LIC Hsg Fin raises mortgage rates
“The rise in interest rates is in line with the market scenario. If we compare them historically, the rates are still at a very competitive level. Therefore, we will see a sustained demand for home loans,” Managing Director and CEO Y Viswanatha Gowd said.
Last week, the country’s largest lender, SBI, raised interest rates on home loans by 50 basis points. Following this, the best house ready rates start at 7.55% – the same level as HDFC. This makes LICHFL rates the lowest among housing financiers.
Meanwhile, the Union Bank of India has raised its deposit rates. The bank said its interest rates on domestic term deposits of less than Rs 2 crore with maturities of 46 to 90 days are raised by 55 basis points to 4.05% from 3.5%, those with a duration of more than one year to two years are increased by 35 basis points to 5.45% from 5.1% and for a duration of 181 days to less than one year, the interest rate has been increased by 20 basis points to 4.6%.