Program seeks to offer affordable housing to Filipinos, with unit prices varying, depending on the location and type of housing, from P580,000 to P1,150,000. To lighten the burden of payments for ISFs, the DHSUD will also subsidize up to 5% of the loan’s outstanding interest rate, reducing the preferential loan interest rate from 6% to 1%.

Latest developments on the program include the Pag-IBIG Fund’s approval of a P815-million development loan for the construction of 17 medium- to high-rise condominium buildings in San Mateo, Rizal, which will provide a total of 4,670 units for Pag-IBIG members once completed.

Additionally, 1,100 families from Cebu City are expected to have new homes by next year under the 4PH program once the local government completes the construction of six to eight towers in the area. In Mindanao, two 4PH projects in Zamboanga City and Surigao del Norte recently broke ground with the LGUs in the cities targeting 25,000 housing units.

This ambitious government housing initiative has been greatly aided by the private sector who Mr. Acuzar called “absolute multipliers and prime movers in producing affordable and decent homes for Filipinos.”

One example of this public-private collaboration is the partnership between Megawide Construction Corp.’s real estate arm PH1 World Developers (PH1WD) and the City of Imus to build a five-tower, 1,100-unit mid-rise residential community inside a 1.3-hectare property under the 4PH program. PH1WD’s P2-billion development will also have amenities such as a clubhouse and a basketball court.

Another notable partnership advancing the government’s housing agenda is with AVECS Corp. The service provider company recently signed a memorandum of understanding with the Social Housing Finance Corp. (SHFC), the local government of Pulilan, Bulacan to build eight five-storey condominium buildings which will benefit over 1,000 families identified by the local government.

While the private sector has helped the implementation of the 4PH Program, some organizations have launched their own initiatives to complement the government’s efforts. Religious group Gawad Kalinga, aside from their programs to uplift Filipino communities, has helped the private sector in providing shelter to those in need.

In 2023, San Miguel Corp. partnered with the organization to build homes and communities for natural disaster victims in Iligan City, Cagayan de Oro, Bukidnon, Negros Oriental, Davao, Surigao and Bohol. Furthermore, Gawad Kalinga has also collaborated with DMCI Homes to construct houses for PWDs in Quezon City in 2018.

Other entities such as the Asian Development Bank (ADB) have also launched their own initiatives to help curb the housing crisis in the country. In partnership with technology company Lhoopa, Inc., the ADB aims to provide thousands of eco-friendly and affordable homes for drivers, security personnel, factory workers, teachers, and office staff, with a goal of constructing 4,000 houses annually by 2025 and increasing to 8,000 by 2028.

To provide decent and affordable housing to all the homeless and informal settlers in the country, a collective effort between the government, private sector, and various organizations is necessary. Through the successful implementation of various housing projects from all parties involved, millions of Filipinos will live better lives and have roofs above their heads. — Jomarc Angelo M. Corpuz