Housing Finance Companies Research Articles

Attitude of Loan Officers in Affordable Housing Finance Companies towards Low-Income Customers in Central India

Attitude of Loan Officers in Affordable Housing Finance Companies towards Low-Income Customers in Central India

A Comparative Study of Growth and Performance of Housing Finance Companies and Scheduled Commercial Banks on Housing Finance in India

A Comparative Study of Growth and Performance of Housing Finance Companies and Scheduled Commercial Banks on Housing Finance in India

COMPARATIVE ANALYSIS OF SELECTED INDIAN HOUSING FINANCE COMPANIES BASED ON CAMEL APPROACH

Good Corporate Governance is important for sound management of any organization. Non-Banking Financial Institutions like Housing Finance Companies are no exception and there has been ever-increasing demand for transparency. HFCs are facing more number of challenges in comparison with commercial banks and concentrate more on efficiency in order to survive, so there is much importance of sound management. The main aim of this research paper is to analyze the financial performance of the listed Five Housing Finance Companies (HFCs) in India, namely Can Fin Homes, DEWAN Housing finance, PNB Housing finance, LIC Housing, HDFC, by using the CAMEL model (Capital Adequacy, Asset Quality, Management Efficiency, Earning Capability and Liquidity). On the basis of corporate governance practices and disclosures in the annual report for the year 2007-2008 to 2016-2017. For this purpose, corporate governance score (CG score) is calculated for each HFCs across the different parameters as per the Companies Act. These components are used to reflect financial performance, operating soundness and regulatory compliance of financial institutions.

A study of customers’ perception and satisfaction towards housing loans of lic housing finance ltd. and sbi bank in Haldwani region

India has witnessed sea change in the Housing Finance Industry since the last decade. Housing is important not only for human settlement but also as a foundation for the development of human race. Particularly after the norms being relaxed by the Reserve Bank of India (RBI), individual housing loans disbursement by the Banks, are expected to soar high in coming years, giving a boost to this sector. These loan providers, having their own niches, are providing attractive loan schemes and services. However, certain problems are also witnessed by customers like visiting the Housing Finance Companies (HFCs) every month for EMI payment, delays in repayment due to non-reaching of timely PDCs to the HFCs, leading to customer dissatisfaction. Therefore, an assessment of customers’ satisfaction of these two housing finance providers, will clearly reflect the expectations of customers from the loan providers. After collecting the data and doing the analysis, it was concluded that both LICHFL and SBI have varied clientele and people preferred both the institutions but LICHFL was slightly more preferred than SBI Bank for home loans.

A Study On Profitability Indicators Of Housing Finance Companies In India

A Study On Profitability Indicators Of Housing Finance Companies In India

Impact of Regulation on Collateralization Policies of Banks - Evidence from India

Housing satisfies investment and consumption needs for households - about 11% of Indian households purchase homes through home mortgages loan from Banks and Housing Finance Companies (HFCs). Lending norms by banks and HFCs for housing mortgage loans are largely determined by two factors: Loan-to-value ratio (LTV) and Interest-to-Income (Debt-to-income, or DTI) ratio. From a macro-economic perspective regulations set by the Central Bank, the money supply available in the market and the competitiveness of home loan sector influence the collateralization policies of Banks and HFCs.Using data for one of the largest mortgage providers in India for multiple cities, patterns in LTV and Interest-to-Income ratio are identified over a time period of ten years from 1995 to 2005. Banks have opposing interests in settling LTV and DTI targets, where they balance the competitiveness of expansionary LTV vis-a-vis the risk of overvaluation of collateral. The study expects to analyse whether collateralization requirements of banks and HFC’s change with reference to property prices, and if so, to quantify the direction and magnitude of such change.

Inefficiency of Indian Real Estate indicators: A Need for Regulatory Agency & Index based on market deal

The real estate sector is a major employment driver in India and it contributes a significant level to the GDP. Besides, it is the main source of wealth for all section of the people. There is no transparency and efficiency in the pricing of real estate transaction in-spite-of some indices representing the price movement of the real estate sector. This is because the price is based only on the primary market transaction. It‟s completely excluding the secondary market transaction of the sector. This paper attempts to address this issue by proposing an online exchange for real estate transaction, for bringing in more liquidity and transparencyto the sector, along with an index, based on the price traded in that exchange. These will a high relative measure to indicate and represent the price moment of the sector. This kind of regular monitoring of the real estate prices may be fruitful input for the different stake holders like buyers, seller, mediators, developers, investors, banks, housing finance companies, FIIs, private equities, analysts and others in their decision-making process.

The Robustness of Residex as a House Price Index

The Robustness of Residex as a House Price Index

International Real Estate Review

Housing mortgage finance in India is constrained by the maximum loan-to-cost ratio and installment income ratio conditions imposed by housing finance companies. The typical reason for this behaviour is that the market for the sharing of risk in mortgage lending is not yet fully developed. Mortgage insurance plays an important role in developing this market. The objective of this paper is to present a case for mortgage insurance market in India. This paper develops a mortgage premium structure framework in which mortgage insurers charge an insurance premium that equates losses to revenue. This paper also models mortgage termination due to prepayment and defaults. We contend that the termination of mortgage in housing is not as 'ruthless' as OPM theory would suggest, primarily because households are not financiers in the 'stricter sense' We have used the Cox proportional hazard model to analyze prepayment and default of mortgage behaviour in India. The results indicate that financial concerns (like the option price, loan to value ratio, and monthly principal and interest to income ratio) are important determinants besides household characteristics. The cumulative prepayment or default probabilities from these models are used in the estimation of the insurance premium structure.