The Department of Human Settlements and Urban Development (DHSUD) has undergone a rapid and reform-driven evolution in the two months since Secretary Jose Ramon Aliling took the helm, introducing bold new directions to the government’s flagship housing program and clearing long-standing regulatory bottlenecks.

Appointed by President Ferdinand Marcos Jr. in late May, Aliling replaced Jose Acuzar amid concerns over underdelivery in the administration’s Pambansang Pabahay para sa Pilipino (4PH) program. Since then, DHSUD has shifted its focus from volume-based targets to pro-poor, inclusive, and diversified shelter options, marking a significant pivot in national housing strategy.

“We are no longer building just for the numbers. We are building for dignity, inclusion, and long-term sustainability,” Aliling said during his turnover ceremony.

New vision, broader options

Under Aliling’s leadership, the 4PH program has expanded beyond vertical condominiums to now include horizontal housing subdivisions, affordable rental models, and community-driven incremental housing — a move welcomed by both developers and civil society stakeholders.

More than 60,000 housing units have already been pledged by private developers under the reformed 4PH.

Aliling’s team is also drafting new Implementing Rules and Regulations (IRR) to institutionalize these options and provide a more transparent framework for hybrid financing, tenure security, and livability standards.

In June, Aliling launched DHSUD Circular 2025-008 to fast-track consumer complaints and enforce compliance among real estate developers, signaling a renewed emphasis on consumer protection.

Aliling has also begun the process of clearing regulatory backlogs across DHSUD’s regional offices, addressing longstanding concerns from developers and homeowners alike.

The department is working toward establishing one-stop shops in local government units and rolling out full digitalization by 2028, in line with Aliling’s eight-point housing agenda.

“DHSUD must serve with urgency, honesty, and humanity. Our digital transformation is not just about technology — it’s about restoring trust,” the Secretary said at a forum in early June.

Aliling has recalibrated the 4PH program to prioritize informal settlers, minimum-wage earners, and homeless families.

The department is exploring rental subsidy schemes, in partnership with state universities and LGUs, as well as incremental housing that empowers urban poor communities to plan and build at their own pace.

In separate dialogues with NGOs and people’s organizations, Aliling affirmed DHSUD’s openness to participatory housing models and co-managed housing sites — a stark contrast to the top-down approach of previous years.

A civil engineer by training, Aliling served previously as Undersecretary for Special Concerns and was instrumental in launching the original 4PH blueprint. His return to government, after a stint in the private sector, has been marked by what stakeholders describe as “technocratic empathy” — blending reformist zeal with deep field experience.

“This isn’t just about units delivered. It’s about communities built,” he told the Commission on Appointments during his confirmation.

Recalibrated options

Filipino homebuyers are no longer boxed into high-rise condo units under the Expanded Pambansang Pabahay para sa Pilipino (4PH) program, as the DHSUD rolls out a broader mix of housing options tailored to the needs of working families and the country’s most vulnerable.

Aliling announced that the department, following President Ferdinand Marcos Jr.’s directive, has revamped the 4PH into a more inclusive, simplified, and sustainable program that addresses longstanding issues in affordability, accessibility, and choice.

Previously, 4PH primarily focused on vertical developments, which struggled to gain traction among beneficiaries due to high construction and living costs. Recognizing this, DHSUD has since expanded the program to include horizontal socialized housing or subdivision-type projects, rental housing, community mortgage schemes, and incremental housing options.

“With these, we now have more options to offer to our beneficiaries depending on the need and their capacity. Instead of the previous limited choices that render home buyers as a captive market, we have transformed Expanded 4PH into a beneficiary-focused program,” Aliling said.

“This is in compliance with President Marcos Jr.’s instruction to widen our range of beneficiaries — from the working class down to the most vulnerable sector of our society.”

The shift immediately attracted the support of major private developers. At least 42 firms have committed to building more than 250,000 units within the next three years. The country’s largest real estate organizations — CREBA, NREA, OSHDP, and SHDA — also submitted a joint letter of support on 7 July 2025, pledging full cooperation in addressing the country’s massive housing backlog.

“In manifestation of our shared optimism towards your administration and the potential of a recalibrated 4PH... these commitments total 251,846 units,” the group stated, adding their confidence in Aliling’s leadership and the department’s direction.

Under the recalibrated 4PH, the DHSUD tapped its key shelter agencies for specialized roles: the Social Housing Finance Corp. (SHFC) to revamp the community mortgage program with provisions for incremental housing; the National Housing Authority (NHA) to focus on rental housing; Pag-IBIG Fund to offer exclusive low-interest financing for socialized housing; and the National Home Mortgage Finance Corporation (NHMFC) to develop the secondary housing market.

Alongside the expanded housing formats, DHSUD is working to eliminate bureaucratic delays. It is streamlining its procedures with Technical Working Groups composed of private sector representatives, pushing for full digitalization, establishing one-stop housing centers, and resolving backlogs. Secretary Aliling also reaffirmed his department’s zero-tolerance policy for corruption.

“The directive of President Marcos Jr. is clear — to accelerate government services and ensure that the Expanded 4PH reaches hardworking individuals and those who have the least in life, so they too can have a home to call their own. That is the direction of DHSUD: to further expand our housing program,” Aliling added.