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Navigating the affordable housing finance market

The demand for affordable housing finance is very high, but housing finance companies have not disbursed loans up to their potential, owing to a lack of awareness among customers about such firms

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Ravi Subramanian
Affordable housing is among the fastest-growing segments within consumer finance. While mortgage penetration in India is low at 11 per cent, it drops further to below 5 per cent in rural and semi-urban areas. This reflects a largely untapped affordable housing finance market worth close to Rs 30 trillion. What does it take to successfully navigate this landscape? 

For the consumer, the critical 3As are availability, affordability and awareness, both for the right property and the financier. For a financier to create an impact, the primary need is a focused approach with a deep understanding of customer patterns by state,
Disclaimer: These are personal views of the writer. They do not necessarily reflect the opinion of www.business-standard.com or the Business Standard newspaper

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First Published: Sep 25 2022 | 5:53 PM IST

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