SSS Direct Housing Loan Facility for Workers' Organization Members

The Social Security System or SSS offers a variety of housing loan options to all its qualified members and one of the housing loan option offered by the agency is the Direct Housing Loan Facility for Workers Organization Members. 

Workers' Organization Members or WOMs refer to workers association in the private sector who are duly registered with the Department of Labor and Employment or DOLE, the Securities and Exchange Commission, or the Cooperative Development Authority. It includes any national union, trade union center, federation, local/chapter or independent union described in Book V of the Labor Code.

The SSS Direct Housing Loan Facility for Workers' Organization Members (WOMs) main objective is to provide socialized and low-cost housing for workers who are legitimate members of a duly registered and accredited workers' organization.

WOMs HOUSING LOAN ELIGIBILITY REQUIREMENTS

A Workers' Organization Member is qualified to apply for an SSS housing loan if he or she meets the following eligibility requirements:

• Member must be a member of the SSS.
• Member is a bonafide member of a registered workers' organization in the private sector.
• Member has at least 36 months premium contribution and 24 continuous contributions in a period prior to application.
• Member is not more than 60 years old at the time of application and must be insurable. Members who are 60 years of age at the time of housing loan application will have a maximum loan term of 5 years.
• Member was not previously granted an SSS housing loan.
• Member has not been granted final SSS benefits.
• Member and spouse is updated in the payment of their other SSS loan(s), if any.

Note: The spouse of an existing borrower may still qualify for an SSS housing loan if the loan of the existing borrower was obtained prior to the date of marriage and the loan is not delinquent.

HOW TO APPLY FOR AN SSS HOUSING LOAN

The SSS member may file the Direct Housing Loan application at the nearest SSS branch office or at the Housing and Business Loans Department, 5/F, SSS Bldg., East Avenue, Diliman, Quezon City. Original copies of the following documentary requirements should be submitted upon filing of SSS housing loan application:

1. Original copy of Mortgagor's Application for Housing Loan with 1” x 1” ID pictures of Principal Applicant and Spouse
2. Original copy of Certificate of Loan Eligibility – (P100 Service Fee)
3. Original copy of Certification of Membership from the workers' organization
4. Original copy of Employer's Certification
5. Original copy of Latest two (2) months pay slip duly certified by the employer
6. Original copy of Deed of Sale or Contract to Sell with Statement of latest balance (for purchase of lot or house and lot)
7. Original copy of Confirmation of Completion and Appraisal from Home Guaranty Corporation accredited appraisal companies
8. Original copy of Certificate of Acceptance and Occupancy duly signed by the borrower if house is 100% complete at the time of the loan filing
9. Original and Photocopy of latest income tax return together with Form W-2 and Confirmation Receipt of Payment
10. Original and Photocopy of the Owner's copy of the Original/Transfer Certificate of Title/Condominium Certificate of Title
11. Original and Photocopy of latest Property Tax Declaration and latest Realty Tax Receipt

Other documents:

1. Building plans/specifications/picture of the house (Blue Print)
2. Lot Plan with Vicinity Map duly signed and sealed by a registered Surveyor or Geodetic Engineer (Blue Print)
3. Tax Mapping/Subdivision Plan
4. Twelve (12) postdated checks covering twelve (12) monthly installments and shall be repeated every twelve (12) months thereafter until the loan is fully paid

LOANABLE AMOUNT

The maximum possible loan amount is P2,000,000.00. The loan amount granted is the lowest amount based on the following factors:

Appraised value of collateral of at least 70% but not to exceed 90%.

Borrower's capacity to pay

Actual need of the borrower based on the contract to sell/scope of work and bill of materials evaluated by the SSS

HOUSING LOAN TYPES

Socialized Housing Loan - Up to P450,000.00

Low-cost Housing Loan

Over P450,000 up to P1,000,000

Over P1,000,000 up to 1,500,000

Over P1,500,000 up to P2,000,000

A maximum of three (3) qualified SSS members may combine their individual loanable limits, secured by the same collateral, provided they are related within the first (1st) civil degree of consanguinity or affinity.

HOUSING LOAN PAYMENT TERM 

The loan is payable in multiples of five (5) years up to a maximum of thirty (30) years. However, the loan term shall be subject to the following:

The principal borrower's age shall not exceed 65 years old at the time of loan maturity; and

The loan term shall not exceed the economic life of the building as determined by the SSS appraiser.

INTEREST RATE

Below P450,000.00 – 8% p.a.

Over P450,000.00 up to P1,000,000.00 – 9% p.a.

Over P1,000,000.00 up to P1,500,000.00 – 10% p.a.

Over P1,500,000.00 up to P2,000,000.00 – 11% p.a.

The loan shall be secured by any collateral acceptable both to the Private Financial Institutions and the SSS provided the loan is fully secured.

ACCEPTED COLLATERALS

The allowable collateral for an SSS housing loan is the property covered by a Transfer Certificate Title/Original Certificate of Title/Condominium Certificate of Title (TCT/OCT/CCT) issued by the Registry of Deeds in the name of the principal borrower, free from liens and encumbrances.

The loan shall be secured by a first Real Estate Mortgage (REM) on the house and lot to be financed. The REM shall be annotated on the member borrower's TCT/OCT/CCT and shall be registered with the appropriate Registry of Deeds. The loan shall also be covered by an HGC guaranty.

If the purpose of the housing loan is to purchase a residential condominium unit prior to actual construction (pre-selling), other residential property acceptable to SSS must be submitted as collateral to secure the loan.

The following are not accepted as housing loan collateral:

• Less than 15 sq. meters floor area, in case of condominium
• Less than 32 sq. meters lot area
• Land type other than residential
• Free/Homestead/Miscellaneous Sales Patent Titles
• Road right of way is less than 1.5 meters

HOUSING LOAN INSURANCE COVERAGE 

• Mortgage Redemption Insurance
• Fire Insurance
• Home Guaranty Corporation Coverage

HOUSING LOAN MODE OF PAYMENT

The Workers' Organization Members can repay the loan by issuing 12 post-dated checks (PDCs) for the first twelve (12) months of the loan term and replaced every year thereafter until fully paid. However, payment through post-dated checks shall be subject to Office Order No. 2011-028.

For details or inquiries in connection with the SSS Direct Housing Loan Facility for Workers' Organization Members, please visit the SSS Housing and Business Loans Department, 5th Floor, SSS Main Building, East Avenue, Diliman, Quezon City or you may dial 920-64-01 local 5121 to 5127, or send and e-mail to member_relations@sss.gov.ph.