Edelweiss Housing Finance has announced that it will soon launch a home loan scheme offering loans up to the amount of Rs. 10 lakh in Tamil Nadu. The non-banking finance institution is planning to kick start the small ticket home loans scheme next week by sanctioning loans in Madurai.
The firm is targeting low income group borrowers who want to construct their own homes in the suburbs of Chennai and small towns in Tamil Nadu. Speaking on the matter, the Executive Vice President of Edelweiss, Mr. Anil Kothuri said that the firm has a competent team who possess the expertise to judge the earnings and repaying ability of borrowers in the unorganized sector.
Reportedly, the company has framed this housing finance product keeping in mind the self employed, small and micro businessmen and low income groups. The average loan amount extended under this scheme will be about Rs. 10 lakh, a small amount as compared to the average home loan amounts provided by institutions and banks (Rs. 20 lakh).
It is to be noted that though other players in the housing finance market do offer small sized loans, these loans are not dedicated to any particular segment or group that actually need small loans.