This current government policy has also affected the revenues of real estate developers in the Philippines when the government controlled Housing loan agency – the Home Development Mutual Fund Or PAG-IBIG Fund has tightened its loan disbursement because of the alleged corruption on the developer Globe Asiatique which gives worries to private real estate developers because Filipinos who are in dire need of house could not easily make housing loans and have loan disbursed.
According to the Housing Development Association (SHDA),so far, there are already thousands of loan applications that has been disqualified and severely delayed for approval due to tighter new rules of PAG-IBIG and this cause them so much alarm.
For if there would be no loans to buy their private estates, there would be no revenues for them. Thus, according to Housing Development Association (SHDA), they were making already diligent dialogues with concerned government agencies and to the Housing Urban Development Coordinating Council to avert the impending demolition of their industry due to PAG-IBIG tighter rules.
Since the middle quarter of year 2010, according to Housing Development Association (SHDA), there is already a great severe decline of loan takeouts. According to them, it has drop by 37 % to about 2.4 billion pesos a month this year 2011 from about 4 billion pesos a month in year 2009.
However, the Housing Development Association (SHDA) could not blame Pag-IBIG for tightening its rules since the globe Asiatique scandal, for a lots of money has been lost from the funds of Pag-IBIG due to alleged fake or ineligible borrowers allegedly purported by Globe Asiatique by tricking namely employees Joel and Gloria for signing a document of loans, which Joel and Gloria ignorantly do not know the documents they have signed in.
The new Pag-IBIG rules makes a pre-validation first of the borrowers from list of the real estate developers by Pag-IBIG itself if the borrower from the list of real estate developers is indeed real and true people and then Pag-IBIG will check if the borrower have the financial capability for the loan; wherein in the past, borrowers were quickly approved and the loan disbursement is not too slow.