Recently, BNP Paribas conducted a survey of the home loan Market in India.
The conclusions were as follows:
- Interest Rate Range: 9.95% to 13.75%
- Rates offered by banks: 9.95% to 11.75%
- Rates offered by NBFC (Non banking finance companies):10.75% to 13.75%
- Strongest Brand/Trust value: HDFC, SBI and LIC housing finance
- Most preferred among banks: ICICI, Axis, SBI.
- Most preferred among others: HDFC,LIC.
- Best due diligence: HDFC
- Best in efficiency : HDFC (Less than 6 days to process)
- Rate difference between finance firms and banks:20 basis points.
- Who gives max commission to agents: MNC banks (1%) followed by NBFC’s and Banks.
- Who sells the max home loans: Agents account for 50% of loans being sold. Direct sales and cross selling teams sell the rest.