Pagunsan, who found himself in the center of controversy after he announced that he wanted out of the national team early in the week, pounced on Saragozas disastrous stints on Nos. 13 and 14 where the latter dropped five shots he never recovered, paving the way for the runaway win by the most fancied player in the fold.
The 26-year-old Pagunsan overcame an overnight one-stroke deficit with a 34 at the front, reeled back again when Saragoza birdied No. 12 but wrested the lead for good when his rival overshot the par-4 13th and three-putted for double-bogey.
Not even a double-bogey on the par-5 15th could shake Pagunsans confidence as Saragoza succumbed to pressure and fared even worse with a triple-bogey 8, enabling the former to coast to the victory he capped with a birdie on No. 16 for a 34-37 card and a 280, eight-under par.
Saragoza limped with a 40 and a 75 but still took runner-up honors at 283 as the rest of the pack failed to cash in on their mishaps in the closing holes with teener Tonton Asistio snatching third place with an even 288 after a 76.
"Ginawa ko lang ang lahat ng dapat kong gawin para manalo. Siempre taga-dito kami kaya dapat masigurado ang panalo ng Canlubang," said Pagunsan, who banged in birdies from as far as 20 feet in the early going to stay in contention and win his second DHL Open crown.
He, however, refused to comment further on his earlier announcement to turn pro ahead of the SEA Games, saying: "Hindi ko pa talaga alam, kaya no comment muna ako dyan."
Korean bet Choi Ming Gyu matched par 72 and grabbed solo fourth at 289 while Joel Opaco rallied with one of the days two best scores of 69 to finish fifth in the event sponsored by DHL World Express and WWWExpress.
Reigning RP Ladies Open champion Jayvie Agojo scored an expected romp in the ladies side, winning by a whopping seven-stroke margin over former RP Ladies winner Carmelette Villaroman despite a closing 76 and a 54-hole total of 228.