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Rs 2 lakh cr retail home loans approved in FY22: HDFC

Rs 2 lakh cr retail home loans approved in FY22: HDFC

The company said that this is the highest ever in a financial year. 

HDFC said demand for loans came from across the country HDFC said demand for loans came from across the country

Housing finance company HDFC Limited approved retail home loans of over Rs 2 lakh crore during April 1, 2021 to March 21, 2022 period. The company said that this is the highest ever in a financial year. 

Demand for loans have come from across the country, HDFC mentioned in a statement. HDFC Managing Director Renu Sud Karnad said that this has been the best time for the housing sector in four and a half decades due to “lower interest rates, stable property prices, government’s thrust on affordable housing, improved affordability, favorable demographics, increasing urbanisation and rising aspirations”.

She added that the CLSS schemes under PMAY have helped to improve housing for all. “The residential real estate segment will continue to see strong traction going forward as the demand for housing is not just pent up demand but it is a structural one,” said Karnad. 

Karnad added, “In the past one year we have seen a strong pipeline of new launches surpassing pre-pandemic levels. The demand for housing continues to be from first-time homeowners as well as those moving up the property ladder – generally into larger homes. We are seeing healthy demand across metros and non-metros and demand is prevalent in affordable as well as high-end markets. The sweet spot for housing is still in the price range of Rs 50 lakh to Rs 1 crore.”

The company added that affordable housing will be the driving force for the real estate sector in the country. The demand for affordable housing is extremely deep and resilient, it added. Increasing sales momentum and new project launches indicates a healthy growth for the housing sector. 

HDFC added that its thrust on digital initiatives and inherent demand helped to get back to normalcy faster than expected. This contributed to the achievement of the Rs 2 lakh crore milestone, it added.

The company focussed on the online digital platform for loans and retail deposits and launched virtual offices for customer services. It added that 89 per cent of the retail loans were sourced up from less than 20 per cent from before the COVID-19 pandemic. 

Also read: HDFC Bank to declare Q4FY22 results on April 16