Tiruchirapalli: Sundaram BNP Paribas Home Finance is bullish on surpassing its Rs 2,500 crore target for home loan disbursements for the current fiscal as it forecast a positive outlook in the real estate sector.
The company, the home finance subsidiary of Chennai-based Sundaram Finance Ltd, had achieved loan disbursements to the tune of Rs 1,948 crore last year, a top official said.
"We are on track to achieving our home loan disbursements target of Rs 2,500 crore by the end of this fiscal... We have already achieved disbursements of over Rs 2,100 crore so far this year and are hopeful of surpassing the Rs 2,500 crore mark by end of this fiscal," company Managing Director Srinivas Acharya told PTI here last night.
He said the company is maintaining a growth rate of 37 percent.
In the first ten months of this fiscal, nearly 11,000 new customers has been added and hope to add another 2,000 by the end of the fiscal. "Our customer base is expected to exceed 42,000," Acharya added.
The firm is also poised to take its number of branches to beyond 100 by the end of this financial year, as targeted. The company already has 96 branches across the country, he said.
By middle of next month, new branches are coming up in Theni and two other places in Tamil Nadu, Aurangabad and Ratnagiri in Maharashtra and Andhra Pradesh. Next year, the focus will be on Tier II and Tier III towns across the country.
To a query, Acharya said the company's presence was more vibrant in Tamil Nadu with the state accounting for 50 percent of the total business. Andhra Pradesh constituted 25 percent of the overall business, while Kerala contributed 14 percent and Karnataka 11 percent. This mix is likely to remain for another couple of years.
In Karnataka, new branches in Mangalore, Udupi, Shimoga and Raichur are bound to yield more lucrative business going forward.
On the real estate market, he said there is a strong market for first time buyers of homes and apartments in all urban locations. Unlike the last three months, there would be a positive outlook and growth.
The segment of less than 1500 sq ft housing units looked very positive compared with higher area units.
Replying to a question, he said like other players in the segment, the company would also consider reducing interest rate and an appropriate announcement is expected.
He said Sundaram BNP Paribas Home Finance is having an asset base of Rs 5,600 crore and expected this to reach close to Rs 6,000 crore before the end of this year.