New Delhi: Indiabulls Housing Finance (IBHFL) today reduced its home loan rates by 45 basis points, bringing it down to lowest in six years.
As per the revised rates, applicable from today, the interest rate on loans up to Rs 75 lakh is 8.7 per cent.
For loans between Rs 75 lakh and Rs 3 crore, the rate of interest is 8.75 per cent, the company said in a filing.
For those between Rs 3 crore and 5 crore, the company said the applicable rate is 8.85 per cent.
In all cases, a woman applicant will be charged 0.05 per cent less interest rate.
"IBHFL's diversified funding mix and ALM-matched nature of our liabilities has enabled the company to reduce home loan rates by 45 bps. Home loan rates are now at their lowest in six years," said Gagan Banga, company's Vice-Chairman and MD.
He further said that the cut in rates, the recently announced enhancement in Prime Minister's Awas Yojana subsidies, and tax deductions against home loan repayments, "make the EMI cheque smaller than the rent cheque for buyers of affordable houses for the first time in more than a decade".
At the end of September 2016, IBHFL had a balance sheet size of Rs 91,326 crore.
Housing, auto and corporate loans are all set to become cheaper with several PSU and private banks steeply reducing benchmark lending rate by up to 1.48 per cent after spurt in deposits following demonetisation.
On January 1, India's largest bank SBI had reduced the lending rate by a good 0.9 per cent after Prime Minister Narendra Modi in his new year eve address urged the banks to focus on the needs of poor and lower middle class and middle class.