Delhi Cooperative Housing Finance Corporation slashes interest rates on housing loans

In good news for home buyers, the Delhi Cooperative Housing Finance Corporation Limited has slashed interest rates on housing loans from 7.45 per cent to 6.75 per cent, an official statement said on Monday. The move comes days after the Delhi government reduced circle rates on properties by 20 per cent.

Cooperative Minister Rajendra Pal Gautam has instructed the corporation to slash the rates on the directions of Chief Minister Arvind Kejriwal, the statement from Delhi government said. "With the directions of the Delhi government, the rate of interest for Delhiites to take housing loans has been reduced from 7.45 per cent to 6.75 per cent," said Rajesh Goyal, chairman of the corporation.

This interest rate is much lower than that offered by private banks, he said. The reduction in interest rate will bring down the loan payment instalment from Rs 803 per lakh to Rs 760 per lakh, the statement said.

The corporation is planning to soon launch an attractive housing loan package for the middle class and weaker sections, it said. Last week, the Delhi government reduced circle rates of residential, commercial and industrial properties by 20 per cent for a period of six months.