The low, 6% interest in Pag-Ibig housing loan packages resulted in more Pag-ibig members and beneficiaries in Cebu and nearby provinces to build more housing units. The 6% interest rate was introduced in 2006 to make loans more affordable for families with low income. Loan packages up to Php 300,000 have a 6% interest rate, down from 9%; loan packages between Php 300,000 to Php 500,000 dropped from 10% to 7%. This results in a low monthly amortization that can get as affordable as Php 1,800 a month.
Since the drop, more low-income families (usually government employees that earn a monthly salary of Php 8,000 to Php 10,000) have benefited from the Pag-Ibig housing project. As of November 2007, the Cebu branch surpassed its target of 1,199 housing units. In Mandaue City, the housing loan program built 962 units for 971 families – 90% of their targeted 1,181 housing units.