Home loans record quantum jump

The credit information bureau TransUnion Cibil, in a recent report, claimed that affordable home loans have seen a compounded annual growth of 23% in the recent past and an average loan size is Rs.4.1 lakh currently. Meanwhile, delinquency rate has stayed at around 1 percent and also pointed out that close to 3.5 million new low-cost housing loan accounts have been opened in the last five years, with 750,000 borrowers added in 2016 alone. Loans worth Rs.30,400 crore were sanctioned for affordable housing in 2016. It revealed that Maharashtra, Madhya Pradesh, Gujarat, Tamil Nadu, and Andhra Pradesh are the top five states with the highest number of loan accounts meant for affordable housing opened in the last five years and these states contribute 55-60% of the total accounts opened and hold roughly the same share in the total amount sanctioned. Maharashtra holds the top slot with the highest number of accounts opened at over 6,53,000, followed by Madhya Pradesh at 5,60,000, Gujarat 3,13,000, Tamil Nadu 2,65,000, and Andhra Pradesh at 2,28,000, it added.