The affordable housing in India growth after RBI revised the loan limits. Currently Loan Limit is increase 28 Lac to 35 Lacs in metropolitan cities. 20 lakhs to Rs 25 lakhs in the rest of the cities. RBI Home loan increase to boost the development of property market in India.
The Total cost of development of the metropolitan cities is not more than Rs 45 lakhs other cities is not more than Rs 30 lakhs. RBI increase loan limit with lower loan rate.
The recent amendments in various acts are providing a lot of relief to the home buyers as well as giving them various preferential rights as well. A new ordinance namely Insolvency and Bankruptcy Code (Amendment) Ordinance Act, 2018 has received a green signal from the president Ram Nath Singh Kovind and will soon be promulgated. The ordinance would provide a significant relief to home buyers by giving them preferential rights as a status of that of creditors. Besides they will even get a right to represent themselves in the committee of Creditors. Buyers have been given the right file a case against the errant developers.
With all the recent amendments brought by the government jointly with the reserve bank of India, the housing sites in India will receive a real boost. They are seeing a considerable growth. The RBI has also mentioned that the number of Non-Performing Assets over the threshold of 2 lakh rupees is very high and is constantly growing. This is an indication of increased risk and the banks should be really careful. Besides, the banks should strengthen their method of evaluation as well as the recovery procedure so that their NPA’s can be kept under control. The Reserve Bank is already considering a policy that will help tighten the LTV ratios and reduce the risk as and when the time arrives.
The RBI notification further said that the existing family income limit of Rs 2 lakh per annum. for loans to housing projects for Economically Weaker Sections (EWS) and Low Income Groups (LIG) stands revised to Rs 3 lakh per annum and Rs 6 lakh per annum, respectively.