Home Loan Interest Rates in the Philippines: 2026 Edition

If you have a home loan in the Philippines, the interest rate on your mortgage is probably the single biggest factor affecting how much you pay every month — and how much you pay in total over the life of your loan. Yet most Filipino homeowners have no idea what rate other banks are currently offering, or whether they could be saving thousands of pesos a month by switching.

This guide breaks down everything you need to know about home loan interest rates in the Philippines in 2026: what the major banks are charging, how rates are structured, what affects the rate you qualify for, and — most importantly — how to find out if you're overpaying.

How Philippine Home Loan Interest Rates Work

Before comparing numbers, it helps to understand how banks in the Philippines structure their mortgage rates. Almost all home loans here use a fixed-then-repricing structure. This means your rate is locked in for an initial fixed period — typically 1, 2, 3, 5, or 10 years — after which it reprices based on the bank's prevailing rate at that time.

This is very different from a truly fixed-rate mortgage (common in the US or UK) where your rate stays the same for the entire loan term. In the Philippines, even if you sign a 20-year loan, your rate will almost certainly change multiple times over that period.

What "Repricing" Actually Means for You

When your fixed period ends and your loan reprices, your bank will set a new rate based on market conditions at that time. If rates have gone up — which they often do — your monthly payment increases. Many homeowners who took out loans during low-rate periods in 2020 and 2021 have already experienced significant payment increases at repricing.

This repricing risk is one of the main reasons homeowners refinance. When your loan reprices to a higher rate, it's also an opportunity to shop around — and refinancing to a new lender at a better rate can lock in savings for another fixed period.

2026 Home Loan Interest Rates: Major Philippine Banks

Here is a representative overview of home loan interest rates currently being offered by major banks in the Philippines. Note that rates vary based on loan amount, loan-to-value ratio, loan term, and borrower profile. Always get a formal quote for your specific situation.

BDO Unibank

BDO is the Philippines' largest bank by assets and one of the most popular choices for home loans. Their rates for 2026 typically range from around 7.00% to 8.50% p.a. for fixed periods of 1 to 5 years, with longer fixed periods carrying slightly higher rates. BDO offers loans up to 80% of the property's appraised value.

BPI (Bank of the Philippine Islands)

BPI is known for competitive home loan rates and a relatively streamlined application process. Current BPI home loan rates range from approximately 7.25% to 8.75% p.a. depending on the fixing period. BPI also offers a 10-year fixed option for borrowers who want longer rate certainty, though at a premium rate.

Metrobank

Metrobank offers home loan rates broadly in line with BDO and BPI, typically ranging from 7.00% to 8.50% p.a. for standard fixing periods. Metrobank is a strong option for mid- to high-value properties and has a well-regarded mortgage team for larger loan amounts.

Security Bank

Security Bank has been an aggressive competitor in the home loan market and frequently offers promotional rates. Their rates currently range from around 6.75% to 8.25% p.a., and they are worth checking specifically if you are refinancing, as they have run dedicated refinance promos in recent years.

RCBC (Rizal Commercial Banking Corporation)

RCBC offers home loan rates from approximately 7.00% to 8.50% p.a. and is known for being flexible with borrower profiles, including OFWs and self-employed applicants. Their loan-to-value ratios can be competitive for certain property types.

UnionBank

UnionBank, with its digital-first approach, offers home loan rates in the range of 7.25% to 8.75% p.a. Their fully online application process appeals to tech-savvy borrowers, though their physical branch support for mortgages is more limited than larger peers.

China Bank (Chinabank)

Chinabank is a strong mid-tier option for home loans, with rates typically ranging from 7.00% to 8.50% p.a. They are particularly active in the provincial market and have competitive offerings for properties outside Metro Manila.

PSBank

PSBank (Philippine Savings Bank), the thrift banking arm of Metrobank Group, offers home loans at rates typically ranging from 7.25% to 8.75% p.a. Their rates can be competitive for smaller loan amounts.

EastWest Bank

EastWest Bank offers home loans at rates broadly similar to other mid-tier banks, ranging from approximately 7.25% to 8.75% p.a. They have been active in the affordable housing segment.

Pag-IBIG (HDMF)

Pag-IBIG Fund remains one of the most affordable sources of housing finance in the Philippines. For regular Pag-IBIG housing loans, rates currently start at approximately 5.75% to 6.50% p.a. for 1- to 3-year fixing periods, rising to around 7.375% for a 30-year fixed rate. However, Pag-IBIG loans have a maximum loanable amount (currently up to 6,000,000 for standard members) and require consistent Pag-IBIG membership contributions. For eligible borrowers, Pag-IBIG is often the most cost-effective option.

The Real Cost Difference: A Side-by-Side Example

To make the rate differences concrete, consider a borrower with a 3,000,000 home loan over 20 years. Here is what the monthly payment looks like at different interest rates:

That top-to-bottom difference of over 7,000 per month — more than 84,000 per year — is real money that stays in your pocket or goes to the bank, depending entirely on the rate you're paying. Over five years, the difference between 10.00% and 5.99% on a 3,000,000 loan amounts to over 440,000 in additional interest payments. To see what you could save on your specific loan, try Nook's free home loan refinance calculator.

What Determines the Rate You Qualify For?

Banks don't offer the same rate to every borrower. The rate you actually get will depend on several factors:

Loan-to-Value (LTV) Ratio

The LTV ratio is the loan amount divided by the appraised value of the property. A lower LTV means the bank has more security, so they typically offer better rates. Most banks offer their best rates at LTV ratios of 70% or below. If you have paid down a significant portion of your original loan, your LTV has likely improved — and you may now qualify for better rates than when you first borrowed.

Loan Amount

Larger loans sometimes attract slightly better rates because the bank earns more revenue on them. Banks may also have minimum loan amounts for their best promotional rates.

Borrower Profile

Stable employment (particularly in a large company or government), a clean credit history, and a strong debt-to-income ratio all improve the rate you'll be offered. Conversely, self-employed borrowers or those with a limited credit history may be offered rates at the higher end of the bank's range.

Fixing Period

Shorter fixing periods (1-2 years) almost always carry lower rates than longer fixing periods (5-10 years). You are essentially paying a premium for the certainty of a longer fixed period. Whether that premium is worth it depends on your view of where rates are heading and your financial stability.

Property Type

Banks generally offer the best rates on condominium units and house-and-lot properties from reputable developers. Raw land, rural properties, or unusual property types may carry higher rates or be ineligible for certain products.

Are You Overpaying? The Refinancing Opportunity

If you took out your home loan two or more years ago — especially if it has already repriced once — there is a real chance you are paying more than you need to. The best available refinance rate through Nook is currently 5.99% p.a., which is significantly below what most banks are offering on new loans, and well below the 7-10% range many homeowners are currently paying.

Refinancing means taking out a new home loan (with a new lender, or sometimes your existing lender) to pay off your old one. The new loan comes with a new interest rate, new fixing period, and potentially new loan term. For many homeowners, refinancing is the single most impactful financial move they can make. You can check whether refinancing makes sense for your situation with a detailed look at how current rates compare to what homeowners are actually paying.

When Does Refinancing Make Sense?

What About Refinancing Costs?

Refinancing isn't free — there are bank processing fees, appraisal fees, mortgage registration costs, and documentary stamp tax to consider. These typically total between 1% and 2% of the loan amount. However, if the monthly savings from your lower rate are large enough, these costs are recovered within one to two years, after which you are in pure savings territory. This is the break-even analysis that every potential refinancer should do before committing.

How Nook Helps

Nook is the Philippines' first digital mortgage broker, and our service is completely free to borrowers. We work with multiple banks to find the best available rate for your specific loan profile — you don't have to approach each bank individually, negotiate on your own, or try to decode the fine print.

Here's how it works: you share the details of your current loan and property, and Nook's team shops the market on your behalf. If we find a better rate (and we usually do), we help you through the refinancing process from application to drawdown. There is no fee to you — Nook is compensated by the bank when your loan is successfully placed.

With the best refinance rate currently at 5.99% p.a., there has never been a better time to check whether you could be paying less on your home loan.