Property prices, payment options and home financing

How much does a typical property (lot, house and lot, condo, club share) cost?

The cost of the property is typically affected by the factors which buyers take into consideration when buying.

A typical lot:

Ayala Land Premier - minimum package price of Php4 million
Alveo Land Corp. - minimum package price of Php3 million
Avida Land Corp. - minimum package price of Php0.8 million

A typical house-and-lot:

Ayala Land Premier - minimum package price of Php17 million
Alveo Land Corp. - minimum package price of Php4 million
Avida Land Corp. - minimum package price of Php1.8 million

A typical condo:

Ayala Land Premier - minimum package price of Php9 million
Alveo Land Corp. - minimum package price of Php3 million
Avida Land Corp. - minimum package price of Php1.2 million

What are the different payment schemes available? (Cash or near-cash, in-house financing, bank financing)

Payment schemes vary on a per-project basis. Typical payment schemes include cash, In-house/deferred (with interest maximum of 10 years), Deferred without interest (2 years), Bank Financing and Pag-Ibig

Detailed Payment Schemes please Contact Us.

What factors should I consider when choosing a payment scheme?

For cash or near cash schemes (i.e. a portion of selling price is paid on the first 30 days and the remaining balance on the next 60 days), following are the factors that you should consider:

1. How much money you have saved (which will help you pay the entire price within the 30-day/60-day period)

2. Amount of discount offered by Ayala Land as compared to your foregone investment earnings for in-house financing, you need to consider:

o How much money you have saved (which will help you pay for downpayment and closing costs)
o How much net cash flow you have on a monthly or periodic basis (which will help you pay for monthly or periodic installment payments)
o Interest cost attached to the payment scheme (if any)
o Ease of transacting directly to Ayala Land as compared with a bank (i.e. less documentation requirements)
o The advantage of not paying up a large one-time amount

For bank financing, the factors are similar to in-house financing, except for lower interest rates, stricter bank requirements, and the benefit of having the Title transferred to your name sooner if you use a different property as your collateral. If you choose to use the property you purchased as your collateral, the Title will be transferred to your name, however, it will be kept by the bank until you complete your mortgage payments.

How do I know how much I can afford to purchase? How much can I borrow? How much downpayment and monthly amortization will I have to pay?

A Property Specialist will be able to give you an idea of how much the price of the unit is, how much downpayment is needed, and how much the monthly amortizations and/or the lumpsum payments are, if applicable.

You can also use the mortgage calculators provided in this website to enable you to estimate what kind of a property you can afford, how much you can borrow, how much you can afford to pay on a monthly basis.

The amount of bank financing extended varies with each bank and is affected by both the property's appraised value (as determined by the bank) and the capacity of the buyer to pay (as evaluated by the bank). Typical bank financing is normally up to 80% of the selling price (VAT included) but BPI Family Bank has recently launched a program allowing buyers of Ayala Land Premier and Alveo Land Corp. developments to borrow up to 90%.

How much do I have to pay for downpayment and closing costs?

Downpayment varies for each type of project. Typical amount of downpayment ranges from 10 to 30% of the package price. Most downpayments are due upfront. In some cases especially for Avida, it may be spread over a number of months.

Typical closing costs include taxes, registration fees, insurance, etc. Please contact your seller for the applicable closing costs particular to the property you are interested to purchase.

What is the process for securing in-house financing? How will my application for in-house financing be evaluated?

For in-house financing, financing is extended by the company who is selling the property. Under this scheme, there is no transfer of ownership to the buyer until the property is fully paid.

If you are interested in securing in-house financing,

o Gather information about your savings and monthly cash profile.
o Having an idea of your funding resources, estimate what kind of a property you can afford, how much you can borrow, how much you can afford to pay on a monthly basis.

Typical factors affecting evaluation and approval of a request for in-house financing include the following:

Proof of monthly or periodic net cash inflow
Size and quality of assets and investments currently owned
Credit track record (as verified with other bank dealings and the presence of any court cases)
Purchase of and good payment track record in other Ayala Land properties, etc.
Tenure with the employer or number of years in business, in case of a professional or an entrepreneur.

An application for in-house financing is typically evaluated within a period of two weeks to one month. This timetable assumes complete documentation and solid evidence presented to support the various factors being used for evaluation. Length of processing may be prolonged by incomplete documents or insufficient evidence of capacity to pay.

What is the process for securing bank financing? Which banks can I consult and how do I get in touch with them? How will my application for bank financing be evaluated?

For bank or external financing, financing is extended by a bank or financial institution such as Pag-Ibig or NHMFC (National Home Mortgage and Finance Corp.). Under this scheme, ownership of the property is transferred to the buyer. The buyer in turn mortgages the property to the bank. This is typically covered by a Deed of Mortgage.

If you are interested in securing bank financing,

Gather information about your savings and monthly cash profile.
Estimate what kind of a property you can afford, how much you can borrow, how much you can afford to pay on a monthly basis.
Contact the bank to secure a list of the documents required for bank financing. Ask the bank representative or mortgage officer for clarification on the factors which will affect their evaluation of your financing application. Also gather information on applicable interest rate, term, and processing timetable.
Await advice from the bank mortgage officer for any additional documents they may request or for a formal advice of approval for financing.
Immediately advise your Seller once you have been informed by the bank of the approval of your financing application. Typically, loan proceeds will be released by the bank directly to Ayala Land as the seller. In exchange, Ayala Land will release the proof of ownership (e.g. Transfer Certificate of Title) directly to the bank, upon your endorsement.

BPI Family Bank, Banco de Oro, Chinabank, EquitablePCI Savings, Metrobank, and Philippine National Bank offer financing for ALI properties. For AVIDA, BPI Family Bank, PS Bank, and EquitablePCI Bank are preferred. A bank directory shall be provided to buyers upon their request

Typical factors affecting evaluation and approval of a request for bank financing include the following:

Proof of monthly or periodic net cash inflow
Size and quality of assets and investments currently owned
Credit track record ( as verified with other bank dealings and the presence of any court cases)
Tenure with the employer or number of years in business, in case of a professional or an entrepreneur.

An application for bank financing is typically evaluated within a period of two weeks to one month. This timetable assumes complete documentation and solid evidence presented to support the various factors being used for evaluation. Length of processing may be prolonged by incomplete documents or insufficient evidence of capacity to pay.

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