HDFC Bank: Sees 15 to 30% Higher Housing loan Offtake 2013-14...!


After the Union Budget 2013-14 announced additional sops for first time housing loan borrowers, India''s leading lender HDFC Bank has been seeing many enquiries about the product in Karnataka.

“Housing loan enquiries have gone up after the Union Budget announcements. The conversions typically take 30 to 45 days from enquiry,” said Mr. Dhiraj Relli, Senior Executive Vice president branch banking head – South, HDFC Bank.

He expects, for the first time, housing loan borrowers may help increase loan offtake by 15 to 30 % in the next financial year - 2013-14. Though the ticket size may not be high as house prices in the state and in Bangalore are lower than in Mumbai or / Delhi.

The Finance Minister Mr. P. Chidambaram has allowed an additional Rs. 1 lakh tax benefit for first time housing loan seekers borrowing up to Rs. 25 lakh in financial year 2013 -14. This is over and above the Rs. 1.50 lakh tax benefit for interest repayment housing loan borrowers get.

The HDFC bank offered loan against property scheme has seen a higher demand in the past year with 20 % growth on a year-on-year basis.

HDFC Bank have 70 branches in metropolitan cities, 29 in urban areas, 40 in semi-urban and 11 in rural areas. The bank opened its 150th branch in Karnataka’s Dakshina Kannada district’s town of Sullia recently.

Mr. Dhiraj Relli  said, “In the next financial year - 2013-14, the bank would like to increase the number of branches to 200 in the state, with at least 20 more branches for rural and semi-urban areas.” 
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