Professional Documents
Culture Documents
G P R E S E N TA T IO
N B Y :-
PREPARED BY:
•AVICK
GROUP B •
BISWAS
•ISB & M
BANGALORE
WHAT IS
HOUSING
§ Longman dictionary of Contemporary English
says that housing means the houses or
conditions that people live in.
§
§ Housing association is an association
formed by a group of people so that they
can build homes for themselves, or buy
houses for themselves, or buy houses of
their own.
WHAT IS HOUSING
CONTINUED…
§
§ INADEQUATE DEVELOPMENT AND PLANNING.
§
§ INADEQUATE INFRASTRUCTURE.
§
§ RECOGNITION OF HOUSING AS AN INDUSTRY.
§
§ SLUM CLEARANCE AND PUBLIC HOUSING.
§
§ LAND SUPPLY.
§
§ RENT CONTROL ACT.
§
§
REAL ESTATE FINANCING – GROWTH
§ FACTORS continued…
§ Investment in and sale of commercial properties are recently gaining
popularity in INDIA thanks to real estate prices hitting all time low.
§ A developer who comes up with a new property rents it out and then sells it.
§ The investor gets an assured return, the developer churns out enough
money to invest in next projects.
§
§ An investor in a commercial property enjoys returns of 12% to 13% and on a
residential property he can earn up to 5% to 6%.
§
§ An investment in a bank would generate hardly 6% to 7% interests and
investment in a share market is risky, but real estate will offer at least
10% to 15% returns.
§
§
§
•
§
REAL ESTATE FINANCING – GROWTH FACTORS
continued…
§ Some other factors influencing the growth of real estate financing are:-
§
§ 1. BUDGETARY SUPPORT – TAX benefits and low interest rate with high salary level.
• Bank rate of interest is constantly being slashed.
•
§ 2. NEW DYNAMICS - The entry of ICICI home Finance, Sundaram Finance and Tata Finance
have changed the real estate finance market.
•
§
REAL ESTATE FINANCING – GROWTH
FACTORS
Market Opportunity CRITICAL MASS
One of the largest, quickly growing and most sustainable industries in INDIA
LEVERAGE
Sophisticated financing solutions became available over recent years
20
Urbanization Trends
Population Projection: 2001-2025
72 71 70
68 66
64
34 36
30 32
28 29
Constructio
n
company
Insuranc Individuals
e Private Pension Institution
Banks
Compani Investors Funds al
es Investors
22
Typical Profile of a
Customer
§ Single largest investment in his/her life time
§
§
§
FINANCIAL ASSISTANCE - FACTORS
§ REAL ESTATE FINANCING COMPANIES CONSIDER THE FOLLOWING
FACTORS BEFORE MAKING ANY FINANCIAL ASSISTANCE FOR
HOUSING:
§
§ 1. LOAN AMOUNT.
§
§ 2. TENURE.
§
§ 5. SERVICES.
§
§ 6. VALUE ADDITION.
§
§ OBJECTIVES:
§
§ 1. To promote a sound, healthy, viable and efficient housing finance system to cater to all
segments of the population.
§
§ 8. to enable the housing finance system to access the capital market for resources.
§
§
§
§
FUNCTIONS OF
NHB
§ 1. PROMOTION FUNCTIONS.
§
§ 2. REGULATORY FUNCTIONS.
§
§ 3. FINANCING FUNCTIONS.
§
§ 4. ASSET SECURITIZATION.
§
§ 5. BUSINESSES.
§
§ 9. ADVISORY SERVICES.
§
• OBJECTIVES:
•
§
TYPES OF LOANS OFFERED
BYARE:
§ THE TYPES OF LOANS OFFERED BY HDFC HDFC
§
§ 1. FOR DWELLING HOUSE – LOANS ARE GIVEN TO INDIVIDUALS, BASED ON
THEIR INCOME.
• THEY ARE REPAYABLE OVER A MAXIMUM PERIOD
OF 20 YEARS.
§
•
LIFE INSURANCE CORPORATION HOUSING
FINANCE LIMITED
§ THE CORPORATION WAS SET UP UNDER THE COMPANIES ACT, 1956.
§
• FUNCTIONS:
•
§ ITS MAJOR CONCERN WAS FOR THE LOW-INCOME GROUP AND ECONOMICALLY
WEAKER SECTIONS.
§
•YOU !