Home loan borrowers
The RBI has suggested that banks must effect any change in floating rate loans only at the agreed-upon reset date. This is aimed at ushering in transparent and appropriate pricing of credit, according to an RBI working group. This is good news for existing home loan borrowers. What this means is that any change in [...] Continue Reading »
The rate of interest may not have fallen significantly this year, but due to the difference in new and old home loan interest, the borrowers are shifting their loan from existing lenders to cheap lenders. The State Bank of India (SBI) is offering Rs 30 lakh home loan for the new borrowers at the most [...] Continue Reading »
Various leading banks have now made it possible for the home buyers to pay back their loan at leisure. Banks have adopted this policy in order to improve their retail credit group. The first ever bank with the longest year of repayment in the India’s banking history is the State Bank of India (SBI) with [...] Continue Reading »
The Finance Minister has urged the chiefs of government-owned banks to put pressure on real estate developers to lower property prices. This has been done in order to get the economy moving, which has been hit by a slowdown. In a meeting with bank chiefs, Finance Minister, P Chidambaram, asked the bankers to influence builders [...] Continue Reading »
Home loan borrowers may get access to an alternate window rather than to wait for the Reserve Bank of India to ease interest rates as government is planning to furnish cheap housing credit opportunities. Indian Bankers Association (IBA) has been asked by the government to look into ways to provide affordable credit to home loan [...] Continue Reading »
Housing Development Finance Corporation (HDFC) has sought to revive the market for fixed rate home loans. HDFC has decided to launch a new product where interest rates are fixed for 10 years. Under the new scheme, rates would be 125 basis points lower than HDFC’s existing fixed rate loans. The new scheme is called “Trufixed [...] Continue Reading »
Statistics show that Public sector banks are facing the problem of high delinquencies in the home loan segment up to Rs 5 lakh. High interest rates and sticky inflation have hampered the ability of small borrowers to service home loans. Home loans in two slabs — up to Rs 2 lakh and Rs 2-5 lakh [...] Continue Reading »
The government is to provide interest subsidy of up to Rs 14,912 this fiscal for housing loan not exceeding Rs 15 lakh, which came as a relief to small home loan borrowers. The Cabinet decided to extend by one year the interest subvention scheme of one per cent on housing loans up to Rs 15 [...] Continue Reading »
After the budget announcement, both the builders and the buyers are worried about the future of the real estate sector. There is no hope generated for the demand supply chain in the realty market. State bank of India is planning to offer lower rate of interest for the existing home loan borrowers. This might improve [...] Continue Reading »
The home loan borrowers can now cheer as the National Housing Bank (NHB) has banned levy of pre-payment taxes. The house owners can now avail loans from more than 54 various Housing Finance Companies (HFC). The NHB has passed on a mandatory rule to all the HFC to receive a stable interest payment from all [...] Continue Reading »
