Refinancing your home loan in the Philippines means replacing your existing mortgage with a new one — ideally at a lower interest rate, with a different bank or lender. In 2026, the best refinance rate available through Nook is 5.99% p.a., while most Filipino homeowners are still paying between 7% and 10% on their current loans. That gap can translate to tens of thousands of pesos saved every year. The good news: multiple major Philippine banks actively accept refinancing applications, and the process is more straightforward than most borrowers expect.
Whether you're currently with BDO, BPI, Metrobank, Security Bank, or another lender, this guide answers the most common questions about bank refinancing in the Philippines — which banks accept applications, what the requirements are, how long it takes, and how Nook makes the whole process free and hassle-free for you.
Most major Philippine banks actively accept home loan refinancing applications. These include BDO, BPI, Metrobank, Security Bank, PNB, RCBC, UnionBank, Chinabank, PSBank, Robinsons Bank, EastWest Bank, and Landbank. Pag-IBIG (HDMF) also has a refinancing program for qualified members.
Not every bank will be the best fit for every borrower. Banks differ on minimum loan amounts, eligible property types, interest rate structures, and how strictly they assess income. For example, some banks are more flexible with self-employed borrowers, while others offer more competitive fixed-rate periods. This is exactly why comparing across multiple lenders — rather than applying to just one — gives you a much stronger outcome.
Nook works with a panel of Philippine banks and can identify which lenders are most likely to approve your application and offer you the lowest rate, saving you the time of approaching each bank individually. See our 2026 guide to the best banks for home loan refinancing for a detailed bank-by-bank breakdown.
As of 2026, the lowest refinance rate available through Nook is 5.99% p.a. This is a significant improvement on what most Filipino homeowners are currently paying. Based on what we see from borrowers coming to Nook, the typical existing rate is somewhere between 7% and 10% — often locked in years ago when rates were higher or repriced upward without the homeowner shopping around.
The exact rate you'll be offered depends on several factors: your loan amount, your remaining loan term, your property's appraised value, your income and credit profile, and the bank you apply with. Fixed-rate periods also matter — a 1-year fixed rate will generally be lower than a 3- or 5-year fixed rate, but comes with the risk of repricing sooner. Nook will help you weigh these trade-offs so you choose the structure that suits your situation.
Yes — and in many cases, switching to a different bank is exactly how you get the best rate. There is no obligation to refinance with your existing lender. In fact, banks typically offer their most competitive rates to attract new borrowers, not to retain existing ones. This means going to a competing bank often results in a better deal than simply asking your current bank to lower your rate.
When you refinance with a new bank, your new lender pays off your existing mortgage and registers a new mortgage in their favour over your property. You then make payments to your new lender at the new, lower rate. The process involves some paperwork and fees (covered in a separate question below), but the long-term savings typically far outweigh the upfront costs.
While requirements vary by bank, most Philippine lenders will ask for the following when you apply to refinance:
- Personal identification: Two valid government-issued IDs
- Income documents: For employed borrowers — latest ITR, Certificate of Employment, and 3 months of payslips. For self-employed — latest 2 years of ITR, audited financial statements, and SEC/DTI registration
- Existing loan documents: Your current loan statement showing outstanding balance, and proof of timely repayment (typically 12 months of clean payment history)
- Property documents: Copy of Transfer Certificate of Title (TCT), tax declaration, and latest real property tax receipts
- Marriage certificate (if applicable)
Banks will also conduct a fresh appraisal of your property, which they typically arrange themselves. Your loan-to-value ratio (LTV) — the loan amount as a percentage of your property's appraised value — generally needs to be 80% or below for most banks to approve a refinance.
The savings depend on your current rate, your outstanding loan balance, and your remaining term. Here are two concrete examples to illustrate:
Example 1 — Loan of 3,000,000 over 20 years:
At 8.5% p.a., your monthly repayment is approximately 26,000. At 5.99% p.a., it drops to approximately 21,500. That's a saving of around 4,500 per month — or 54,000 per year. Over a 5-year fixed period, that's 270,000 in savings.
Example 2 — Loan of 5,000,000 over 20 years:
At 8.5% p.a., your monthly repayment is approximately 43,400. At 5.99% p.a., it drops to approximately 35,800. That's a saving of around 7,600 per month — or 91,200 per year. Over 5 years, that's over 456,000 saved.
Even after accounting for refinancing costs (typically 1–3% of the loan amount), the payback period is usually well under two years for most borrowers. Use Nook's refinance calculator to see your personalised savings estimate.
From submitting a complete application to having your new loan disbursed, the typical timeline is 4 to 8 weeks, though it can be shorter or longer depending on the bank and your property's situation.
Here is a general breakdown of the stages:
- Week 1–2: Submit application and documents; bank conducts credit assessment
- Week 2–3: Property appraisal conducted by the bank's accredited appraiser
- Week 3–4: Loan approval issued (Letter of Guaranty or Approval Notice)
- Week 4–6: Title released from your existing bank (this is often the longest step, especially if the title is held by another lender)
- Week 6–8: Annotation of new mortgage on title, loan disbursement, and closing
Delays most often occur at the title-release stage. Nook coordinates with both your old and new lender throughout this process, which significantly reduces back-and-forth delays for borrowers who go through us.
Refinancing is not completely free of costs — there are standard fees charged by the bank and government agencies. Here is what to expect:
- Appraisal fee: Typically 3,000 to 6,000, paid to the bank's appraiser
- Processing/handling fee: Some banks charge this, typically 5,000 to 10,000
- Documentary Stamp Tax (DST): 1.5% of the loan amount — a government charge on the new mortgage document
- Registration fee: Varies by loan amount, typically 5,000 to 20,000, paid to the Registry of Deeds
- Notarial fees: Typically 1,000 to 3,000
- Mortgage Redemption Insurance (MRI) / Fire Insurance: Required by most banks; often added to monthly payments
Total closing costs are typically between 1% and 3% of the loan amount. There is no broker fee when you apply through Nook — our service to borrowers is completely free. We are compensated directly by the bank when your loan is approved.
Yes, this is possible and is increasingly common as commercial bank rates have become more competitive. If you currently have a Pag-IBIG housing loan and your rate is higher than what a commercial bank is offering, you can apply to refinance with BDO, BPI, Security Bank, or another accredited lender.
The key consideration is your remaining Pag-IBIG loan balance and the title situation. Pag-IBIG holds your Condominium Certificate of Title (CCT) or Transfer Certificate of Title (TCT) as collateral. When your new bank approves the refinance, they will issue a Letter of Guaranty to Pag-IBIG to release the title so it can be re-mortgaged to the new lender. Pag-IBIG generally processes title releases within 30 to 45 working days once a Letter of Guaranty is submitted.
One thing to note: if you have an existing Pag-IBIG Multi-Purpose Loan or other obligations with HDMF, these do not automatically transfer — you continue paying those separately. Only the housing loan is being refinanced.
Many Philippine home loans include a prepayment penalty clause, which means your current bank can charge a fee if you pay off your loan early — including when you refinance to a new lender. This fee is typically between 2% and 5% of the outstanding loan balance, and it usually only applies during the fixed-rate period of your loan.
If your fixed-rate lock-in period has already ended, there is generally no prepayment penalty and you are free to refinance without any exit costs. If you are still within the lock-in period, you need to weigh the prepayment penalty against your projected savings from refinancing. In many cases — particularly if rates have dropped significantly — it still makes financial sense to refinance even after paying the penalty.
Nook will review your current loan terms as part of our free assessment and calculate whether refinancing now or waiting until your lock-in expires gives you the better outcome. There is no pressure either way — we will give you the honest numbers.
Nook is the Philippines' first digital mortgage broker, and our service is 100% free for borrowers. Here is what we do for you:
- We assess your current loan and financial profile to identify the best refinancing options available to you
- We submit your application to multiple banks simultaneously, so you get competing offers without having to approach each bank yourself
- We negotiate on your behalf to secure the lowest available rate
- We guide you through document preparation, bank coordination, and the entire process from application to disbursement
- We handle follow-ups with both your old and new lender during the title transfer process
We are paid a standard referral fee by the bank when your loan settles — similar to how travel agents are paid by airlines. This fee is not added to your loan or charged to you in any way. Our incentive is to get you the best possible deal, because that is how we earn the bank's business.
To get started, visit our guide on how Nook works or simply apply online — it takes about 5 minutes and there is no obligation.