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What to know about PAG-IBIG acquired assets

Many Filipinos aspire to own a home. For the average Filipino, it can take years to save up on a down payment, get a home loan, and pay off their mortgage before they can truly have a property in their name.

One method of acquiring property is through purchasing a Pag-IBIG Acquired Asset. Although some may think this is the fastest, cheapest, and easiest way to get a house, it’s not as simple as it sounds.

If you’re looking to buy these acquired assets, read the rest of this article to thoroughly understand the process, know its advantages and disadvantages, and see if it is still worth buying.

What is a Pag-IBIG acquired asset?

functions. When a person fails to repay their Pag-IBIG loan, the property they purchased is foreclosed and put up for public auction for Pag-IBIG to recoup their losses from the unpaid loan.

These properties are put on public bidding at a price lower than their actual market value. If no one is interested in bidding, Pag-IBIG will make a last-ditch attempt to sell the property at a discounted price.

Pros and cons of acquired assets

Because of their below-market price, Pag-IBIG Acquired Assets may seem like a steal if you’re looking for affordable property. But before you buy, it’s important to weigh the pros and cons of purchasing an acquired asset.


  • Properties are sold lower than its market value- You have a chance to find a property without any issues that’s being sold for much less than it is worth.

  • It can be a good investment for real estate investors- If your intent is to buy and sell property, the appreciating feature of real estate means you can get bigger returns on the property when you sell it for its actual value.


  • It’s sold as is, where is- Finding a good property without issues can be a game of luck when browsing through Pag-IBIG acquired assets. Some foreclosed homes may have been left to deteriorate, so while you might think you’re getting a good deal on a home, the money you saved from buying lower than the market value will go towards repairs and renovations.

  • Your options are limited- Your property options are only limited to the available Pag-IBIG acquired assets, so you can’t necessarily choose exactly where you want to live. Also, take note that others are also searching for acquired assets, so someone may outbid you or buy the property before you do.

Taking steps to ensure that you are making a sound investment (e.g. viewing the property before buying, having a professional assess the home) can help you get your money’s worth and not spend excessive amounts repairing the property.

If you’re interested in learning the process of acquiring foreclosed properties from Pag-IBIG, check out this Pag-IBIG Fund page.

Should I invest in Pag-IBIG acquired assets?

Ultimately, your decision should be based on whether or not the advantages outweigh the cons and risks of buying an acquired home. But take note that just because houses are auctioned or sold at a discount does not necessarily make it affordable enough to buy the property with out-of-pocket cash.

You may still need to apply for a home loan, though for a much lower sum. Finding a good acquired asset to invest in combined with getting a home loan from the bank makes it easier to acquire your first home and pay off your loan in several years.

There are many financial advantages to purchasing a Pag-IBIG acquired asset, but you have to recognize the risks that come with buying foreclosed properties. By doing so, you can avoid making a bad purchase and be more likely to find an affordable home you can call your own.

If you’d like to purchase your own Pag-IBIG-acquired home but need the extra financial assistance, allow Metrobank to assist you in obtaining your dream home. Talk to us to learn more about our Metrobank Home Loan.