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Thursday, October 13, 2011

Competition to heat up in Housing finance market?


Dear All,

Nice report on NBFC's- Housing finance companies led by HDFC may see some pressure on NIM's as ICICI Bank increases aggression and RBI hints and removal of prepayment charges. Please note that new housing loans are currently being offered at 10.5-11% while existing home loan customers are paying around 12.5%. Removal of prepayment charges will encourage existing home loan customers to shift between housing finance companies. 

 
Our View: Stay away from housing finance companies till clarity emerges.
  
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Thanks & Regards 
Rohit Saxena
Phone No: 09899365905
Mail Id: simmi9sep@gmail.com

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