Will it, won’t it, will it...

The Sunday Indian - India's Greatest News weekly

Rise? The question is directly related to interest rates on home loans. But the prognosis is pretty elementary, for all the Watsons worried down to the Baskervilles. Rising interest rates and increasing EMIs, which have till date been the harbinger of worries for millions, may find some temporary respite as banks have brought down their floating home rates as a part of monsoon bonanza. Banks, which were till date very retrogressive by keeping their home loan interest rates high, have started being aggressive for a change; marketing loan products by offering lower interest rates, obviously aimed at roping in more customers. While HDFC Bank jump-started the domino falling process, ICICI Bank – currently the nation’s largest home loan provider – too, has reduced floating interest rates on loans up to 50 basis points (loans below Rs.2 million reduced by 25 basis points) for all the new customers.

For that matter, though a 25-basispoint reduction in the lending rate on a Rs.1 million loan would bring down the EMI by just around a meager Rs.160, it is argued that even the information that interest rates have been lowered – by whatever amount – has a huge positive effect on prospective home buyers ‘intent’ to purchase, especially during the upcoming lean monsoon season. Vijay Goel (Integrated Operation Cell, ICICI Bank), while talking to 4Ps B&M, agrees, “The credit growth has been quiet slow and this monsoon promotional offer will certainly help us attract more customers.” So is it a good time to buy a house? If that’s a question to us Mr. Watson, you’re perhaps already late... Go for it!

Edit Bureau: Gyanendra

For Complete IIPM Article, Click on IIPM Article

Source : IIPM Editorial, 2008

An IIPM and Professor Arindam Chaudhuri (Renowned Management Guru and Economist) Initiative

For More IIPM Info, Visit Below....

Why Study Abroad When IIPM Gives You 3 global Advantages!
IIPM, ADMISSIONS FOR NEW DELHI & GURGAON BRANCHES
IIPM, GURGAON
ARINDAM CHAUDHURI’S 4 REASONS WHY YOU SHOULD CHOOSE IIPM...
IIPM Economy Review

Rashmi Bansal Publisher of JAMMAG magazine caught red-handed, for details click on the following links.

• Hindustan Times Article - Publisher goes underground
• Rashmi Bansal (Editor of JAMMAG)
• Rashmi Bansal (Publisher of JAMMAG)