Little over $2.3 million dollars’ worth of housing loans have been issued for 31 homes by both National Development Bank of Palau (NDBP) and Palau Housing Authority (PHA) reported Minister Baklai Temengil-Chilton, Chairman of the National Housing Commission(NHC), yesterday.

Not all of the 31 homes acquired through this loan program were newly constructed homes.  Six (6) were already existing homes that were purchased with proceeds from this loan and twenty-five (25) were constructed with loan funds.

There are $5 million worth of housing loans in the pipeline, already pre-approved, according to Minister Temengil-Chilton. These pre-approved loans are pending due to process obtaining clean title to land where these homes are to be built.  Minister Chilton expressed that this was a complicated, drawn out process and is one of the major obstacles faced by potential home owners.

Complication with getting clean title to properties delay the task of creating subdivisions using funds from this loan program.  “We are really trying to work with State governments and public lands authorities to create subdivisions,” added Minister Baklai Temengil-Chilton.  Some State governments and public land authorities have expressed interest in creating housing subdivisions in their States and have identified areas but title clearance is a challenge Minister Chilton believes require collaboration between States and NHC.

Individuals or clans with clean title to properties and wanting to create housing subdivisions are eligible for this low-cost loan, added Minister Chilton. This option is available through the National Development Bank.

Minister reiterated the targeted priorities of the $15 million housing loan program that include displaced persons seeking housing, first time homeowners, and persons whose homes are impacted by climate change. (L.N. Reklai)