Rollout of the Pambansang Pabahay para sa Pilipino (4PH) program in Malabon City. (Photo by Janna Pineda/PIA-NCR)
QUEZON CITY, (PIA) – The Department of Human Settlements and Urban Development (DHSUD) and the National Economic and Development Authority (NEDA) signed Joint Memorandum Circular (JMC) No. 2023-003, adjusting the price ceiling for socialized subdivision and condominium projects to improve equitable access to affordable and decent housing.
“The existing price ceiling for socialized housing no longer responds adequately to prevailing market conditions, including rising development and construction costs, thereby discouraging the private sector from building affordable houses for low-income and underprivileged families,” the JMC read.
Under the said JMC, the DHSUD and NEDA presented two-tiered price ceiling adjustments to Resolution Nos. 1 and 2 released by the Housing and Urban Development Coordinating Council (HUDCC) in 2018.
The new price ceiling for socialized subdivision projects is now set at P850,000 with a minimum floor area of 28 square meters alongside a loft of not less than 50% of the base structure or 32 square meters.
Meanwhile, the adjusted price ceiling for socialized condominium projects based on the minimum floor area requirement are as follows:
- 4 floors (22 square meters): P933,320
(25 square meters): P1,060,591
( 27 square meters): P1,145,438
- 5 to 9 floors (22 square meters): P1,000,000
(25 square meters): P1,136,364
(27 square meters): 1,227,273
- 10 floors and above (22 square meters): P1,320,000
(25 square meters): P1,500,000
(27 square meters): P1,620,000
On the other hand, the maximum ceiling price for the land and land development costs should not exceed the amount of P1,800,000.
Through the issuance of the JMC, the DHSUD and NEDA also hopes to strengthen the partnership between the national government and private sector in terms of achieving housing security for Filipinos.
This, as the adjusted price ceiling for socialized housing projects could pave the way for economic activities benefitting the sector as well as other 80 aligned industries.
In addition, the JMC targets to prompt investment agreements that could further aid in the continuous implementation of the "Pambansang Pabahay para sa Pilipino (4PH)" flagship housing program of the national government.
“To address the housing needs of approximately 6.5 million Filipino households, a two-pronged approach is necessary, which involves encouraging private sector participation in constructing socialized housing units,” the JMC added.
Pursuant to Republic Act No. 11201, the DHSUD and NEDA have the authority to determine the needed adjustments to the price ceiling for socialized housing based on the prevailing economic conditions at any time, but not more than once every two (2) years. (DHSUD/PIA-NCR)
