The Live Nagpur
  • Nagpur City
  • Nagpur Education
  • Nagpur Sports
  • Business
  • Featured
  • Crime
  • Entertainment & Lifestyle
  • Health & Wellness
  • Nation
  • Politics
  • Trending
  • Vidarbha
  • Obituary

The Live Nagpur

  • Home
  • City
  • Politics
  • Business
  • Education
  • Entertainment
  • Sports
  • Health
  • Crime
  • Forest
  • Featured
  • Vidarbha
Business

Realty Experts: Strict rules of PSBs, buyers facing problems to purchase their dream homes

by TLN Team June 15, 2020June 15, 2020
written by TLN Team June 15, 2020June 15, 2020
Realty Experts: Strict rules of PSBs, buyers facing problems to purchase their dream homes

Realty experts have opined that since the government is not giving loans to the people belonging to economically-weaker sections (EWS) of the society and those from a low-income group (LIG), without proof of IT returns and salary slip the Prime Ministers Awas Yojana (PMAY) has turned into a complete failure.
The information about the rate of interest offered by public and private sector banks that has come to the fore stated that due to strict rules of PSBs, near about 80 percent home buyers do not come forward for purchasing their dream homes.

As a result, builders and developers engaged in the sale of affordable houses are facing many challenges.
The EWS and LIG buyers have their annual income below 6 lakh per annum and they mostly come from unorganised sector. These people cannot furnish the salary slip from their employers. As a result, a large chunk of buyers is denied home loans. On the other hand, as the rate of interest offered by private banks is more, these people hesitate to borrow home credit from private banks as the amount of EMI works out to be much larger than their capacity to pay.
The buyers who can produce salary slip and I-T returns get loans from the banks at the rate of 7.5 percent. As against this, non- banking financial institutions give loans to the needy without proof of salary slip or I-T returns, though at a higher rate of 12 to 15 percent.


The moot question, however, is, if the borrower is willing to mortgage his or her home for getting home credit, where is the need to furnish salary slip or I-T returns?
If anybody takes a home loan from a financial agency up to 10 lakh for a period of twenty years, at the rate of 12 percent rate of interest, the said non-banking financial agency, as against 7.5 percent rate of interest charged by PSBs, get one lakh extra in a period of ten years.


Sources said if PSBs relax their conditions and offer loans to the needy just on the mortgage of their homes, the buyers would be able to save around 20 lakh in twenty years in addition to the extra benefit derived by them in the form of interest subsidy on loans up to 2.67 lakh.
Meanwhile, secretary of Credai Nagpur Metro Gaurav Agarwal said home buyers have to pay extra money to private banks and financial agencies as compared to PSB.
If PSBs give loans at the rate of 7.5 percent on the mortgage of homes, the buyers, as well as PMAY, would be the gainers. This will also increase financial transactions of banks and demand for houses would also increase. Thus giving a much-needed boost to the construction sector, Gaurav Agarwal added.

0 comment
FacebookTwitterLinkedin
TLN Team

previous post
COVID-19: Nine new patients test positive in Nagpur, tally reaches 1014
next post
Mumbai locals to resume services from today for 1.5 lakh essential workers

You may also like

VIA, VPIA &; NIPM organize a session on...

June 4, 2023

MOIL registers record May production registers growth of 43% yoy

June 1, 2023

15-year lock-in period relaxed for women property buyers...

June 1, 2023

Explore the beauty of marble with Asian Marbles:...

May 21, 2023

Vidarbha on the way for sustainable and Profitable...

May 15, 2023

Ex-ICAI Nagpur chairman Saket Bagadiya nominated for ICAI...

May 13, 2023

NVCC form new membership committee

May 10, 2023

VIA Session “Interaction on Certification and Marketing of Natural...

May 6, 2023

Cooperation Minister advises NDDB to make India “dairy to the world” with...

April 28, 2023

Session on Edit log – A Statutory Compliance...

April 27, 2023

Trending News

  • Coromandel express accident: Train derailment in Odisha leaves over 200 dead, 900 injured

    June 3, 2023
  • Block spam calls using this step-by-step process

    June 2, 2023
  • Ahmednagar to be renamed Ahilyanagar

    May 31, 2023
  • Cricketer Deepak Chahar’s dance goes viral after CSK win

    May 30, 2023
  • Filmmaker Vignesh Shivan clicks selfies with Dhoni and Jadeja’s wives at IPL

    May 30, 2023

Important Links

  • Politics
  • Crime
  • Business
  • Education
  • Entertainment
  • Sports

Available on Playstore & Coming Soon on Appstore

Search

June 2020
M T W T F S S
« May   Jul »
1234567
891011121314
15161718192021
22232425262728
2930  

Sign-Up Form

Subscribe my Newsletter for new blog posts, tips & new photos. Let's stay updated!

Footer Logo
  • Nagpur City
  • Nagpur Education
  • Nagpur Sports
  • Business
  • Featured
  • Crime
  • Entertainment & Lifestyle
  • Health & Wellness
  • Nation
  • Politics
  • Trending
  • Vidarbha
  • Obituary
  • Privacy Policy
  • Cookie Policy
  • Terms Of Use
  • Advertise with Us

© 2020 - The Live Nagpur . All Rights Reserved.