Gregorian Housing and Services

18/10/2018

Housing Budget Cut: Low Priority on Budgetary Allocation for the Housing Sector in 2018

Despite the increasing housing backlog of some 4.6 million units, and the growing need for new housing, the government's budget allocation for shelter for 2018 has decreased by 30.7 percent to P4.7 Billion from the 2017 allocation of P15.3 Billion.The P4.7 Billion 2018 budget for housing is not even one per cent of the total P3,814 Billion National Budget but a mere .12 percent.

This will greatly curtail the direct production of housing units and the housing interventions of the different housing agencies particularly the Nis the government's agency mandated to do actual production of housing units for the marginalized sector specifically those families living in danger areas such as railroad tracks and river ways. NHA also implements projects for the informal settlers mostly in urban areas and those living in unacceptable structures made up of light materials.

Lowest Allocation under the Build, Build, Build Program

Likewise, compared with the other social sectors with regard budget allocation for the "Build, Build, Build" Program of the government, the housing sector was again given the lowest priority.The entire social services sector received a budget of P1,425.7 Billion. Of this amount, P760.2 Billion or 53 percent was allotted to the education sector; P179.4 Billion or 12.6 percent for the health sector; P284.1 Billion or 20 percent for the social security and welfare and employment sector; P196 Billion or 13.7 percent for other social services. The housing sector received a token of P5.98 billion or 09.41 percent of the total allocation for the social sectors under the Buld, Build, Build program of the government.

The housing sector historically has been utilized by governments to spur economic activities. There are some 80 plus industries attached to housing e.g. cement, steel,electrical and lighting fixtures, roofing, wood products, furnitures, aggregates, paint, banks and financial institutions, etc. Furthermore, the employment generation and other economic activities related to a vibrant housing sector can greatly contribute to the employment requirements of the country.Clearly, this has been overlooked by the economic managers as shown in the low prioritization of budget allocation for the housing secor.

17/10/2018

Housing Affordability of 3.1 Million Families in the Lower Income Groups Now in Peril -

The affordability to acquire a house of the lowest 30 percent of the population in the country's income decile will be adversely affeced should the government's plan to remove the incentives extended under the current National Shelter Program (NSP) provided for by Republic Act R.A. 7279, the Urban and Housing Development Act is implemented.

With the current 3 percent interest rates on the affordable housing program for socialized housing borrowers, monthly amortization for loans for socialized housing amounts to some P1,892.22. However with the removal of incentives, amortization for socialized housing loans worth P480,000.00 will now increase by almost 50 percent (48.04 percent) to P 3,949.00 per month exclusive of the loan fees, fire and mortgage insurance premiums.

Removal of the incentives will affect the chances of the lowest income groups of the population or the bottom 30 percent of the country's income decile, with an average annual family income of P156,000.00, to acquire and afford socialized housing programs of the developers with the government increasing the price for housing for the poor. Only the fifth decile, or those with an average annual family income amounting to P182,000.00will now be able to afford the socialized housing program of the government.
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This will automatically displace some 3.1 million families in the bottom 30 percent of the income ladder distributed as follows: 402,000 families in Cordillera Administrative Region (CAR), 697,000 families in MIMAROPA, 824,000 families in Region IX Zamboanga Peninsula, 579,000 families in Region XIII CARAGA, and 661,000 families in Autonomous Region in Muslim Mindanao.

Further, excluded here who will also be adversely affected are the informal settler families estimated by the National Housing Authority (NHA) and the Housing and Urban Development Coordinating Council (HUDCC) at around 25 to 30 percent of total urban population in urban cities of the country. - Sonny Ducay October 9, 2018

12/06/2018

Hi Everyone

12/06/2018

Hi Everyone..

14/06/2017

I think that I shall never see a poem as lovely as a tree...

20/02/2017