BDO Multipurpose Loan allows Philippine property owners to unlock working capital without selling

Property owners in the Philippines can use existing real estate as collateral for the BDO Multipurpose Loan to fund business expansion, investment or working capital needs. The loan offers a Term Loan or Ready Check credit line, with borrowers retaining ownership of their property.

Property owners in the Philippines can tap the value of their real estate without selling it, using facilities such as the BDO Multipurpose Loan to raise working capital for business expansion, investment or other financial goals. The loan accepts house and lot, vacant lots, condominiums, townhouses and mixed-use properties as collateral, allowing owners to retain ownership while accessing funds.

Before applying, owners should define the specific purpose of the financing, such as opening a new store, acquiring another business, purchasing inventory, upgrading equipment or meeting working capital requirements. Borrowing against property works best when tied to a clear financial objective, and owners must assess whether repayments can be comfortably managed within their cash flow.

The BDO Multipurpose Loan offers two options: a Term Loan, under which funds are released in a lump sum or in tranches for construction, with equal monthly amortisation over up to 10 years; and a Ready Check credit line, which allows borrowers to draw funds as needed against an approved limit, with a one-year validity that may be renewed.

Qualification requirements include being at least 21 years old and not more than 70 at the end of the loan term, with a stable source of income. Business applicants must have minimum annual gross sales of P1 million, while employed individuals must have a minimum monthly gross income of P50,000. Businesses must also be located within a BDO serviceable area.

BDO also offers an Online Exclusive Option with lower interest rates and waived loan fees for businesses that apply online. The key is ensuring that the potential benefits justify the cost of borrowing and that cash flow can support repayments, turning property into a resource that supports business growth and long-term financial objectives.