Take the pledge to vote

For a better tommorow#AajSawaroApnaKal
  • I agree to receive emails from News18

  • I promise to vote in this year's elections no matter what the odds are.
  • Please check above checkbox.

    SUBMIT

Thank you for
taking the pledge

Vote responsibly as each vote counts
and makes a diffrence

Disclaimer:

Issued in public interest by HDFC Life. HDFC Life Insurance Company Limited (Formerly HDFC Standard Life Insurance Company Limited) (“HDFC Life”). CIN: L65110MH2000PLC128245, IRDAI Reg. No. 101 . The name/letters "HDFC" in the name/logo of the company belongs to Housing Development Finance Corporation Limited ("HDFC Limited") and is used by HDFC Life under an agreement entered into with HDFC Limited. ARN EU/04/19/13618
LIVE TV DownloadNews18 App
»
1-min read

Lower Interest Rates on Home Loans to Boost Demand: Experts

"Good news has started coming for housing and construction sector. Interest rates cut by all the banks will lead to demand being raised substantially," DLF CEO Rajeev Talwar told PTI commenting on the lowing of interest rates.

Press Trust Of India

Updated:January 3, 2017, 9:45 AM IST
facebookTwitterskypewhatsapp
Lower Interest Rates on Home Loans to Boost Demand: Experts
Representative image
Loading...

New Delhi: Housing demand will get a big boost with interest rates on home loans becoming cheaper following steep cut in lending rates by major banks, including SBI, according to real estate developers and consultants.

Banks are cutting lending rates after spurt in deposits following demonetisation of old high denomination currency notes of Rs 500/1,000.

Housing sales have been sluggish since last few years due to low demand.

"Good news has started coming for housing and construction sector. Interest rates cut by all the banks will lead to demand being raised substantially," DLF CEO Rajeev Talwar told PTI commenting on the lowing of interest rates.

"If project finance is also extended by the banking sector and moratorium on repayment of principal is also allowed, then there will be a huge jump in the number of projects being completed and new supply coming into the market.

"This would ensure that housing prices, which has already fallen by 25-30 per cent in last 3 years, will continue to remain at the lower levels," he added.

Property consultant JLL India Chairman and Country Head Anuj Puri said: "Banks have brought down the interest rate significantly. That will definitely help in improving the sentiments as well as purchasing power in the hands of home buyers. Initiative like this will help in improving the demand in residential segment across various cities".

Commenting on the lowering of interest rates on home loans, Sobha Ltd VC & MD JC Sharma said: "The steep cuts announced in the home loans, up to 90 basis points, will be a shot in the arm of the home buyers as their borrowing costs will come down significantly and their affordability factor improves simultaneously. It is expected that demand for homes will get significant boost with this welcome step".

Online realty brokerage firm PropTiger Chief Business Officer Ankur Dhawan said: "It is one of the best gift industry could have got in the new year. This is one of the largest cut in interest rates we have seen in the recent past and will improve eligibility of home buyers significantly."

Besides SBI, other lenders like ICICI Bank, Kotak Mahindra Bank, Dena Bank, Bandhan Bank, Andhra Bank and Oriental Bank of Commerce have slashed MCLR. Yesterday, PNB and Union Bank of India had also reduced the lending rate.

Get the best of News18 delivered to your inbox - subscribe to News18 Daybreak. Follow News18.com on Twitter, Instagram, Facebook, TikTok and on YouTube, and stay in the know with what's happening in the world around you – in real time.

Subscribe to Moneycontrol Pro and gain access to curated markets data, trading recommendations, equity analysis, investment ideas, insights from market gurus and much more. Get Moneycontrol PRO for 1 year at price of 3 months. Use code FREEDOM.

| Edited by: Nakshab Khan
Read full article
Loading...
Next Story
Next Story

Also Watch

facebookTwitterskypewhatsapp
Most Active
Company Price Change %Gain
Indiabulls Hsg 550.75 -0.11
HDFC 2,100.00 -0.84
Reliance 1,278.00 -0.80
Yes Bank 79.45 3.79
HDFC Bank 2,227.70 -0.08
Company Price Change %Gain
SBI 290.95 0.38
Indiabulls Hsg 551.10 -0.04
Yes Bank 79.45 3.79
Maruti Suzuki 5,975.15 2.74
SpiceJet 143.50 3.02
Top Gainers
Company Price Change %Gain
UPL 549.05 4.14
Yes Bank 79.45 3.79
Power Grid Corp 211.15 2.92
Maruti Suzuki 5,975.05 2.73
IndusInd Bank 1,439.10 2.73
Company Price Change %Gain
Yes Bank 79.45 3.79
Power Grid Corp 211.25 2.85
Maruti Suzuki 5,975.15 2.74
IndusInd Bank 1,438.25 2.70
Axis Bank 675.55 1.86
Top Losers
Company Price Change %Gain
TCS 2,165.10 -1.78
Vedanta 144.40 -1.47
HCL Tech 1,062.75 -1.25
BPCL 351.20 -0.92
HDFC 2,100.00 -0.84
Company Price Change %Gain
TCS 2,163.50 -1.87
Vedanta 144.30 -1.54
HCL Tech 1,061.65 -1.37
HDFC 2,098.75 -0.91
Reliance 1,277.40 -0.85

Live TV

Loading...
Countdown To Elections Results
To Assembly Elections 2018 Results