The State Bank of India (SBI) and Indian real estate sector body, CREDAI, have signed a three-year agreement to provide loans at discounted rates to builders and home buyers for affordable housing projects. According to the MoU, both SBI and CREDAI will focus on affordable housing and sustainable housing projects.
SBI ‘s managing director (National Banking Group) Rajnish Kumar said, “SBI will provide 10 basis points concession to homebuyers and 10-35 basis points to CREDAI’s developer members.” Kumar stated that SBI has a 25% market share in the home loans segment.
SBI has also launched a custom scheme for affordable housing called ‘Hamara Ghar,’ which will make it easier for homebuyers to avail home loans for these projects. SBI will provide a concession in interest rates to builders for the construction of green projects and also waive the processing fees for home loans under SBI Green Home Loans.
Earlier in April, CREDAI had announced that its members would launch 373 affordable housing projects comprising 2.33 lakh units at an investment of over Rs 70,000 crore.
CREDAI president Jaxay Shah said, “The rebate on construction finance by SBI will be instrumental in facilitating a more affordable ecosystem, which will lower construction costs and enable developers to pass on the benefits to the consumers.”
Looking for a home in India? RoofandFloor now has irresistible listings from the city. Find your dream property here.