Vice President and housing czar Jejomar Binay bared his plan to further decrease the interest rate on housing loans in a bid to ensure that poor Filipinos will be given a chance to have their own decent housing.

Binay said he is mulling to further decrease the interest rate on housing loans to about four percent from the current six percent. This, however, is still being studied.

Housing loans starting at P400,000 currently have an interest rate of six percent or a monthly installment of approximately P3,200, according to Binay.

This, he said, is still high considering that those whom they are targeting to avail of the housing loan are Filipinos below the poverty line.

Since he was assigned as the chairman of the Housing and Urban Development Coordinating Council (HUDCC), Binay had vowed that he would prioritize decent housing for poor Filipinos, noting that there is still a housing backlog of 3.2 million.

Binay also said he is tapping the local government units (LGUs) for donation of idle lands and as partners of HUDCC.

He said local governments would also be tapped in collecting payments for housing loans, saying that they will be paid administrative fees.

According to Binay, they will ensure that the low cost housing will not only be affordable to the masses but will also be made of quality materials.

“Yung ginagastos sa nasirang bahay maiiwasan pag may bagyo, edi malaki nang savings yun para sa kanila [Their homes will not be easily destroyed by typhoon and they would be able to save more money],” he said.

Federation of Philippine Industries (FPI), Inc. chairman Jesus Lim Arranza had already assured earlier this week that the FPI stands ready to cooperate with the HUDCC in creating low cost housing for poor Filipinos at a reasonable price without sacrificing the quality of construction materials.