Home Loan Rates in India
Home Loans Rates in India have seen a drastic mount over the last 3 years. We have reached to the matching situate to that of in the year 2003, where most of the bank provided home loans in India at the rate of 10.5%, Nevertheless there was a decline in the year 2004-2005 where interest rates even touched as low as 6.75%, this might have attracted many of us to take home loans and invest in the prime properties.
That was year 2005 and as of today the home loan rates are at 12.5% which is nothing but a back-stab for the ones who took home loan at half of the interest rates. Not just home loan rate but property rates have also seen a 300% growth/rise in the past 3 years, which eventually makes a situation where a middle class cannot buy property, the interest rates as well as property rates are out of the reach. This is resulting in faction of inhabitants to suburbs or even further, adding to the load on transportation and basic amenities.
With ever “rising interest rates” and “rising property rates” creates a no-win situation for people into real estate business and the demand for the same is going to fall further. This would eventually result in market correction and things should be back to “normal”!!