⚖️ Bank Comparison

BDO vs BPI

By the Nook Editorial Team · Reviewed to Nook's editorial standards

With dozens of banks offering housing loans in the Philippines, finding the lowest interest rate can save you hundreds of thousands of pesos over the life of your loan. This 2026 comparison breaks down rates, fees, and terms across all major banks — so you can stop overpaying and start saving.

Our Verdict

The lowest housing loan rate in the Philippines right now is 5.99% p.a. — available through Nook for free.

No single bank consistently offers the lowest rate for every borrower. Your best rate depends on your loan amount, term, income profile, and the property you're financing. That's exactly why Nook exists — we compare offers from BDO, BPI, Metrobank, Security Bank, RCBC, UnionBank, and more to find the single best deal for your situation, at no cost to you.

2026 Housing Loan Interest Rates: All Major Philippine Banks Compared

The table below shows indicative fixed-rate periods and starting interest rates for housing loans across the Philippines' major banks as of 2026. Rates shown are for the initial fixed-rate period (typically 1–5 years). After the fixed period, loans reprice at the bank's prevailing rate.

Bank1-Year Fixed Rate3-Year Fixed Rate5-Year Fixed RateMin. Loan Amount
BDO6.50% p.a.6.75% p.a.7.25% p.a.500,000
BPI6.25% p.a.6.50% p.a.7.00% p.a.600,000
Metrobank6.50% p.a.6.75% p.a.7.25% p.a.500,000
Security Bank6.25% p.a.6.50% p.a.6.88% p.a.1,000,000
RCBC6.75% p.a.7.00% p.a.7.25% p.a.500,000
UnionBank6.50% p.a.6.75% p.a.7.00% p.a.1,000,000
Chinabank6.75% p.a.7.00% p.a.7.50% p.a.500,000
EastWest Bank7.00% p.a.7.25% p.a.7.50% p.a.500,000
PNB6.75% p.a.7.00% p.a.7.25% p.a.500,000
PSBank7.00% p.a.7.25% p.a.7.75% p.a.500,000
Robinsons Bank7.00% p.a.7.25% p.a.7.50% p.a.500,000
Pag-IBIG (HDMF)6.375% p.a.6.375% p.a.6.375% p.a.N/A
Nook (Best Available)5.99% p.a.5.99% p.a.5.99% p.a.1,500,000

* Rates are indicative and subject to change. Final rates depend on borrower profile, loan amount, LTV ratio, and property type. Nook rate applies to refinancing eligible existing home loans.

How Much Can a Lower Rate Actually Save You?

The difference between a 7.50% rate and a 5.99% rate may look small on paper — but over a 20-year loan, it adds up to a staggering amount. Here's a real example using a 3,000,000 peso home loan over 20 years:

ScenarioInterest RateMonthly PaymentTotal Interest PaidTotal Cost
Typical Bank Rate7.50% p.a.24,0582,773,9205,773,920
Better Bank Rate6.50% p.a.22,3532,364,7205,364,720
Nook Best Rate5.99% p.a.21,4912,157,8405,157,840

Refinancing from 7.50% to 5.99% saves roughly 2,567 per month — or over 616,000 pesos across a 20-year term. That's money that stays in your pocket.

To see how this compares at the individual bank level, check out our detailed BPI vs Metrobank home loan rate comparison for a side-by-side breakdown of two of the Philippines' biggest lenders.

BDO vs BPI: The Two Biggest Banks Head to Head

BDO and BPI are the two largest banks in the Philippines by assets, and both are popular choices for housing loans. Here's how they stack up for a typical borrower:

BDO Home Loan

  • Starting rate: 6.50% p.a. (1-year fixed)
  • Min. loan amount: 500,000
  • Max. loan term: 25 years
  • Max. LTV: Up to 80% of appraised value
  • Processing fee: Varies (typically 5,000–10,000)
  • Best for: Borrowers who want a large nationwide branch network and established track record

BPI Home Loan

  • Starting rate: 6.25% p.a. (1-year fixed)
  • Min. loan amount: 600,000
  • Max. loan term: 20 years
  • Max. LTV: Up to 80% of appraised value
  • Processing fee: Varies (typically 5,000–10,000)
  • Best for: Borrowers who prioritize slightly lower starting rates and a streamlined digital application

For most borrowers, BPI currently edges out BDO on headline interest rates, but the real-world difference often comes down to your specific loan amount, the property location, and your credit profile. Neither bank will necessarily offer you the lowest rate available — that's where comparing across all banks through a broker like Nook makes a significant difference. You can also read our full 2026 bank-by-bank home loan guide for a deeper look at which lender suits different buyer profiles.

What Factors Determine Your Housing Loan Interest Rate?

The advertised rate and the rate you actually get can be different. Banks assess several factors before giving you a final offer:

Because so many variables are at play, the only way to know your actual best rate is to get real quotes from multiple banks — which is exactly what Nook does for you, for free.

Should You Choose Pag-IBIG or a Private Bank?

Pag-IBIG (HDMF) is often overlooked, but it offers some of the most competitive rates in the market — currently at 6.375% p.a. for loans up to a certain ceiling, fixed across all terms. However, Pag-IBIG has loan amount caps and stricter property eligibility rules that make it unsuitable for all borrowers.

Pag-IBIG Home Loan

  • Rate: 6.375% p.a. (up to 6,000,000 loan)
  • Best for: Active Pag-IBIG members buying socialized or mid-range properties
  • Limitation: Maximum loan amount and member contribution requirements apply

Private Bank Home Loan

  • Rate: 6.25%–7.50%+ p.a. depending on bank and profile
  • Best for: Higher loan amounts, premium properties, faster processing
  • Advantage: More flexible terms, higher loan ceilings, no membership requirements

If you're a Pag-IBIG member and your target property qualifies, Pag-IBIG is worth serious consideration. But if your loan requirement exceeds their ceiling or your property doesn't qualify, a private bank — at the right rate — is your next best option. Nook helps you navigate both worlds.

Why Most Filipinos Are Paying More Than They Need To

The hard truth is that most Filipino homeowners with existing home loans are on rates between 7% and 10% — rates that made sense when they signed their loan years ago, but are now well above what the market offers. Banks are not required to notify you when better rates become available. They will happily continue collecting your monthly payments at your old rate indefinitely.

Refinancing — switching your existing home loan to a lower-rate bank — is the fastest way to reduce your monthly payment and total interest cost. The process is simpler than most people think, and with Nook, you don't pay a single peso in broker fees. We're compensated by the banks, not by you.

Here's who should consider refinancing today:

If you check even two or three of those boxes, there's a strong chance Nook can find you a better rate and real savings starting with your very next monthly payment.

Not sure which bank suits you?

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Frequently Asked Questions

Which bank has the lowest housing loan interest rate in the Philippines in 2026?

No single bank consistently offers the lowest rate for every borrower. As of 2026, BPI and Security Bank are among the most competitive at around 6.25% p.a. for a 1-year fixed term. However, the lowest rate currently available through Nook is 5.99% p.a., which is accessible through our free refinancing service. The best rate for you depends on your loan amount, term, property type, and financial profile.

What is the current housing loan interest rate in the Philippines?

In 2026, housing loan interest rates in the Philippines range from approximately 6.25% to 7.75% p.a. for the initial fixed-rate period, depending on the bank and loan term selected. Pag-IBIG currently offers 6.375% p.a. for eligible members. Through Nook's refinancing platform, the best available rate is 5.99% p.a.

How do I get the lowest housing loan rate in the Philippines?

The most effective way to get the lowest rate is to compare offers from multiple banks simultaneously rather than applying to just one. A mortgage broker like Nook does this for free — we submit your profile to multiple lenders and return the best rate available to you. You can also improve your rate eligibility by maintaining a low loan-to-value ratio, a clean credit history, and stable income documentation.

Is BDO or BPI better for a housing loan?

BPI generally offers a slightly lower starting rate (6.25% p.a. vs BDO's 6.50% p.a. for a 1-year fixed term), making it marginally more competitive on price. BDO has a larger branch network which may be useful for in-person transactions. However, the better choice depends on your specific loan size, property, and financial profile — and both banks may be outcompeted by other lenders on a case-by-case basis.

Can I refinance my existing home loan to get a lower rate?

Yes. Refinancing allows you to transfer your existing home loan to a new bank offering a lower interest rate. This can significantly reduce your monthly payment and total interest cost. To refinance, your loan balance should generally be at least 1,500,000 pesos, your property must have a clean title, and you should have more than 5 years remaining on your loan. Nook specializes in home loan refinancing and the service is 100% free to borrowers.

What is the difference between a fixed and variable housing loan rate?

A fixed rate stays the same for a set period — typically 1, 2, 3, or 5 years. After that period, your rate reprices based on the bank's prevailing benchmark rate. A variable rate can change at any time in line with market movements. Most Philippine banks offer fixed-rate periods rather than purely variable loans. A shorter fixed period usually has a lower initial rate but carries more repricing risk after the fixed term ends.

Is Pag-IBIG cheaper than a private bank for a housing loan?

Pag-IBIG currently offers 6.375% p.a., which is competitive with private banks. For eligible members buying qualifying properties, Pag-IBIG can be an excellent option. However, Pag-IBIG has loan amount limits and property eligibility restrictions. For higher loan amounts or premium properties, a private bank — especially at a negotiated rate through a broker — may offer comparable or better terms overall.

How much can I save by switching to a lower housing loan rate?

On a 3,000,000 peso loan over 20 years, the difference between 7.50% and 5.99% p.a. is approximately 2,567 pesos per month — or over 616,000 pesos in total interest savings across the loan term. Even a 1% rate reduction on a loan of this size saves well over 200,000 pesos in interest. The larger your loan balance and the longer your remaining term, the more impactful a rate reduction becomes.