MUMBAI: Housing loans of as much as Rs 35 lakh, for dwellings costing lower than Rs 45 lakh, shall be treated as precedence sector lending (PSL) to give a fillip to the cheap section, the Reserve Bank said on Tuesday.
PSL loans are fairly inexpensive than market rate of interest.
"With a view to bringing convergence of the PSL guidelines for housing loans with the Affordable Housing Scheme, and to give a filip to low-cost housing for the Economically Weaker Sections and Low Income Groups, the housing loan limits for eligibility under priority sector lending will be revised to Rs 35 lakh in metropolitan centres, and Rs 25 lakh in other centres...," the RBI said in a notification.
There is a situation then again that the overall price of the residing unit within the metropolitan centre (with population of ten lakh and above) and at other centres must no longer exceed Rs 45 lakh and Rs 30 lakh, respectively, for being labeled as precedence sector.
Currently, loans to people for as much as Rs 28 lakh in metropolitan centres and Rs 20 lakh in other centres, may also be labeled underneath precedence sector, only if the cost of residing unit does no longer exceed Rs 35 lakh and Rs 25 lakh respectively.
An announcement in this regard was made within the 'Statement on Developmental and Regulatory Policies' released together with the Second Bi-Monthly Monetary Policy on June 6.
The RBI notification additional said that the present family income prohibit of Rs 2 lakh per annum for loans to housing initiatives for Economically Weaker Sections (EWS) and Low Income Groups (LIG) stands revised to Rs three lakh per annum and Rs 6 lakh per annum, respectively.
This, it added, has been completed in alignment with the income criteria specified underneath the Pradhan Mantri Awas Yojana.
PSL loans are fairly inexpensive than market rate of interest.
"With a view to bringing convergence of the PSL guidelines for housing loans with the Affordable Housing Scheme, and to give a filip to low-cost housing for the Economically Weaker Sections and Low Income Groups, the housing loan limits for eligibility under priority sector lending will be revised to Rs 35 lakh in metropolitan centres, and Rs 25 lakh in other centres...," the RBI said in a notification.
There is a situation then again that the overall price of the residing unit within the metropolitan centre (with population of ten lakh and above) and at other centres must no longer exceed Rs 45 lakh and Rs 30 lakh, respectively, for being labeled as precedence sector.
Currently, loans to people for as much as Rs 28 lakh in metropolitan centres and Rs 20 lakh in other centres, may also be labeled underneath precedence sector, only if the cost of residing unit does no longer exceed Rs 35 lakh and Rs 25 lakh respectively.
An announcement in this regard was made within the 'Statement on Developmental and Regulatory Policies' released together with the Second Bi-Monthly Monetary Policy on June 6.
The RBI notification additional said that the present family income prohibit of Rs 2 lakh per annum for loans to housing initiatives for Economically Weaker Sections (EWS) and Low Income Groups (LIG) stands revised to Rs three lakh per annum and Rs 6 lakh per annum, respectively.
This, it added, has been completed in alignment with the income criteria specified underneath the Pradhan Mantri Awas Yojana.
RBI revises upwards housing loan limits under priority sector
![RBI revises upwards housing loan limits under priority sector]()
Reviewed by Kailash
on
June 19, 2018
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