if any one who is intended to purchase a second hand home in the country then everyone has to pace up their decision because the housing loans are getting costlier for second residence. Reserve Bank of India is attempting to constrict the credit flow towards the residential division because some of the nationalized banks are discussing on increasing the prices of loans for those who are purchasing a second residence. If in case the move which is termed as ‘Informal Discussions’ by a Financial Ministry Officer goes through, then the rate of interest on the housing loans for the second residence will be more than what people are paying for their new home loans.
Sources also told that it has been discussing about the hike by the boards of some PSU banks after the Financial Ministry asked them to review their exposure to several divisions to make sure that realty has not turned most of the credit flow, thus moving productive sections like manufacturing, farming and infrastructure. Some of the banks coming back approached the Finance Ministry but there was no result.
Source: NIMMA BENGALURU
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