SIX NEW ENTITIES GET NHB NOD TO BECOME HOUSING FINANCE FIRMS
The National Housing Bank (NHB) has granted permission to six new entities to become housing finance companies. These six companies are Supreme Housing Finance, Nivara Home Finance, Khush Housing Finance Private, Bajaj Housing Finance Capri, Global Housing Finance Pvt Ltd and Hinduja Housing Finance Ltd, NHB said in a release on Saturday.
“Thus, as on date, the total number of HFCs registered with NHB is 72. New HFCs aim to focus mainly on the affordable housing finance segment and are likely to cater the housing loan needs of the EWS/LIG segment, contributing to achieving the goal of housing for all by 2022,” it said.
Earlier this week, RBI allowed banks to give home loans up to 90 per cent of the value of the property that cost below Rs 30 lakh. Earlier, the facility was available only in cases where the cost was up to Rs20 lakh. This will benefit those who plan to purchase properties in the range of Rs20-30 lakh. Following RBI's notification, NHB too lowered loan-to-value ratio for affordable housing loans to 90 per cent.
No housing finance company should grant housing loans to individuals up to Rs30 lakh with LTV ratio exceeding 90 per cent, NHB said. For loans above Rs30 lakh and up to Rs75 lakh, LTV ratio cannot exceed 80 per cent, it said.
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