The investment scheme is better than the bank savings account where the annual interest yield is minimal. The bond outshines other investment vehicles where discountinued contributions could mean not just loss of opportunity but the earlier investments as well.
All that is required is monthly savings as low as P5,000 to as high as P25,000 for three years. Placements earn interest of five percent per annum, way higher than banks’ current interest rates of around 1.75 percent.
Those who have completed three years of monthly payments and decided to use the funds as downpayment for their chosen ALI home, also get bonus credit equal to 10 percent of the principal amount of their subscription. This brings their total yield to 9.54 percent per year.
Ayala Land Homestarter Bond can be acquired through any of the Bank of the Philippine Islands (BPI) branches nationwide.
ALI senior vice president corporate sales and marketing services group Rex A. Mendoza said that unique bond was a result of their continuing studies to know more about the needs of their clients, existing and prospective.
Studies show that there are many Filipinos in the middle-income bracket who could afford to pay the monthly payment of home loans but have difficulty raising the required downpayments. The required downpayment ranges from five percent to 30 percent of the property value, depending on the terms offered.
"We are greatly encouraged by the ardent responses of those who have already heard of the bond. We are optimistic that as more Filipinos get to achieve their dream homes through the Homestarter Bond, we are also promoting the value of discipline and savings for family properties like home purchases," Mendoza said.
Bond holders may also purchase homes even midway through the three-year savings period.
"Three years hence, or even earlier, we look forward to serving the Filipinos who are enabled by this program to realize their aspirations for quality homes in environments that uplift their family, as well as individual lives," he added.
The initial projects of Community Innovations include the Verdana Homes in Bacoor, Cavite; The Columns in Ayala Avenue, and Legaspi Village; and Verdana Homes Mamplasan.
The property developments of Avida are in New Manila, Quezon City; San Lazaro, Manila; Sucat, Paranaque; Sta. Rosa, Laguna; Antipolo; and Batangas.