Security Bank Home Loan Review Philippines 2018 – Comparing the Most Affordable Home Loan Rates from Security Bank

Security Bank Home Loan Review Philippines 2018 – Comparing the Most Affordable Home Loan Rates from Security Bank

With the Security Bank Home Loan, you can skip through the stressful steps of buying, constructing, or renovating your house.

In this MoneySmart review, find out everything you need to know about this home loan and whether it’s the right home loan for you.

What can you use a Security Bank Home Loan for?

You can apply for a Security Bank Home Loan to purchase a house and lot, a vacant lot, a condo unit, or a townhouse.

The home loan proceeds can also be used for refinancing, home construction, home improvement, acquisition cost reimbursement, or home equity.

If you’re planning on getting a home loan, this is what you can expect to get from Security Bank.

What Security Bank Home Loan Offers
Loan Amount Up to 80% of appraised value of property
Payment Terms Up to 20 years
Minimum Joint Gross Monthly Income 50,000 PHP
Home Loan Approval Time 5 banking days
Minimum Loan Amount 1,000,000 PHP

How much can you borrow with your Security Bank Home Loan?

You can borrow up to 80% of the value of your desired property, and up to 70% if it’s for a vacant lot, a second home, or for investment purposes.

With the Security Bank Home Loan, you can also enjoy a fixed rate of 7% for a year.

You can get a sample computation of your home loan through Security Bank’s Housing Loan Calculator.

Simply type in your annual income, preferred loan repayment period, and the desired property’s worth.

Do note that the quoted loan amount and amortization are indicative only and based on a fixed interest rate of 7% for 1 year. The final loan amount, amortization, and interest rate will only be confirmed upon loan approval.

Check out this sample computation below just to give you a clearer idea of how much you need to shell out for your down payment and for your monthly amortizations.

Sample Computation
Annual income 600,000 PHP
Repayment period 10 years
Property worth 1,700,000 PHP
Computed Result
Down payment 340,000 PHP
Eligible loan amount 1,360,000 PHP
Monthly payment 14,591.67 PHP

How long can you pay your Security Bank Home Loan?

The minimum loan term available for borrowers is 1 year.

If you’re purchasing a house and lot, the maximum repayment period is 25 years.

For townhouse or duplex purchases, the maximum repayment period is 20 years.

For residential vacant lots or condo units, the maximum repayment period is 15 years.

Here’s a look at Security Bank Home Loan’s rates and terms.

Loan Term  Home Loan Rate Home Equity Loan Rate
1 year 7.00% 8.00%
3 years 7.25% 8.25%
5 years 8.00% 9.00%

What are the eligibility requirements?

To qualify for a Security Bank Home Loan, you should meet the following criteria:

  • Must be 21 years of age but not more than 65 when the loan matures
  • Earning a monthly income of 50,000 PHP (combined)
  • Must be continuously employed for 2 years or more, or operating a legitimate and profitable business for 3 years or more if self-employed

How do you apply for a Security Bank Home Loan?

  1. You can apply by filling out the online application form, by visiting a Security Bank branch near you, or through accredited developers.
  2. Once you have submitted the completely filled out and signed application form, you will receive an SMS regarding the status of your application.
  3. When your application is approved, you will receive an email with all the approval details, after which you will need to sign the loan documents.
  4. You will then be required to open an account with Security Bank for the Auto Debit Arrangement and pay the corresponding bank charges.
  5. Submit the required documents so your loan proceeds can be released. After which, the monthly amortization will be collected a month after the release of the loan.

What are the requirements that need to be submitted?

For locally employed borrowers, here are the requirements that you need to prepare and submit:

These are the home loan requirements for self-employed borrowers:

These are the requirements for corporate borrowers:

And these are the requirements for OFW borrowers:

Screenshot images from Security Bank as of September 3, 2019

Some of the accredited property developers of Security Bank

Accredited developers include DMCI Homes, AyalaLand, Megaworld Corporation, Filinvest, Vista Land, SM Development Corporation, Cityland, Federal Land, P.A. Alvarez Properties, Pro Friends, Hausland, and Northpine.

You can purchase a property from another property developer located in parts of the country, not just in the Greater Manila Area.

Conclusion:

Purchasing your very first condo unit or your dream house need not be a stressful affair when you have the budget and the right home loan provider.

What’s great about the Security Bank Home Loan is that there is no lock-in period. It also offers the best rates during the first 5 years.

You can get an approval in just 5 days if you’re qualified and if you submit complete documents.

And because you can enroll your Security Bank savings or current account in their auto debit arrangement, paying your monthly amortization is also easy and convenient.

 

Ready to apply for a Security Bank Home Loan? You can download the application form here or visit your nearest Security Bank branch.