The coronavirus pandemic shattered each and every field and all the countries of the globe are impacted. After the second wave of the pandemic, India is now in recovery mode and several businesses are getting back to normal. The economic situation in the country is recovering and the banks reduced the interest rates to the lowest during the crisis. The demand for the home loans has increased this year and a report said that the demand increased by 26 percent this year between January and June when compared to last year. A report said that India witnessed a 42 percent rise in the demand for the balance transfers (BT).
For Loan Against Property (LAP), the demand saw a rise by 20 percent during the above period as per the report from Magicbrick Home Loans Consumer Study 2021. The Reserve Bank of India (RBI) decided to keep the repo rate unchanged at 4 percent and the banks are asked to offer the home loans for less than 7 percent. With low-interest rates and stay secured, most of them are opting out to buy their own home. All the key markets of the country had no impact on coronavirus and the flats, villas are sold for huge prices. The stamp duty rates too are decreased which is attracting investments. Most of the consumers are opting out for tenures less than 15 years.
By Siva Kumar