The Balai Berde Program, officially known as Building Eligible Resilient Dwelling for Everyone, is a green housing initiative launched by the National Home Mortgage Finance Corporation (NHMFC) under the Home Loan Restructuring and Purchase Program (HLRPP-4). It is a program aimed at providing affordable, sustainable housing for Filipinos. This program is specifically designed to promote environmentally-friendly and energy-efficient housing options through the support of projects that meet internationally recognized green building standards. With a focus on low to middle-income families, the program provides financial assistance to developers and borrowers, helping them build homes that are not only affordable but also contribute to a sustainable future.
The rationale behind the Balai Berde Program stems from the need to address the growing demand for eco-friendly, disaster-resilient, and energy-efficient housing in the Philippines. The program encourages developers to integrate green building practices in their housing projects, which helps in reducing environmental impact while also lowering long-term costs for homeowners. It also supports sustainable housing by encouraging the development and financing of green housing projects and promoting eco-friendly residential buildings while providing financial assistance to qualified developers and borrowers. For ordinary Filipinos, this program offers a chance to access homes that are not only affordable but also contribute to healthier living environments, making it an important initiative for both present and future generations. In this guide, we’ll walk you through what the program is, who can apply, the documentary requirements, step-by-step application process, and fees involved.
Program Overview
The Balai Berde Program is part of NHMFC’s efforts to support green housing by purchasing housing loans from projects that meet internationally recognized environmental standards. It promotes the development of affordable, sustainable, and energy-efficient homes for Filipino families. The program serves both as a financing solution and as a push for greener, more climate-resilient housing nationwide.
It was specifically designed to:
- Encourage the construction of affordable homes that are compliant with green building standards like EDGE.
- Support developers and originators in financing eco-friendly housing projects.
- Make sustainable housing more accessible to low- and middle-income Filipinos.
- Help reduce carbon footprint and resource consumption in the housing sector.
- Improve the overall quality of life by promoting healthier and more efficient homes.
Features
The BALAI BERDE Program offers a sustainable housing loan take-out system that supports developers and financial institutions in promoting green homes. It ensures that housing portfolios meet environmental, technical, and documentary standards before being purchased by NHMFC. The program is structured to encourage compliance with green certifications and provide financial support to qualified borrowers and developers.
- Green Certification Requirement: Housing projects must be certified under internationally recognized systems like EDGE, proving at least 20% efficiency in energy, water, and materials.
- Loan Purchase Mechanism: NHMFC purchases eligible housing loan portfolios from accredited originators.
- Originator Accreditation: New originators must meet regulatory, financial, and performance standards to qualify.
- Borrower Eligibility: Borrowers must have the capacity to repay and provide complete documentation.
- Loan Terms: Maximum loan term of 30 years with required clean title and mortgage security.
- Digital Submission Process: Application documents are submitted online in high-resolution PDF format.
- Evaluation and Approval: Portfolios undergo due diligence, appraisal, and committee evaluation before loan proceeds are released.
- Holdout Rates: Loans pending title registration are subject to a holdout percentage based on loan value.
- Governance Structure: Multiple NHMFC committees oversee project evaluation, approval, and policy-making for transparency and efficiency.
Benefits
Some of the benefits offered by the program include:
- Up to 100% financing based on the appraised value of the housing unit (or up to ₱3 million).
- Loan term of up to 30 years.
- Helps originators and developers maintain liquidity.
- Promotes eco-friendly and disaster-resilient communities.
- Supports borrowers in acquiring sustainable housing.
- Encourages the creation of eco-friendly homes that reduce energy consumption and water usage.
- Supports the development of resilient housing in areas prone to natural disasters.
Target Beneficiaries
The program is open to:
- New and existing public or private housing loan originators, such as:
- Real estate developers
- Construction companies
- Cooperatives
- Microfinance institutions
- LGUs and government agencies
- NGOs
Qualifications
Applicants are expected to at least meet the following criteria:
- Borrowers must be linked to green-certified housing projects that meet standards such as EDGE, LEED, or BERDE.
- Receivables may be under Contract-to-Sell (CTS) or Real Estate Mortgage (REM) accounts, provided they are linked to green housing projects certified by recognized environmental standards like EDGE, LEED, or BERDE.
- Existing originators of NHMFC are automatically qualified for the BALAI BERDE Program.
- New originators must apply for accreditation and meet the following criteria:
- Accreditation by DHSUD: Must be listed as an accredited developer with the Department of Human Settlements and Urban Development (DHSUD) or any key shelter agencies.
- Regulatory Authorization: Must be duly authorized to operate, with a Certificate of Registration from the relevant regulatory body.
- Positive Financial Standing: Must provide audited financial statements for the last two years to demonstrate financial health.
Required Documents
Applicants are also required to submit the following:
A. For Inspection/Appraisal (by Originating Institutions)
- Letter of Intent
- Appraisal request
- Titles (TCT/CCT)
- Vicinity and location maps
- Subdivision and building plans
- Bill of Materials/Quantities
- Site development and building permits
- License to Sell and Certificate of Occupancy
- Project photos (interior/exterior views)
- Green building certification (or equivalent)
- Appraisal report (if available)
B. For Borrowers (CTS/REM):
- Housing loan application with 2×2 ID picture
- Authority for unit inspection
- Background and credit investigation consent
- Health statement (for 60+ or ₱2M+ loans)
- Two valid IDs
- Marriage contract (if applicable)
- Borrower’s ledgers and receipts
- Proof of income, based on status:
If employed:
- ITR
- Certificate of Employment
- Payslips
- Passbook/Income statements
If in business:
- ITR with financial statements
- Mayor’s/business permit
- Bank statements
If OFW:
- Valid employment contract (English)
- Bank records
Other income sources:
- Lease contract (if applicable)
- Car registration (if applicable)
- Investment account proof
- Postdated checks for 24 months + 1 collateral check
C. For Originating Institutions
For CTS Accounts:
- Notarized CTS (2 copies)
- Promissory Note and Mortgage Agreement
- Deed of Sale
- SPA and Affidavit of Warranties
- Buyer’s consent for receivable assignment
- Letter of Guaranty (if mortgaged)
- Secretary’s Certificate
- Deed of Assignment of Receivables
For REM Accounts:
- Notarized Loan and Mortgage Agreement
- Promissory Note and Affidavit
- Letter of Guaranty
- Secretary’s Certificate
- Purchase of Loan Agreement
For Both CTS and REM:
- Acceptance Certificate (certified)
- Tax declaration, receipts, and TCT/CCT (original and certified)
- Affidavit or Deed of Undertaking (if applicable)
- Marriage contract, court judgment (if applicable)
- Panoramic and detailed housing photos
- Affidavit on Due Execution of Documents
Application Procedures
To apply, simply follow these steps:
Step 1: Document Submission
At the NHMFC BERDE Unit, submit digitized/scanned copies (PDF, 300 dpi, searchable) of:
- Letter of Intent
- Technical requirements
- Borrower and Legal documents
Step 2: Initial Evaluation and Appraisal
- NHMFC reviews and validates the documents.
- An inspection and due diligence of the housing project is conducted.
- If issues are found, the originator has 3 working days to resolve them.
- Make sure to pay the Preliminary appraisal fee amounting to ₱3,000/project.
Step 3: Final Evaluation and Disbursement
- Budget Utilization Request is processed.
- Disbursement Voucher prepared and signed.
- Portfolio Evaluation Report is prepared and approved according to the following criteria:
- Green Certification: The project must meet internationally recognized standards such as EDGE, LEED, or BERDE, ensuring the design is energy-efficient, water-efficient, and uses sustainable materials.
- Clean Title or First Lien: The properties must be secured by a clean title or first lien mortgage, verified through a Transfer Certificate of Title (TCT) or Condominium Certificate of Title (CCT).
- Qualified Borrowers: Borrowers must be financially capable of repaying the loan, supported by complete documentation.
- Loan Terms: The loan term must not exceed 30 years and must be backed by complete, signed agreements and documents.
- A Portfolio Evaluation Report (PER) is submitted to the Sustainability Committee for approval.
- After approval, a Notice of Approval (NOA) is sent to the originator.
- For this step, you will need to shell out a total of ₱3,000; ₱2,000/account for the processing fees and ₱1,000/account for the final appraisal
- Once the NOA is received, the originator must submit the following additional documents within 3 working days:
- Final Green Building Certification.
- Deed of Assignment or Purchase of Loan Agreement.
- Affidavit of Warranties and post-compliance documents, if applicable (e.g., Transfer Certificates of Title, Tax Receipts).
- Property Valuation: The Asset Valuation Division (AVD) or an authorized external appraiser will inspect the property to ensure it meets the required standards under the BALAI BERDE Program.
- If the appraisal is conducted by an external appraiser, NHMFC will accept the appraised value in the report.
- Project Evaluation and Selection: The project evaluation and selection process is overseen by:
- The Securitization Group: Handles operational processes.
- The Sustainability Committee: Provides oversight for the BALAI BERDE Program.
- The Executive Management: Approves policy changes and program enhancements.
- The Board of Directors: Approves purchases beyond the NHMFC President’s authority.
- Approval of Applications: The Sustainability Committee has the authority to approve applications within the prescribed thresholds. It also has the flexibility to approve deviations from the guidelines, provided the following requirements are met:
- Compliance with Title Requirements: All TCTs or CCTs are in order. Loan-to-Collateral Ratio: The Loan-to-Value Ratio must comply with program guidelines.
- Borrower’s Capacity to Pay: The borrower must demonstrate the ability to repay the loan.
- Final Green Building Certification: The project must meet green building standards.
Step 4: Disbursement
- Submit Official Receipt (OR), proving that you have paid the following fees:
- ₱6,000/account (if new) or
- ₱3,000/account (if existing originator/project)
- Sign the disbursement logbook.
Where to Get the Forms
To obtain the necessary forms for the application for the BALAI BERDE Program, please visit the National Home Mortgage Finance Corporation (NHMFC) official website (https://nhmfc.gov.ph/downloadable-forms/) or contact their customer service for assistance. The NHMFC’s official Facebook page also provides updates and information about the program. Ensure that you download and complete the latest versions of the required forms to facilitate a smooth application process.
Fees and Processing Timelines
The processing of applications under the BALAI BERDE Program follows a clear and efficient timeline. Once an originator submits the required documents in digital format (PDF, 300dpi), NHMFC conducts due diligence within 12 working days. If there are findings, these must be resolved within 3 working days, or the documents may be returned. After approval by the Sustainability Committee, the Notice of Approval is issued, and the original documents must be submitted within another 3 working days for the release of proceeds. The loan proceeds are released after the documents are validated and post-compliance conditions are met.
In terms of fees, an appraisal fee is charged if NHMFC conducts the property valuation itself, and this is either paid upfront or deducted from the loan proceeds. For accounts involving title conversion or annotation of mortgages, a hold-out rate is applied:
- 6% for loans up to ₱750,000
- 7.5% for loans over ₱750,000 to ₱2 million
- 10% for loans above ₱2 million
These deductions are held temporarily and released once the originator fulfills all necessary requirements.
Video: BALAI BERDE Features and How to Avail
The BALAI BERDE Program offers a practical and impactful way to invest in green housing projects while receiving financial assistance from a trusted GOCC like NHMFC. By supporting sustainable real estate, both developers and borrowers contribute to healthier, safer communities and a more resilient housing sector in the Philippines.
If you’re a housing loan originator or borrower looking to participate in the shift toward eco-friendly, disaster-resilient homes, the HLRPP-4 BERDE program provides the structure, support, and funding to make that happen. You may watch this video to learn more.
For more information, reach out to the NHMFC or visit their official website. You may also contact the BERDE Unit directly or set an appointment via the following channels:
- Email: marketing@nhmfc.gov.ph
- Landline: (02) 8892-5503
- Mobile: 0918-910-8263 / 0917-824-9374