Home Loans Hdfc

CHAPTER – I
INTRODUCTION
1
INTRODUCTION
Home is a dream of a person that shows the quantity of efforts, sacrifices luxuries and
above all gathering funds little by little to afford one’s dream.
Home is one of the things that everyone one wants to own. Home is a shelter to
person where he rests and feel comfortable. Many banks providing home loans whether
commercial banks or financial institutions to the people who want to have a home.
H!"#$Housing evelopment %nd !inance "orporation& Home 'oan, (ndia have
been serving the people for around three decades and providing various housing loan
according to their varied needs at attractive ) reasonable interest rates. *wing to their wide
network of financing, H!" Housing 'oans provides services at your doorstep and helps you
find a home as per your requirements.
Many banks are providing home loans at cheapest rate to attract consumers towards
them. +he more customer friendly attitude of these banks, currently offer to consumers
cheapest loan over homes.
(n view of acute housing shortage in the country, and keeping in mind the social ,
economic role of commercial banks in the present times, the -.( advised banks to encourage
the flow of credit for housing finance.
/ith the -.( reducing bank rate, the home loan market rates nose#diving by 01 basis
points. +he H!" .ank and 2tandard chartered bank has become the first player in this
sector to announce a housing loan for a 31 years period. 4o doubt it will enhance the end cost
people to plan their house over longer duration now5 it has been made easy for a person to
buy that dream house which he dreamt of long ago.
H!" also provides with Home (mprovement 'oan for internal and external repairs
and other structural improvements like painting, waterproofing, plumbing and electric works,
3
tiling and flooring, grills and aluminium windows. H!" finances up to 607 of the cost of
renovation $1117 for existing customers&.
"urrent status is that H!" reduced home loan rates by 01 basis points for all its
existing floating rate customers.
ADVANTAGES OF HOME LOANS:-
+he various benefits of home loans arising to the customers are8#
(i) Attractive itere! rate!:-
+he various banks offer attractive interest rates to boost and help their customers.
Many banks provide loans on fixed or floating rates to facilitate consumers as per their needs.
(ii) He"# i $%i& a '$(e:-
+he home availed by a person with the help of banks, because they provide technical
and financial assistance to customers for owning their dream home.
(iii) N$ re)*ire(et $+ &*arat$r:-
+he commercial banks now a day, liberlise their laws regarding home loans. 2ome of
banks don’t even require the guarantor to grant loan to their consumers. +hey also make
consumers free by reliving him to find a guarantor to complete the proceedings of availing
loan.
(iv) D$$r-Ste# Service!:-
+hese door to step services are provided from enquiry stage to the final disbursement
takes place such services are beneficial for customers in present busy life. .anks like ("("(
bank and standard chartered bank provide door to step services to customers to borrow loan.
9
(v) L$a #eri$,:-
+here are many banks which provide maximum loan tenures upto 10#31 years based on
the loan amount and the creatibility of customers. +his relieves the customers to repay loan
amount till a long period-
(vi) F$r acci,eta" ,eat' i!*race :-
2ome banks provide free accidental death insurance with housing loan which is also
beneficial for the customers.
+hese benefits or advantages of home loans are responsible for making than so
popular among customer that a person who don’t have their home and want to buy, they do it
with home loan. Home loans help such persons in making their dream home.
DISADVANTAGES OF HOME LOANS:-
+he main disadvantages of home loans are high lightened as below8
$i& De"a.! i #r$ce!!i& :-
Many times, there are huge delays in processing of providing home loans because
various formulations to be fulfilled in this process. ue to these delays customers feel
mentally as well as financially weak.
(ii) F"*ct*ati& itere!t rate! :-
2ome banks give home loans at floating rates, which fluctuate at ifferent intervals due
to some reasons. +hese changes sometimes, may lead to increase in interest rate which will
increase the cost of home loans to the customers
:
(iii) Hi&' C$!t:-
+he public sector banks charge high processing cost for home loan’s sanctioning.
+hey are forced to pay serious charges at various stages to fulfill the requirements. 2ome
consumers are not able to pay such charges so such people could not avail the benefits of
home loan schemes.
(iii) Pr$/"e(! i ,i!/*r!e(et:-
+here are many problems in disbursement of home loan amount. +here are some delay
in disbursement of loan amount to the customers due to legal formalities. +his causes
problems to the customers.
+hese are limitations or disadvantages of home loans. .ut some times some banks
charges high installments to repay loan amount. 2uch also causes problem to customers.
+hese limitations can be removed by providing good and promote services to the customers.
0
O01ECTIVES OF STUD2
+here is no strongest foundation for your dream home, than a cheap loan. Home loans have
become that stronger foundations for people who want to own a home. +he main ob;ectives
of the study are as follows 8#
3) +he main ob;ective of this study is to know the "ustomers perceptions about home loans
of H!" housing development finance corporation '+.
4) 4) +o analy<e the history of hdfc ltd. +o analy<e the history of hdfc ltd.
5& =enerating good business to the company by promoting and selling the products of H!"
'+.
6& +o know the ideas of customers about home loan products and services.
7) +o make comparative study of isbursement of home loans by
"ommercial banks.
8) !ixing the appointments with the customers.
9) +o study the satisfaction level of customers about home loans.
:) +o study the problems faced by customers in obtaining the home loans.
;) >isiting the customers and closing the deal.
3<) +o learn about various aspect of hdfc home loan ltd. +o learn about various aspect of hdfc home loan ltd.

?
PURPOSE OF THE STUD2
+he main purpose of this study is to attain the knowledge of the processing system of home
loans. the main purpose of the study are as follows 8#
• +o know the ideas of customers about home loan products and services.
• +o study the satisfaction level of customers about home loans.
• +o study the problems faced by customers in obtaining the home loans.
• • +o learn about various aspect of H!" home loan ltd. +o learn about various aspect of H!" home loan ltd.
SCOPE OF STUD2
+he (ndian housing finance industry has grown by leaps and bound in few years. total home
loans disbursements by banks has risen which witnesses phenomenal growth from last 0
years. +here are greater number of borrowers of home loans. so by this study we can find out
satisfaction level of customers and problems faced by them in obtaining home.
@
RESEARCH METHODOLOG2 OF THE STUD2
RESEARCH METHODOLOG2:-
-esearch methodology is a way to systematically show the research problem. (t may
be understood as a science of studying how research is done scientifically. (t is necessary for
the researcher to know not only the research methods but also the methodology.
+his 2ection includes the methodology which includes. +he research design, ob;ectives of
study, scope of study along with research methodology and limitations of study etc.
• +o know the "ustomers perceptions about home loans of H!" housing
development finance corporation '+.
• +o study the satisfaction level of customers about home loans.
• +o study the problems faced by customers in obtaining the home loans.
• +o make comparative study of disbursement of home loans by commercial banks, the
study shall be conducted in the manner enumerated below#
6
RESEARCH DESIGN:-
+his pro;ect is based on exploratory study as well descriptive study. (t was an
exploratory study when the customer satisfaction level was studied to suggest new methods
to improve the services of H!" '+ in providing home loans and it was descriptive study
when detailed study was made for comparison of disbursement of home loans by commercial
banks.
SOURCES OF DATA :-
+o fulfill the information need of the study. +he data is collected from primary as well
as secondary sources#
A - PRIMAR2 SOURCE:-
( decided primary data collection method because our study nature does not permit to
apply observational method.
(n survey approach we had selected a questionnaire method for taking a customer view
because it is feasible from the point of view of our sub;ect ) survey purpose. /e conducted
111 sample of survey in our pro;ect to ;udge the satisfaction level of customers which took
home loans.
A Sa(#"e !i=e>-
0 – SECONDAR2 SOURCE:-
(t was collected from internal sources. +he secondary data was collected on the basis
of organi<ational file, official records, news papers, maga<ines, management books,
preserved information in the company’s database and website of the company.
B
SAMPLING :-
2ampling refers to the method of selecting a sample from a given universe with a view
to draw conclusions about that universe. % sample is a representative of the universe selected
for study.
SAMPLE SI?E :-
'arge sample gives reliable result than small sample. However, it is not feasible to target
entire population or even a substantial portion to achieve a reliable result. 2o, in this aspect
selecting the sample to study is known as sample si<e. Hence, for my pro;ect my sample si<e
was 111.
+he 2ample 2i<e consists of both the Crofessional and .usiness class people. (+
peoples, octors, Dewelers, +imber Merchants ) -eal estate %gents are taken as 2ample.
SAMPLING TECHNI@UE:-
-andom sampling technique was used in the survey conducted.
TOOLS OF ANAL2SIS:-
ata has been presented with the help of bar graph, pie charts, line graphs etc.
PLAN OF ANAL2SIS:-
+ables were used for the analysis of the collected data. +he data is also neatly presented
with the help of statistical tools such as graphs and pie charts. Cercentages and averages have
also been used to represent data clearly and effectively.
DATA COLLECTION INSTRUMENT DEVELOPMENT :-
11
+he mode of collection of data will be based on 2urvey Method and !ield %ctivity.
Crimary data collection will base on personal interview. ( have prepared the questionnaire
according to the necessity of the data to be collected.
LIMITATIONS OF THE STUD2:-
+his study also includes some limitations which have been discussed as follows8
i) +he sample si<e of 111 customers and : banks might prove a limitation because of
difficulty in generali<ation of results.
ii) +o collect the data from various banks was quite difficult due to non# cooperation of some
banks. +his proved to be ma;or limitation of the study.
iii) +o access such a large number of customers was difficult because of non#cooperative
attitude of respondents.
iv) 'ack of data was also the other limitation of the study as some of banks do not have
proper data on topic.
v) +here was limitation of time to conduct such a big survey in limited available time.
vi) (gnorance and reluctant attitude of customers was also a ma;or limitation in this study.
11
CHAPTER – II
REVIEA OF LITERATURE
13
Home is a dream of a person that shows the quantity of efforts, sacrifices luxuries and
above all gathering funds little by little to afford one’s dream.
Home is one of the things that everyone one wants to own. Home is a shelter to
person where he rests and feel comfortable. Many banks providing home loans whether
commercial banks or financial institutions to the people who want to have a home.
H!"#$Housing evelopment %nd !inance "orporation& Home 'oan, (ndia have
been serving the people for around three decades and providing various housing loan
according to their varied needs at attractive ) reasonable interest rates. *wing to their wide
network of financing, H!" Housing 'oans provides services at your doorstep and helps you
find a home as per your requirements.
Many banks are providing home loans at cheapest rate to attract consumers towards
them. +he more customer friendly attitude of these banks, currently offer to consumers
cheapest loan over homes.
(n view of acute housing shortage in the country, and keeping in mind the social ,
economic role of commercial banks in the present times, the -.( advised banks to encourage
the flow of credit for housing finance.
/ith the -.( reducing bank rate, the home loan market rates nose#diving by 01 basis
points. +he H!" .ank and 2tandard chartered bank has become the first player in this
sector to announce a housing loan for a 31 years period. 4o doubt it will enhance the end cost
people to plan their house over longer duration now5 it has been made easy for a person to
buy that dream house which he dreamt of long ago.
19
H!" also provides with Home (mprovement 'oan for internal and external repairs
and other structural improvements like painting, waterproofing, plumbing and electric works,
tiling and flooring, grills and aluminium windows. H!" finances up to 607 of the cost of
renovation $1117 for existing customers&.
"urrent status is that H!" reduced home loan rates by 01 basis points for all its
existing floating rate customers.
DIS0URSEMENT OF HOME LOANS :-
+he every bank has its own procedure to disburse the loan amount among customers.
%fter choosing your right home, the next step is disbursement of home loans. +he loan
amount is disbursed after identifying and selecting the property or home that are purchased
and submit the requisite legal documents. (n the disbursement of home loans a clear title and
full verification to ensure that a person has full rights on his house. +he 391% clearance of
seller and Eor 9@1 clearances from the appropriate authority of income tax is also needed.
(I) E"i&i/i"it. criteria:-
However, if one is a resident or non#resident individual who is planning to buy a
house in (ndia, one can apply for a home loan. (f a person has decided to buy a property in the
near future, heEshe can apply for a loan before even selecting the property. *nce the
maximum amount to put into the property has been decided, the Housing !inance (nstitutions
or .anks will let the customer know that how much heEshe is eligible for and this helps to
plan out the budget.
(ii) C$,iti$! re&ar,i& c$-a##"icat!: -
%ll Housing !inance (nstitutions lay down conditions on who can be co#applicants. all
co#owners to the property. need to be co#applicants to the loan necessarily. +hese
institutions do not permit minors to ;oin in as either coowner or as co#applicants because a
1:
minor is not eligible to enter into a contact as per law. +hey do not permit even friends or
relatives who are not blood relatives to take a property ;ointly.However, (ncome of co#
applicants can be clubbed together to get higher loan eligibility. =iven below is a +able that
throw light on acceptable relationship of a co#applicant for clubbing of income.
Ic$(e C"*//i& $+ C$-a##"icat!:# (t is as follows8#
"ombination (ncome "lubbing8 #
 H*!/a,-Ai+e: - (ncome of husband#wife can be clubbed.
 Paret - !$: # (t can be clubbed if only son is there but not if any male sibling exists.
 0r$t'er-0r$t'er: # (f they are currently staying together and intend to stay together in
the new property, then only, their income#can be clubbed for above purposes.
 0r$t'er-Si!ter: # 4o clubbing#is possible.
 Si!ter-Si!ter : - 4o clubbing is possible.
 Paret-Mi$r- C'i",: # 4o clubbing is possible in this case also.
(iii) Geera" Ter(! a, C$,iti$!: - +he following are the terms and conditions
applicable to the basic home loan product only. +hese are likely to change on the basis of the
variations of the home loan product. +ypically, in general home loans, the following
conditions are applicable :-
3) +he loan to value ratio $'+>& cannot exceed a particular percentage. +his differs from
product to product and from one Housing !inance (nstitutional .ank $H!(E.& to another.
+he components of the value of the Croperty calculated here are covered under cost of
property.
10
4) +he maximum tenure of the bank is nominally fixed by H!(E.s. However, H!lsE.s do
provide for different tenures with different terms and conditions.
5) +he installment that one pay is normally restricted to about#01#per cent of the monthly#
gross income of the candidate.
6) +he total monthly outflow towards all the loans that have been availed of, including the
current loan is normally restricted to 017 of the gross monthly income.
7) *ne will be eligible for a loan amount which is the lowest as per oneFs eligibility. +his is
calculated as per the '+> norms, the H-, norms and the !*(- norms as mentioned above.
8) Most H!lsE.s consider the profile before they ;udge the repayment capacity. +he
;udgement is based on age, qualifications, number of dependents, employment details,
employer credentials, work experience, previous track record of repayment of any loans that
have been availed of, occupation, the industry to which the candidateFs business relates to, if
heEshe is self#employed, then the turnover in the last 9#: years etc.
9) 2ome H!(sE.s insists on guarantees from other individuals for the repayment of the loan.
(n such cases, the customers has to arrange for the personal guarantee before the
disbursement of the loan takes place.
:) +he property should be technically clear before the H!(sE.s disburses the loans amount.
Most of institutions and banks have a teams of technical experts who visit the site to get a
technical report before the disbursement of loan. +his is also beneficial to the customer as
they check for the technical quality and compliance with local laws.
;) +he property should be legally clear before one can avail of a disbursement of the loan
amount. Housing#!inance (nstitutions E.anks $H!(sE.s& take legal clearance from their
lawyers before the disbursement of amount. +his proves to be beneficial to the customers as a
1?
legal expert checks hisEher documentation to ensure that heEshe get a proper title to the
property.
3<) +he disbursement of the loan is as per the progress of construction of the property unless
it is a ready property in which case the disbursement will be by one single cheque. CGM( or
simple interest on the loan amount disbursed to the customer in case of a part disbursement
will be payable by the customer on the disbursement.
33) +he disbursement in most cases will be favoring the builder or the seller or the society
or the development authority as the case may be. +he disbursement will come in the
customerFs favour under special circumstances only.
34) +he repayment of loan can be made either through deduction against salary, post#dated
cheques, standing instructions or %uto debit instructions to bank.
35) +he principle is amorti<ed either on annual reducing or monthly reducing basis as the
case may be.
+he above terms and conditions are generally true for most Housing finance
(nstitutionsE.anks with respect to the general Home 'oans. However, the specific terms and
conditions vary with respect to special Housing !inance (nstitutions or .anks.
(iv) C'ar&e! a##"ica/"e t$ '$(e "$a! :-
+he different kinds of charges applicable to home loans are discussed below:
a) Pr$ce!!i& +ee! :-
!irst of all, comes the process fee. +his is a charge that is levied by most H!lsE.s. +his
has to be paid at the time of submission of the application form. (tFs normally charged as a
percentage of the loan amount sanctioned. 2ome H!ls also charge a flat fee based on the loan
amount instead of a percentage. /hen a lower amount is sanctioned the excess fees paid at
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the time of submission of the application is ad;usted with the charges, which one make to the
H!(E. subsequently. Most H!lsE.s refund the processing fee if the loan application is
re;ected.
/) A,(ii!trative +ee! :-
+his charge is again, normally, a percentage of the loan amount sanctioned. (t is collected
by the H!(E. for the maintenance of customerFs records, issuing interest certificates, legal
charges, technical charges, etc. though the tenure of the loan. (t is payable by the customer
when heEshe accepts the offer letter given by the H!(E.. +his payment has to be made before
the availment of the disbursement. +he mode of collection of these fees varies from one
H!(E. to another.
c) Rate $+ itere!t :-
+his is the rate of interest applicable on the loan amount through the tenure of the loan. (t
is charged on the principal monthly reducing method. Most H!(sE.s give an option to select
either a fixed rate of interest or a variable rate of interest.
,) Le&a" C'ar&e!:-
2ome H!(sE.s mainly Cublic 2ector .anks levy legal charges that they incur on getting the
property documents vetted by their panel of lawyers.
e) Tec'ica" C'ar&e!:-
+hese charges are also levied by certain Housing !inance (nstitutionsE.anks $H!(sE.s&
to meet their expenses on the technical site visits to the customerFs property. +his ensures
quality of construction and construction within the norms as stipulated by the respective
approval authority.
16
+) Sta(# ,*t. a, re&i!trati$ c'ar&e!:-
H!(s that go in for a registered mortgage pass these charges on to the customer. +hese
are rather heavy in certain states depending on the laws laid down by the state where one buy
a property.
&) Per!$a" G*aratee +r$( C'ar&e! :-
2ince the personal guarantee provided by the customer need to be stamped, these
charges are also recovered from the customer. +hey are charged to him by H!(s who demand
for =uarantees.
') C'e)*e 0$*ce C'ar&e! :-
(n case the cheques through which one make a payment to H!ls get dishonored, some
minimum charges are levied by the H!(. +he same are recovered from the customer.
(i) De"a.e, #a.(et c'ar&e! :-
H!lsE.s charge delayed payment charges from the customer if heEshe delays the
payment of installments beyond the due date.
(B) A,,iti$a" c'ar&e! :-
+hese are levied as a percentage on the delayed payment charges by most H!ls. +hey
are levied if one fail to pay the dues within the stipulated time after a delay has taken place.
(C) Ici,eta" c'ar&e :-
1B
+his is payable in case the H!(E. sends a representative from their organi<ation to
collect their outstanding dues. (t is normally charged at a flat rate per visit. +hese charges are
levied by most H!lsE.s.
") Pre#a.(et C'ar&e! :-
+his is a penalty charged by H!lsE.s from when one makes either a part prepayment or
a full repayment of the loan. +his charge is levied only on lump sum payments and not on the
GMls that one pays. +his charge is levied on the amount prepaid by one and not on the entire
outstanding principal. +hese charges are gradually being discount. 2o, these are the charges
levied by most Housing !inance (nstitutions and .anks while granting home loan to the
customers. 4ow, the decision on the repayment capacity shall be talked about as follows.
(v) 1*,&e(et re&ar,i& re#a.(et ca#acit. $ t'e /a!i! $+ ic$(e :-
+o understand how the income of a customer is considered to arrive at his repayment
capacity, it is first necessary to classify customers into salaried and self employed individuals.
a) +he income of the salaried individual is considered in the following manner8#
=ross monthly income as it appears on the salary slip
Le!!:- %ny non regular variable income appearing on the salary slip $including overtime,
etc.&
A,, : - 01 per cent of the average variable income of the last six months.
A,,: - %ny fixed cashEvoucher payments for which proof can be submitted.
A,,: - 01 per cent of the average variable cashEvoucher payments with proof like traveling
reimbursement etc.
A,, :- H-% receivable if not being received already in the salary slip.
31
+he above income calculated for the calculation of eligibility using ((- and !*(- norms. !or
calculation of !*(-, the installments of all the loans that one has availed of currently for
which repayment is being made is taken into account as well. +he lower of the two
eligibilities is considered as the maximum repayment capacity.
/) +o consider income of 2elf#employed individuals we further classify them into
Crofessionals and non#professionals .
• Pr$+e!!i$a"!:- "omprising doctors, chartered accountants, lawyers, architects, etc.
!or calculation of eligibility of professionalFs income is computed by most H!(s using
the gross professional receipts instead of the 4et profit as in the case of self#employed
non#professionals.
• N$-Pr$+e!!i$a"!: # +he income of non#professionals is normally calculated by
H!(s in the following manner: -
%verage of the net profits of last 3 years as it appears in the profit and loss account $-eturns
need to be filed for the same. +hey should be filed regularly before the due date is over&.
Le!!: - %ny income, which is unusual and non#recurring in nature like sale of some asset, etc
which affects profits substantially,
A,,: - %ny expense that is unusual and non#recurring in nature like repairs and maintenance
that has not been capitali<ed and effect profit adversely.
A,,: # 01 per cent of the average depreciation of the last two years. +he above income is
calculated for the calculation of eligibility using ((- and !*(- norms.
!or calculation of !*(- the installments of all the loans that one has availed of currently for
which repayment is being made is taken into account and the eligibility is worked out. +he
lower of the two eligibilities is considered as the
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maximum repayment capacity.
(vi) Cre,it ,$c*(etati$:-
=iven below is the exhaustive list of credit documents# that need to be submitted for a
general home loan product. +he documents vary from one H!(E. to another based on oneFs
employer, qualifications experience etc. the general requirements are as follows: -
(a) Ic$(e D$c*(et! : #
!or salaried slips for the last three months appointments letter#salary certificate#
retainership agreement, if appointed as a consultant#!orm 1? issued by the employer in
customerFs name income document for self employee # last three years profit and loss account
statement duly attested by "hartered %ccountants. 'ast three years .alance 2heets duly
attested by "hartered %ccountant, last three years (ncome +ax -eturns with computation
chart duly filed and certified by the (ncome +ax authorities.
/) Pr$$+ $+ e(#"$.(et : #
(dentify card issued by the employer# >isiting card.
(c) E(#"$.erD! ,etai"! (I ca!e $+ #rivate "i(ite, c$(#aie!) : -
Crofile of employer on employers letterhead $to be signed by a senior person in the
organi<ation& comprising
E 4ame of promoterEdirectors
E .ackground of promotersEdirectors

E 4ature of business activity of your employer
E 4umber of employees
33
E 'ist of branchesEfactories
E 'ist of suppliers
E 'ist of clientsEcustomers
E +urnover of employer
E %nnual reports of the employer for the last two to three years.
(,) Pr$$+ $+ a&e (A.$e $+ t'e +$""$%i&) : #
Cassport# >oterFs ( card#C%4 card#-ation card#GmployerFs identity card#2chool
leaving certificate#.irth certificate.
(e) Pr$$+ $+ re!i,ece (A.$e $+ t'e +$""$%i&) : -
-ation card#Cassport# C%4 card#-ent agreement, if the customer is staying currently on
rent# .ank Cass book#%llotment letter from the company if heEshe is residing in company
quarters.
(+) Pr$$+ $+ a(e c'a&e (I+ a##"ica/"e) : -
% copy of the official ga<ette ,% copy of a newspaper advertisement publici<ing t'e
a(e c'a&e-Marria&e certi+icate!-
(&) Pr$$+ i+ ive!t(et (I+ re)*ire,) :-
.ank statement for the last six months of all operating and salary accounts # .ank
statements for the last six months of all current accounts, if self#employed#any other
photocopies of investments held, if required by the H!".
(vii) Le&a" ,$c*(etati$ :-
39
'egal ocumentation the typical legal documents that need to be submitted to the
H!" arc discussed here. =iven below is a list of legal property documents that need to be
submitted to the H!" for mortgage of the property. +he name and the list of documents vary
from state to state and also depend on the type of property being financed. % broad outline of
the documents required is given below.
a) %cceptance copy of the offer letter issued by the H!"E..
/) +itle documents of the property that include #sale agreement duly
-egistered#*wn contribution receipts # %llotment letter#-egistration receipt#'and documents
indicating ownership, if applicable# Cossession letter#'ease agreement, if applicable
$Croperty bought from a development authority& # Mortgage deed if the H!" opts for a
registered mortgage.
c) 4o *b;ection "ertificate from the developer, society or development authority as
applicable.
,) Cersonal =uarantees, if applicable.
e) (n case of alternator additional security, documents for the same depending upon the
security details.
+) Cost dated cheques for the GMls.
+he above documents are only indicative in nature and do not cover the entire list. (t may,
also be noted that in a resale case, the previous chain of agreement also need to be taken.
(viii) T'e taF /ee+it! t'at are a##"ica/"e t$ '$*!i& "$a! +$r i,ivi,*a"! :-
"urrently +ax .enefits to individuals are available only for the Home 'oans and Home
Gxtension 'oans products. +he benefits available are covered under these sections.
3:
Pr$#ert. I!*race :-
I! it c$(#*"!$r. t$ i!*re t'e #r$#ert.G !ome H!ls insist on a mortgage redemption life
insurance policy. (n this case the customer gets a benefit of an interest rate reduction. +hough
the H!( may not insist, it is better to go in for property insurance to safeguard the asset
against any sort of damage or loss. +he customer can select the tenure for the property
insurance. +he insurance premium is changed up front. Most insurance companies provide
for huge discounts on the rate of premium for larger tenures. +he premium charged currently
is seventy#seven for every lakh of property for a year. 2o a customer has to fulfill various
conditions to be eligible for availing home loan from a Housing !inance (nstitutionE.ank
%fter fulfilling these conditions, a customer can avail loan at low interest rate i.e. fixed rate
floating rate. % decision on whether one should go in for a fixed#rate loan or a floating#rate
loan now is a function of two factors i.e. *neFs perception of where interest rates in the
economy are headed and oneF capacity to ride the interest rate changes. % floating#rate loan let
one take advantage of further falls in interest rates but one stand to loose if interest rate, rise
again. However this decision is based on the perception of the consumer.
SUMMAR2:-
A %fter going through pervious studies of Home loans ( came to conclude that#
A +here is growth of home loans after 3111.
A Home loans have an inverse relation with interest rates i.e. when interest rate low the
demand of home loans increase. $*;ha 1B6@&
A Ceople are going more towards home loans than private mortgage insurance .
$.erstain 311B&
30
A =overnment taking various steps to encourage people to go toward home loans .
$Haavio, Hauppi 3111&
A =rowth of home loans are due to increase of living standard of people, shifting from
;oint family to nuclear family .$'acourr, Micheal 3116&
A +here are some problems also attach with these home loans such as time i.e filling of
application of loan to closing ,people have their own specified needs from these home loans
which are not fulfilling. $'acour Micheal 311@&.
A 2.( provide a very low interest rate on home loans as compared to other banks. $2.(
May 3111&
N$% a+ter t'i! c$c"*!i$ t'e ,etai"! $+ revie%! are /e"$%-
0er!tai Davi, (4<33) examined in his study taken from 3111 to 311B that in this
period there is increase use of home loans as compared to private mortgage insurance
$CM(&.he have divided his study into four sections. 2ection 1 describes why people are going
more for home loans than CM(. the main reason for this that now home loans market provide
Ciggybank loans for those people who don’t have 317 of down payment. 2ection 3 tells the
factors responsible for the growth of home loans and the risks on shifting toward home equity
market without any CM( coverage. CM( can protect lenders from most losses up to 617 of
'+> and the absence of CM( will result in considerable losses in an environment. 2ection 9
tells the measures in changes of type of loans. !or this he have taken the data from the 3111
and 3116 %H2 a ;oint pro;ect by HI and "ensus +he results of this analysis presented in
+able *ne reveal a sharp increase in the Crevalence of owner#occupied properties with
multiple mortgages among properties with 4ewly originated first mortgages. 2ection :
describe the !inancial status of single#lien and multiple#lien households and for this he have
3?
taken the survey of consumer finance and show that financial position is more weaker in
multiple loans than the single loans.
Va,e""H Ierr. D (4<<;) analysis the sharp rise and than suddenly drop down home prices
from the period 1BB6# 311B. changes in prices are for the reasons as such economic
fundamentals , the problem was not sub prime lending per se, but the !edJs dramatic
reductions, then increases in interest rates during the early# mid#3111 , the housing Kboom
was concentrated in those markets with significant supply#side restrictions, which tend to be
more price#volatile5 he problem was not in the excess supply of credit in aggregate, or the
increase in sub prime per se, but rather in the increased or reduced presence of certain other
mortgage products.
La c$*rrH Mic'ea" (4<<:& analysis in his study the factors affected the increase in the level of
%nnual percentages rates $%C-& spread reporting during 311? over 3110. the three main
factors are changes in lender business practices5 $3& changes in the risk profile of borrowers5
and $9& changes in the yield curve environment. +he result show that after controlling for the
mix of loan types, credit risk factors, and the yield curve, there was no statistically significant
increase in reportable volume for loans originated directly by lenders during 311?, though
indirect, wholesale originations did significantly increase. !inally, given a model of the
factors affecting results for 3110#311?, we predict that 311@ results will continue to show an
increase in the percentage of loans that are higher priced when final numbers are released in
2eptember 3116.
La c$*r Mic'ea" (4<<9) examined the home purchase mortgage product preferences of 'M(
households. *b;ectives of his study to analysis the factors that determined factors their choice
of mortgage product , is different income groups have some specified need to met particular
product. +he role pricing and product substitution play in this segment of the market and do
results vary when loans are originated through mortgage brokersL !or this they have use the
3@
regression analysis and the results are high interest risk reduce loan value. 2elf employed
borrower chooses reduce documented loans than salaried workers.use of this product type
seems to be more prevalent among borrowers with substantial funds for down payment and
better credit scores. (n case of pricing Multi families requires price premium and larger loans
carry lower rate. %nd the role of time, particularly, the time required for the loan to proceed
from application to closing it is find that government lending taking the longest time and
4onprime loans the shortest time.Multi family properties take longer time in closing. %nd
during peak season take longer time to close. %nd for last ob;ective it is find that broker
originated loans close faster.+he effect of mortgage brokers on pricing and other market
outcomes is fertile ground for additional research.
Dr- Ra&araBa C- (4<<3) said that the financial system of (ndia built a vast network of
financial institutions and markets over times and the sector is dominated by banking sector
which accounts for about two#third of the assets of organi<ed financial sector.
Haavi$H Ia*##i (4<<<) stated that countries where a large proportion of the population lives
in owner , occupied housing are experiencing higher unemployment rates. +han countries
where the ma;ority of people live in private rental housing, which might suggest that rental
housing enhances labour mobility. (n this paper, they develop a simple inter temporal two
region model that allow us to compare owner occupied housing markets to rental markets and
to analy<e how these alternative arrangements allocate people in space and time. announced
that it will offer loans for -s. 3#11 lakh at 13.0 percent the lowest rate offered by any housing
finance provider, big brother 2.( has taken the rate war in the home loans category to new
heights. +his is because, apart from the low rate, the interest on these loans is calculated on
principal, which is reduced every month unlike other housing finance companies which
calculate interest on annually reducing basis.
36
Nara!i('a( C$((ittee (3;;3) points out that although the banking system in our country
has made rapid progress during the last two decades, there is decline in productivity and
efficiency and erosion of profitability. +he committee strongly make indications of
liberlising, deregulating economy to make (ndian baking system more competitive and
efficient.
OB'a (3;:9) in his paper Mmodern international caparison of productivity and
Crofitability of pubic sector banks of (ndiaM making "omparison on the basis of per employee
indicators and taking examples of state bank group and Cun;ab 4ational bank noted that
(ndian banks are the lowest in all accounts. However such international comparison will not
be fair for numbers of reasons.
G$,!e (3;:5) in his essay, Nlooking a fresh at banking productivityO observe that productivity
aspect is only at the "onceptuali<ation stage in banking industry. He suggested improvement
in productivity and procedures, costing of operations and capital expenditure etc.
Fai& (3;:4&, while examining bank productivity of .ritish banks observed that although
the productivity of the IH clearing banks is improving, they are still heavily over manned as
compared with similar banks else where.
I*"Cari (3;9;) in his study Nevelopment responsibility and profitability of banksO stated
that while considering banks costs and profits, social benefits arising out of it cannot be
ignored. He suggested that while meeting social responsibility banks should try to make
developmental business as successful as possible.
Var,e a, Si&' (3;9;) in a study Mprofitability of commercial banksM over 10 years gave
consideration to two types of factors that effects interest rates levels i.e. internal factors
$including operational and managerial efficiency of individual basis&.
3B
0aCi& C$((i!!i$ (3;94& reviewed bank operating methods and procedures and made
recommendations for improving and moderni<ing these, particularly relating to customers
services, credit procedure and internal control systems. (t observed that present methods of
working out branch profitability are not appropriate and an integrated costing and financial
reporting system is needed.
De#art(et $+ 0aCi& $#erati$! a, ,eve"$#(etH R0I 8 .ombay observed that the
rapid expansion of banks activities since 1B@1 called for a phase of consolidations to improve
the quality of banks operational efficiency, productivity and customer services.
91
CHAPTER-III
INDUSTR2 AND COMPAN2
PROFILE
91
THE HISTOR2 OF INDIAN HOME LOANS:-
H$(e "$a! i I,ia have made people .uy Croperty in (ndia in spite of the
skyrocketing prices. +oday, we find considerable -eal Gstate (nvestment in (ndia, either in
the field of -esidential Croperty in (ndia or "ommercial Croperties in (ndia. Home 'oans in
(ndia are disbursed by many .anks as 'oan .anking is on of the most important function of
the Fiacia" Service! i I,ia- Croperty ealers and -eal Gstate "onsultants in (ndia
usually recommend that we undertake appropriate Home 'oan or M$rt&a&e L$a counseling
so that we can .uy %partment in (ndia at an affordable Mortgage -ate.Curchasing the home
of your dreams is not an easy task. Gspecially when you plan to buy a home on loan. Home
loan means that you buy a house on installments. (n simpler terms when you want to own a
home and can’t afford to pay the amount in lump sum, you can pay it in monthly installments
with an interest rate.
+he itere!t rate! $+ '$(e "$a! are expected to go down even further according to
analysts who foresee a cut down in the rates by the -.( in the wake of the decision taken by
I2 !ederal -eserve to cut its rates by a significant margin.
+here are number of companies offer cheap home loans at a low interest rate. Pou can
avail loan against existing house for renovation or expansion etc. +here are many
nationali<ed banks that offer finance for affordable housing. (ndia Housing has put together a
comprehensive data to provide you with the cheapest Home 'oans available in the market.
/e have listed all the important housing finance institutes and some of the top home finance
banks providing lowest interest rates.
93
(n the last few years, housing loan scenario in (ndia has changed drastically. (t has taken
a front seat and people are looking forward to owning their own houses. (t is no more a dream
that required lifetime saving and a difficult decision to make. +oday the new home purchase
loan is much easily available and is much cheaper than what was available earlier. .anks are
now everywhere and the schemes are implemented even in villages and smaller towns. +he
housing loans are popular there too, however, the activity of building flats is little slow. (t
would not be wrong to say that there has been a boom in the home loan market and with this
boom5 there is also a boom in the 4umber of home loans mortgage brokers in (ndia.
+he main reason for this boom in home loan market is the change in government
policies. (t is our government’s motivation that the home loan interest rates in (ndia have
fallen considerably. 'ot many banks are offering home loans and this is available at low
GM(s $Gquated monthly (nstallments&. High GM(s are now a thing of past. +oday lending rate
is in the range of @.0 to 10 7.
%gain, there are different types of home loans available today. +he interest rate available
is also of two different types. *ne is the fixed rate loan and the other is the floating rate loan.
(n the fixed rate loan, whatever interest is fixed on the start of loan is carried on for the
complete period. However, in the other one, the interest rate is not fixed and as the interest
rate goes up or low the effect is directly transferred to the person who is taking the loan. (n
the last few years the floating interest rate has been a favorite among most of the people
taking home loans.
+here is also a trend to opt for home construction loan. +his loan is available to those
who want to design their homes according to their requirement and taste. (n other words, this
loan is meant for those who themselves want to construct their new home.
99
%s shared earlier, taking a loan is not a difficult task. However, before taking a loan,
one must reali<e that the relationship with the bank will be for a longer period usually 10 to
31 years so one must ensure faith and integrity in bank. %part from low rate of interest, the
bank should also provide some value added services. +he other thing is to look into is the
property that is to be brought. Making sure that the builder has all sanctions and facility to
build a good building is very important.
+aking home loans these days has become simpler. /ith the -.( regularly bring
down interest rates5 taking home loans have become extremely easy. Housing loans which
were 1?.07 to 167 a few years ago fell by 11.07 to 197. /ith interest rates going down,
people increasingly number apply to take these loans. 2ome of the leading banks offering
home loans in (ndia, including ("("( .ank, (.( .ank, H!" .ank , .ank of .aroda, 2.(,
2tandard "hartered .ank and %xis .ank .
H$(e L$a Pr$ce,*re i I,ia 8#
S*/(i!!i$ $+ A##"icati$ F$r(: - %fter choosing a particular home loan, the customer
submits the application form to the housing finance company $H!"& along with other
relevant documents as required by the H!". +hey comprise documents to establish income,
age, residence, employment, investments, etc. +he customer also needs to hand over a cheque
for payment of an up front $non #refundable& processing fee of about 1.0#17 of the loan
amount to the H!".
Va"i,ati$ $+ t'e I+$r(ati$: - (n the next stage, H!"s validate the information provided
by the customer on the application form. +hey usually conduct checks on the residential
address of the customer, the place of employment of the customer, and credentials of the
employer. 2ome H!"s may insist on a personal interview with the customer and perform a
reference check on the references provided by the customer on the application form.
9:
I!!*e $+ Sacti$ Letter :- %fter due appraisal of customer profile, a sanction letter is issued
which contains details such as loan amount, rate of interest, annual E monthly reducing
balance, tenor of the loan, mode of repayment and general terms and conditions of the loan.
+his is the actually the approval of the money lending procedure by the company. However,
the money is sanctioned only after the documents and the property on behalf of which the
loan is being granted is thoroughly verified.
S*/(i!!i$ $+ D$c*(et!: - *nce the sanction letter is passed, the customer is required to
leave the entire set of original documents pertaining to the property being purchased with the
H!" as security for the loan amount sanctioned. +hese documents remain in the custody of
the H!" till the time the loan is fully repaid. *nce the documents are handed over to the
H!", they send all the documents for a thorough legal scrutiny.
Va"i,ati$ $+ Pr$#ert.: - Crior to disbursement, the H!" also conducts a site visit to the
customerFs property to ensure that all construction norms have been adhered to properly. *nce
the H!" is satisfied that the property is legally and technically clear, they disburse the loan
amount. +he disbursement from the H!( is on the basis of the stage of construction of the
property.
Pa.(et Pr$ce,*re: - *nce all the above mentioned process, the borrower is entitled to take
the money from the lender party. Intil such time that the entire sanctioned amount is not
drawn, the customer is supposed to pay a simple interest on the %ctual %mount drawn
$without any principal repayments&. +he GM( payments commences only after the entire
sanctioned loan amount is drawn.
90
(4+G-G2+ -%+G2 C-*>(G .P >%-(*I2 .%4H2
Fiace I!tit*ti$
L$a Peri$,
(i .ear!)
FiFe,
EMI J LaC'
(INR)
F"$ati&
EMI J LaC'
(INR)

.ank of .aroda
Ip to 0 B.11 316? 6.11 3136
? to 11 B.30 1391 6.30 133@
11 to 10 B.01 110: 6.30 B@1
1? to 31 B.01 B93 6.01 6?6

2tate .ank *f (ndia
Ip to 0 B.01 3111 6.@0 31@:
? to 11 B.@0 1911 B.30 1361
11 to 10 # # B.30 113B
1? to 31 # # B.@0 B:B

H!"
Ip to 0 11 31@0 B.01 3111
? to 11 11 19@0 B.01 13B:
11 to 10 11 119@ B.01 1100
1? to 31 11 1199 B.01 B99
("("( .ank
Ip to 0 11.@0 31?3 B.01 3111
? to 11 11.@0 19?: B.01 13B:
11 to 10 11.@0 @31 B.01 1100
1? to 31 11.@0 111? B.01 B99

'(" Housing !inance Ip to 0 11.01 31:B B.01 3111
9?
? to 11 11 19@9 B.01 13B:
11 to 10 11 119@ B.01 110:
1? to 31 11 1193 B.01 B93

C4. Housing !inance
Ip to 0 B.11 316? 11.01 3101
? to 11 B.11 13?@ 11.01 1901
11 to 10 B.30 1191 11.01 111@
1? to 31 B.01 B99 11.01 BBB
1? to 31 11 1193 B.01 B93
C4.Housing !inance
Ip to 0 B.11 316? 11.01 3101
? to 11 B.11 13?@ 11.01 1901
11 to 10 B.30 1191 11.01 111@
1? to 31 B.01 B99 11.01 BBB
+he above table illustrates the comparison between the interest rates from various
Housing !inance "ompanies and banks. (t can be seen that if one wishes to go for floating
loans, the bank which gives the best deal as far as the interest rate is concerned is H!"
followed by C4. Housing !inance with the lower rates.
L$cC-i +aci"it. /. /aC! :-
% lock#in, also called a rate#lock or rate commitment, is a lender’s promise to hold a
certain interest rate and a certain number of points for you, usually for a specified period of
time, while your loan application is processed. $Coints are additional charges imposed by the
lender that are usually prepaid by the consumer at settlement but can sometimes be financed
by adding them to the mortgage amount. *ne point equals one percent of the loan amount.&
epending upon the lender, you may be able to lock in the interest rate and number of points
9@
that you will be charged when you file your application, during processing of the loan, when
the loan is approved, or later.
% lock#in that is given when you apply for a loan may be useful because it’s likely to
take your lender several weeks or longer to prepare, document, and evaluate your loan
application. uring that time, the cost of mortgages may change. .ut if your interest rate and
points are locked in, you should be protected against increases while your application is
processed. +his protection could affect whether you can afford the mortgage. However, a
locked#in rate could also prevent you from taking advantage of price decreases, unless your
lender is willing to lock in a lower rate that becomes available during this period.
(t is important to recogni<e that a lock#in is not the same as a loan commitment,
although some loan commitments may contain a lock#in. % loan commitment is the lender’s
promise to make you a loan in a specific amount at some future time. =enerally, you will
receive the lender’s commitment only after your loan application has been approved. +his
commitment usually will state the loan terms that have been approved $including loan
amount&, how long the commitment is valid, and the lender’s conditions for making the loans
such as receipt of a satisfactory title insurance policy protecting the lender.
Ora" $r %ritte "$cC-i a&ree(etG :-
2ome lenders have preprinted forms that set out the exact terms of the lock#in
agreement. *thers may only make an oral lock#in promise on the telephone or at the time of
application. *ral agreements can be very difficult to prove in the event of a dispute. (t is wise
to obtain written, rather than verbal, lock#in agreements to make sure that you fully
understand how your lender’s lock#ins and loan commitments work and to have a tangible
record of your arrangements with the lender. +his record may be useful in the event of a
dispute.
96
C'ar&e! $+ a "$cC-i:-
'enders may charge you a fee for locking in the rate of interest and number of points
for your mortgage. 2ome lenders may charge you a fee up#front, and may not refund it if you
withdraw your application, if your credit is denied, or if you do not close the loan. *thers
might charge the fee at settlement. +he fee might be a flat fee, a percentage of the mortgage
amount, or a fraction of a percentage point added to the rate you lock in. +he amount of the
fee and how it is charged will vary among lenders and may depend on the length of the lock#
in period.
T.#e! $+ "$cC-i:-
L$cCe,-I Itere!t Rate--L$cCe,-I P$it! :- Inder this option, the lender lets you lock in
both the interest rate and points quoted to you. +his option may be considered to be a true
lock#in because your mortgage terms should not increase above the interest rate and points
that you’ve agreed upon even if market conditions change.
L$cCe,-i Itere!t Rate--F"$ati& P$it!:- Inder this option, the lender lets you lock in the
interest rate, while permitting or requiring the points to rise and fall $float& with changes in
market conditions. (f market interest rates drop during the lock#in period, the points may also
fall. (f they rise, the points may increase. Gven if you float your points, your lender may
allow you to lock#in the points at some time before settlement at whatever level is then
current. $!or instance, say you’ve locked in a 11Q percent interest rate, but not the 9 points
that went with that rate. % month later, the market interest rate remains the same, but the
points the lender charges for that rate have dropped to 3Q. /ith your lender’s agreement,
you could then lock in the lower 3Q. Coints.& (f you float your points and market interest rates
increase by the time of settlement, the lender may charge a greater number of points for a
9B
loan at the rate you’ve locked in. (n this case, the benefit you might have had by locking in
your rate may be lost because you’ll have to pay more in up#front costs.
(ndian Gconomy is growing at a nice pace $67 p.a& which is also driving per capita income
rise. +he demand of real estate has reached at a new peak according to ninth five year plan
there is a shortage of :3million houses ..ut in (ndia the figures to =C are smaller in
comparison to the other countries "ontribution of housing to =C is close to 67. 2ources8
4H. .
7-6 ( ,ia MarCet +$r H$(e "$a! i! ($re t'a R!-7<<H<<< cr$re:-
+oday, not only the metros are witnessing the housing crunch even the second tier cities like#
Daipur, .hubneshwar, 'ucknow, +rivendrum etc. are falling into the dearth of living space
and wanting for more expansion.
I,ia Re#$rt:
(ndian credit report in comparison to the other %sian countries is shown in the statistics
below, which is among the lowest. (t is (ndian psyche that credit is termed bad, (ndian are
traditionally not inclined to take credit this reflects in the figures below8#
STAGES OF HOME LOAN
:1
Munirka
HI.
'ogin 2canning
ataGntry
%pplication
COMPAN2 PROFILE
HDFC HOSING DEVELOPMENT FINANCE CORPORATION
LTD
INTRODUCTION8#
H$*!i& Deve"$#(et Fiace C$r#$rati$ Li(ite, , founded 1B@@ by -avi
Maurya and Hasmukhbhai Carekh, is an (ndian 4.!", focusing on home mortgages. H!"Fs
distribution network spans 3:9 outlets that include :B offices of H!"Fs distribution
company, H!" 2ales Crivate 'imited. (n addition, H!" covers over B1 locations through
its outreach programmes. H!"Fs marketing efforts continue to be concentrated on
developing a stronger distribution network. Home loans are also 2harcket through H!"
2ales, H!" .ank 'imited and other third party irect 2elling %gents $2%&.
:1
-ecommendation
*ver$-*>-&
ouble"hecking
*ver$"*>-&
!ixed
charges
isbursement
of loan
T'e L$a
H!" (ncorporated in 1B@@ with a share capital of -s 11 "rores, H!" has since
emerged as the largest residential mortgage finance institution in the country. +he corporation
has had a series of share issues raising its capital to -s. 11B "rores. +he gross premium
income for the year ending March 91, 3116 stood at -s. 3,60? "rores and new business
premium income at -s. 1,?3: "rores. +he company has covered over 6,@@,111 lives year
ending March 91, 3116.
H!" operates through almost :01 locations throughout the country with its
corporate head quarters in Mumbai, (ndia. H!" also has an (nternational *ffice in ubai,
I%G with service associates in Huwait, *man and Ratar. H!" is the largest housing
company in (ndia for the last 3@ years.
SNAPSHOT-I
• (ncorporated in 1B@@ as the first speciali<ed Mortgage "ompany in (ndia.
• %lmost B17 of initial shareholding in the hands of domestic institutes and retail
investors. "urrent @@7 of shares held by foreign institutional investors.
• .esides the core business of mortgage H!" has evolved into a financial
conglomerate with holdings (n8
GRAPH:- 8-3
:3
 H!" 2tandard 'ife insurance "ompany# H!" holds @3.3? 7.
 H!" %sset Management "ompany , H!" holds ?17
 H!" .ank# H!" holds 39.3?7.
 (ntelenet =lobal $.usiness Crocess *utsourcing& , H!" holds 017.
 H!" "hubb =eneral (nsurance "ompany , H!" holds @:7
SNAPSHOT-II
• 'oan %pprovals -s. 61? billion.
$Ip to ec 3116& $I2 S 16.91 bn.&
• 'oan isbursements -s.??B billion
$Ip to ec. 3116& $I2 S 10.31 bn&
• Housing Inits financed 3.0 million.
• istribution
 *ffices 161
HDFC
LTD
94-48K
HDFC
STANDARD
LIFE
8<K
HDFC
ASSET
MANAGEMENT
45-48K
HDFC
0ANI (inclusive of
warrants)
:9
 *utreach Crograms B1
IE2 ELECUTIVE HDFC HOUSING DEVELOPMENT FINANCE CORP LTD :-
Mr- Dee#aC S PareC': - serves as Gxecutive "hairman and "hief Gxecutive *fficer of the
.oard of Housing evelopment !inance "orp. 'td., $H!"&. He ;oined H!" 'imited in a
senior management position in 1B@6. He was inducted as a whole#time director of H!"
'imited in 1B60 and was appointed as its Gxecutive "hairman in 1BB9. He is the "hief
HDFC Li(ite,
T.#e Cublic $.2G8 011111&
F$*,e, 1B@@
Hea,)*arter! Mumbai,(ndia
Ie. #e$#"e -avi Maurya
Hasmukhbhai Carekh
I,*!tr. Housing !inance
Reve*e I2S 1.:B billion $311B&
E(#"$.ee! 1,13B
::
;;;;;;;;
Gxecutive *fficer of H!" 'imited. Mr. Carekh is a !ellow of the (nstitute of "hartered
%ccountants $Gngland ) /ales&.
Mr- I-( (i!tr.: - +he Managing irector of the "orporation. He has been employed with
the "orporation since 1B61 and was the executive director of the "orporation since 1BB9. He
was appointed as the deputy managing director in 1BBB and the Managing irector in 3111.
He is also a member of the (nvestors’ =rievance "ommittee of irectors.
M!- Re* S- Iara,: - +he Gxecutive irector of the "orporation. 2he has been employed
with the "orporation since 1B@6 and was appointed as the Gxecutive irector of the
"orporation in 3111. 2he is responsible for overseeing all aspects of lending operations of
H!".4ew elhi.
0OARD OF DIRECTORS:-
Mr. 2 Carekh # "hairman Mr. 4 =hosh
Mr. Heshub Mahindra # >ice "hairman r. 2 % ave
Ms. -enu 2. Harnad # Gxecutive irector Mr. 2 >enkitaramanan
Mr. H M Mistry # Managing irector r. -am 2 +arne;a
Mr. 2hirish . Catel Mr. 4 M Mun;ee
Mr. . 2 Mehta Mr. M 2atwalekar
:0
GROUP COMPANIES:-
• H!" .ank8 /orld "lass (ndian .ank# among the top private banks in (ndia.
• H!" %M"8 *ne of the top 9 %M"s in (ndia# Creferred investment manager.
• (ntelenet =lobal8 .C* services for international customers.
• "(.('8 "redit (nformation .ureau (ndia 'imited.
• H!" "hubb8 Ipcoming Crivate companies in the field of =eneral (nsurance.
• H!" Mutual !und
• H!" reality.com8 Helps to search properties in all ma;or cities in (ndia
• H!" securities
• H!" 2tandard 'ife (nsurance "ompany 'td %ug, 3111
1OINT VENTURE

H!" 2tandard 'ife (nsurance "ompany 'imited was one of the first companies to
be granted license by the (-% to operate in life insurance sector. -each of the D> player is
highly rated and been conferred with many awards. H!" is rated J%%%’ by both "-(2('
:?
and ("-%. 2imilarly, 2tandard 'ife is rated J%%%’ both by Moody’s and 2tandard and
Coor’s. +hese reflect the efficiency with which H!" and 2tandard 'ife manage their asset
base of -s. 10,111 "r and -s. ?11,111 "r. respectively.
H!" 2tandard 'ife (nsurance "ompany 'td was incorporated on 1:
th
%ugust 3111.
H!" is the ma;ority stakeholder in the insurance D> with 61.:7 staple and 2tandard of as a
staple 16.?7 Mr. eepak 2atwalekar is the M and "G* of the venture.
H!" 2tandard 'ife (nsurance "ompany 'td. (s one of (ndia’s leading Crivate 'ife (nsurance
"ompanies, which offers a range of individual and group insurance solutions. (t is a ;oint
venture between Housing evelopment !inance "orporation 'imited $H!" 'td.& (ndia’s
leading housing finance institution and the 2tandard 'ife %ssurance "ompany, a leading
provider of financial services from the Inited Hingdom. .oth the promoters are will known
for their ethical dealings and financial strength and are thus committed to being a long#term
player in the life insurance industry# all important factors to consider when choosing your
insurer.
ORGANISATIONAL GOALS:- H!"Fs main goals are to 8#
a& develop close relationships with individual households,
b& maintain its position as the premier housing finance institution in the country,
c& transform ideas into viable and creative solutions,
d& provide consistently high returns to shareholders, and
e& to grow through diversification by leveraging off existing client base.
(n addition to home building loans, H!" also offers home extension, home improvement
and home conversion loans. (t also helps to identify and value properties. H!" also offers
depository services in form of term deposits.
T.#e! $+ Pr$,*ct! $++ere,

:@
H!" provide loans to meet all your requirements for you to make that house a home.
• Home (mprovement 'oan
• Home Gxtension 'oan
• 'oans to professionals for office or clinic.
• Home Gquity 'oans $'oan %gainst Croperty&
• 'oan against -ent receivables
• 2hort +erm .ridging 'oan.
• 'oans to professionals for non#residentials premises loan
Ie. A!!$ciate! a, S*/!i,iarie!: - +hese are8#
HDFC 0ANI:-
• 39.3?7 owned by H!"$inclusive of warrants&
• Market "ap I2 S 11 billion
• %-s listed on 4P2G
• (n !ebruary 311B, H!" .ank board approved the merger with
"enturion .ank of Cun;ab T".*CU $1 share of H!" .ank for 3B
2hares of ".*C&
• 1,:13 branches, 036 cities, 3,6B1 %+Ms
• *ver 13 million customer accounts
• Hey business areas. /holesale banking -etail banking +reasury operations
• !inancials $as per (ndian =%%C& for the half year ended 2ept 91,
311B
, +otal net revenues8 -s :6.3? bn, increase of 017 over previous
year
:6
, C%+8 -s B.B3 bn, increase of ::7 over the previous year
HDFC Sta,ar, Li+e I!*race C$(#a. Lt,- (HDFC-SL) :-
Str*ct*re: - 2trong and stable partnership8#
• +ie up with 2tandard 'ife %ssurance "ompany, I.H.
• H!" holds @3.3?7 of the equity of H!"#2'
Pr$,*ct!: - iversified product portfolio covering all life stages and needs8#
• *ffers 31 individual products and 0 group plans along with 0 optional riders
• *ffers 6 fund options with market linked products
Pre(i*( ic$(e a, &r$%t'8 # >alues driven growth8#
+otal premium income of -s. :6.0B bn for !P 16#1B $Crevious year -s 36.0? bn&5 reflecting a
growth of @17 R1 1B#11 growth in total premium of 9:7 over R1 16#1B !unds under
management of group new business increased by 67 in as at Dune 91, 311B as against the
previous year.
C$vera&e: - C$((itte, t$ icrea!i& c$vera&e i a *,er-i!*re, (arCet :- %chieved
a total sum assured of -s. 99.13 bn in respect of 1.30 million lives covered in R1 11 taking
the cumulative sum assured to -s. B16.0 bn covering over 9.?? million lives "laims other
than withdrawalsEsurrenders amounted to -s 1.11 bn .
Di!tri/*ti$: - iversified distribution network to cater to customer preference8 # H!"
network is used to cross sell by offering customi<ed products *perates out of 0@0 offices
across the country serving over:01 locations 4etwork of over 1,?3,111 financial consultants,
9@B corporate agents and other sales intermediaries .
MarCet !'are: - Market share of @.97 $private sector& and :.@7 $overall& in terms of
Gffective Cremium.
:B
Ie. #er+$r(ace i,icat$r! a, /*!ie!! #ractice!: -% diversified distribution mix
including the tied agency and alternate channels
• .anks, brokers, telemarketing, direct sales force +ied agency contributed ?:7
effective premium in R1 11 2trong bank assurance tie#ups with public, private, co#
operative and foreign banks amongst the leading players in the pensions segment
'everaging technology to strengthen processes.
• /orkflow system awarded the best technology innovation
• /eb based facility to service customers and channel partners
HDFC ASSET MANAGEMENT:-
• +ie#up with 2tandard 'ife (nvestments $2'(&
• H!" holds ?17 of H!" %sset Management
• H!" M! offers 9: equity and debt oriented products
• Garned a Crofit after +ax of -s 1.16 billion for !P1B5 -eturn on Gquity8 @07
• Caid a dividend of 1017 for !P1B to equity shareholders
• +otal assets under management $%IM& as at 2eptember 91, 311B, stood at -s.?:@bbn
which is inclusive of portfolio management and advisory
2ervices of -s. 1@1 bn.
• Gquity assets as a proportion of the mutual fund’s %IM is 907.
HDFC PROPERT2 FUND:-
• 'aunched in March 311?
• !irst 2cheme8 H!" (ndia -eal Gstate !und
01
, !und corpus8 I2 S 301 million , fully invested
, omestic, @ year close ended fund
, !unds managed by H!" >enture "apital 'imited
• H!" (nternational !und
, !und "orpus8 I2S 611 million
, (nternational, B year close ended fund
, +argeted at premier institutions and funds across the world
(nterested in taking an exposure in (ndian real estate.
HDFC ERGO GENERAL INSURANCE COMPAN2 LTD:-
• H!" holds @:7 and G-=* $=ermany& holds 3?7
• +he company offers %uto (nsurance, Home (nsurance, =roup %ccident (nsurance,
=roup +ravel (nsurance, "ommercial (nsurance which includes !ire and Marine and
2pecialty (nsurance Croducts like irectors ) *fficers 'iability .
• %chieved =ross /ritten Cremium of -s. 3.: bn.
• *perates out of 36 locations across the country
• H!" network is used to cross sell Home (nsurance ) %ccident (nsurance
• H!" and H!" .ank database is used to cross sell %ccident (nsurance.
TA0LE:-8-6
CONSOLIDATED EARNINGS:-
(A! at Marc' 53H 4<33)
01
HDFC c$!$"i,ate,
Ret*r $ E)*it. 49-:K 4:-4K
Ret*r $ Avera&e A!!et! 4-9K 4-9K

Eari&! #er !'are (R!) :7 ;7
Pr$+it a+ter TaF (R! i /i""i$) 46-58 49-35
T$ta" A!!et! (R! i /i""i$) :3<-;; ;47-:5
DISTRI0UTION NETAORI: - H!"’s distribution network spans 30: outlets that
include 0: offices of H!"’s distribution company, H!" 2ales Crivate 'imited $H2C'&. (n
addition, H!" covers over B1 locations through its outreach programmes. istribution
channels form an integral part of the distribution network with home loans being distributed
through H2C', H!" .ank 'imited and other third party direct selling associates.
+o cater to non#resident (ndians, H!" has offices in 'ondon and ubai and service
associates in Huwait, *man, Ratar, 2har;ah, %bu habi and %l Hhobar, Deddah and -iyadh in
2audi %rabia.
HDFC HOME LOAN ADVANTAGE :-
• Home loan counselling sharing over 91 years of home loan experience
• oor step service
• Helps in finding ream home
• /ide Croduct -ange
• Multiple -epayment *ption
• /ide 4etwork of financing
03
• Cost disbursement service
• 'oan repayment option
AAARDS M ACCOLADES:-
• =oldman 2achs has listed H!" as one among top @ financial services organi<ation
in 311B.
• H!" ranked among the top 9 .est Managed "ompanies in (ndia by !inance %sia in
3116
• 2elected as the best (ndian company in the !(s E 4.!"s E !inancial 2ervices sector at
the un ) .radstreet , %merican Gxpress "orporate %wards 311@ and 3116.
• .est (nvestment Management "ompany in (ndia by GI-*M*4GP 3116
• H!" was awarded a rating of : out of 0 in HarmayogFs J"orporate 2ocial
-esponsibility -atings’ in 3116.
• H!" is featured in the 'imca .ook of -ecords 311@, for the landmark achievement
of -s. *ne trillion in home loan approvals
• H!" was awarded the =old 2hield in the !inance 2ector by ("%( for excellence in
!inancial -eporting in 311?. +his is the 1:th time H!" has been selected for this
award.
• H!" has been awarded the F.usiness 2uperbrandF status.
• H!" has been awarded the F.est Home !inancierF title by *utlook Money , 311?
• Gconomic +imes "orporate "iti<en of the Pear %ward # 4ovember 3110.
FUTURE: - H!" has always been market#oriented and dynamic with respect to resource
mobilisation as well as its lending programme. this renders it more than capable to meet the
new challenges that have emerged. *ver the years, H!" has developed a vast client base of
borrowers, depositors, shareholders and agents, and it hopes to capitali<e on this loyal and
09
satisfied client base for future growth. (nternal systems have been developed to be robust and
agile, to take into account changes in the volatile external environment. H!" has developed
a network of institutions through partnerships with some of the best institutions in the world,
for providing speciali<ed financial services. Gach institution is being fine#tuned for a specific
market, while offering the entire H!" customer base the highest standards of quality in
product design, facilities and service.


0:
CHAPTER-V
ANAL2SIS M INTERPRETATION
ANAL2SIS M INTERPRETATION
+he analysis is based on the responses given by customers through questionnaires.
AGE GROUP OF SURVE2ED RESPONDENTS
TA0LE 7-3:
A&e &r$*# N$- $+ Re!#$,et!
3: - 47 .ear! 349
48 - 57 .ear! 89
58 - 6; .ear! 68
7< - 8< .ear! 46
M$re t'a 8< .ear! 8
CHART-7-3:
00
Aa".!i!:- !rom the chart above we find that :@7 of the respondents fall in the age group of
16 , 30 years, 307 fall in the age group of 3? , 90 years and 1@7 fall in the age group of 9?
, :B years.
+herefore most of the respondents are relatively young $below 3? years of age&. and ?7
respondent’s age are 01#?1 years and 37 respondent’s age are ?1 to above years.
GENDER CLASSIFICATION OF SURVE2ED RESPONDENTS
TA0LE-74
Sr- N$- Cate&$r. N$- $+ Re!#$,et! Perceta&e
1 Married 1:1 @17
3 Inmarried ?1 917
+otal 311 1117
.ase 311 respondents
CHART-7-4:
0?
Iter#retati$
!rom the table and graph above it can be seen that
 @17 respondent’s are married.
 917 respondent’s are unmarried.
E,*cati$a" )*a"i+icati$ $+ re!#$,etN!
TA0LE-7-5
Sr- N$- Cate&$r. N$- $+ Re!#$,et! Perceta&e
1 Inder graduate 01 307
3 =raduate 61 :17
9 Cost graduate @1 907
+otal 311 1117
.ase 311 respondents
CHART-7-5
0@
Iter#retati$
!rom the table and graph above it can be seen that
 307 respondent’s are under graduate.
 :17 respondent’s are =raduate.
 907 respondents are Cost graduate.
N*(/er O+ .earN! Are 2$* i De'ra,*G
TA0LE-7-6
Sr- N$- Cate&$r. N$- $+ Re!#$,et! Perceta&e
1 'ess than five years @6 9B7
3 More than five years 133 ?17
+otal 311 1117
.ase 311 respondents
CHART-7-6
06
Sta.i& .ear! i De'ra,*
Iter#retati$
!rom the table and graph above it can be seen that
 9B7 respondent’s are in ehradun is less than five year’s.
 ?17 respondent’s are in ehradun is more than five year’s.
CUSTOMER PROFILE OF SURVE2ED RESPONDENTS
TA0LE 7-7:
C*!t$(er #r$+i"e N$- $+ re!#$,et!
St*,et 9
H$*!e%i+e 7
A$rCi& Pr$+e!!i$a" 338
0*!ie!! 6;
Se"+ E(#"$.e, 46
G$ver(et !ervice e(#"$.ee 46
C'art-7-7
0B
Iter#retati$
!rom the table and graph above it can be seen that8#
017 of the respondents are working professionals, 337 are into business and 117 are self#
employed, 117 of the respondent’s are government service employee and 97 of the
respondents are student and 37 of the respondents are house#wife.
ANNUAL HOUSE HOLD INCOMEG
TA0LE-7-8
Sr- N$- Cate&$r. N$- $+ Re!#$,et! Perceta&e
1 'ess than 3 lacs B6 :B7
3 .etween 3 to 0 lacs ?3 917
9 .etween 0to 6lacs 91 107
: More than 6 lacs 11 07
+otal 311 1117
.ase 311 respondents
CHART-7-8
?1
Iter#retati$
!rom the table and graph above it can be seen that
 :B7 respondent’s annual household income is less than 3 lacs.
 917 respondent’s annual household income is between 3 to 0 lacs.
 107 respondent’s annual household income is between 0 to 6 lacs.
 07 respondent’s annual household income is more than 6 lacs.
D$ .$* C$% a/$*t HDFC '$*!i& ,eve"$#(et +iace c$r#$rati$ LTDG
TA0LE 7-9:
Cate&$r. N$- $+ Re!#$,et!
Pes 1?:
4o 1?
CHART:-7-9
?1
A%aree!! a/$*t HDFC LTD
Iter#retati$:-
!rom the table and graph above it can be seen that
 B17 respondent’s are known about H!" '+
 B7 respondent’s are not known about H!" '+

o Ta/"e 7-::-
Rea!$! +$r &etti& t'e '$(e +iace,
Sr-N$- N*(/er $+ Rea!$! Perceta&e
a. 4on#availability of funds 9?
b. -eluctancy to pay cash in one go 90
c. +ax benefit 3:
d. %ny other 0
GRAPH:- 7-:
?3
Iter#retati$ 8#
+o interpret the response of the questions, the figures shows that most of the
customers find the problem in availability of funds i.e. 9?7 and very less number of
customers found problem in paying cash in one go is 907, customers get housing loan for tax
benefits is 3:7. +his was the expected response because a large number of people find a
problem of availability of funds which works as an obstacle in owning a dream home.
(n todayFs life, people hardly earn both means and ends of life and they donFt have
much of money to buy a home or a land to construct house because of cost of property. 2o,
they take the advantage of home loans provided by different banks at different terms feasible
to the customers. +here are very less number of people, who donFt own home even when they
?9
have sufficient funds and they take the advantage of home loans because they donFt want to
pay huge cash in one go.
*n the basis of study, it is concluded that most of people lack of money in fulfiling
their dreams and few of them were reluctant to pay cash in one go and wanted to pay their
home loans slowly in installments.
Ta/"e-7-;
Fr$( %'ere .$* 'ave &$t .$*r '$(e +iace,
Na(e $+ 0aC! J c$(#a. Perceta&e $+ c*!t$(er!
H!" '+ 00
Cun;ab 4ational .ank 10
2tandard "hartered .ank 16
("("( .%4H 31
%ny other 19
?:
+o understand the response more effective and closely, it has been showed diagrammatically
as follows 8#
=-%CH8# 0.B
?0
!rom where you have got your home financed
Iter#retati$:-
+he analysis showed that a large number of customers prefer H!" '+ as
compared to others. +he data shows that @7 of customers took loan from 2tandard "hartered
.ank, 317 of customers from ("("( .%4H, 107 "ustomers took loan from Cun;ab 4ational
.ank, 007 of customers took loan from H!" '+ and a 97 of customers fall under the
category of F%ny otherF which included 2tate .ank of (ndia, "anara .ank, Cun;ab and 2ind
.ank, etc.
+he data shows that most of people prefer H!" '+ compared to public sector
banks and other private banks. +his is because of the extra services provided by H!" '+.
However, there is less difference in figures of ("("( .ank and Cun;ab 4ational .ank. .ut
there is considerable difference in figures of the two private sector banks i.e. ("("( bank and
2tandard "hartered .ank. %s ("("( is the market leader in the home loans sector. +his may
be the reason for such difference in 2tandard "hartered .ankFs percentage and ("("( .ankFs
??
percentage. %nother reason for speciali<ed services in home loans, more amounts of loans,
and efficient query handling.
However, the analysis showed that the people prefer H!" '+ for home loan
because of their services and excessive feat compared to other banks.
?@
CHAPTER-V
FINDINGSH SUGGESTIONS AND
CONCLUSION
FINDINGS
1. H!" '+ having good brand image in the minds of customers.
?6
3. Ma;ority of the people got loans from H!" '+ only
9. Most of the customers are not aware of the products of H!" home loans
:. 2ome of the customer’s felt that the interest rates are some what high
0. 2ome of the customer not having good faith on private banks like 2tandard chartered
bank, H2." bank etc.
?. Most of the people are directly go to H!" to apply a home loan
@. 2ome of the customer of H!" already benefited through H!" home loan products
and services
6. "ustomer awareness is medium about H!" products.
B. H!" '+ providing good services to their customers.
RECOMMENDATIONS AND SUGGESTIONS
T'e!e !*&&e!ti$! 'ave /ee ,i!c*!!e, a! +$""$%!:-
?B
1& +o increase their customers, the H!" '+ should provide speciali<ed services in
this sector. +hese services can be such as proper guidance to the customer regarding the
processing of loans, especially for the customers who are illiterate.
3& +o satisfy their customers and for good dealings in future, the H!" '+ should
make prompt disbursement of loan amount to the customers so that they can buy or construct
their dream home as early as possible.
9& +he H!" '+ should use easy procedure, or say, less lengthy procedure for the
sanctioning of loan to the customer. +here should be less number of legal formalities, in case
this exists, then, these should be completed in less time. +his will be helpful in attracting
more customers.
:& %lthough the interest rates on specific norms, yet customers seek less interest rate
which can lower their cost of house. 2o banks should try to lower their interest rates. 4eedles
to say, that the bank which is having lower interest rates, have the maximum clients for loans.
0& H!" '+ provide loan according to the repaying capacity of the customer and
hisEher eligibility. ue to which, some customers are not able to get amount of loan needed
by them. 2o, the H!" '+ should soften their norms regarding the loan amount.
?& "reate awareness8 +he "ompany has to take care of awareness creation about the
products and services among the customers.
@& "harges8 +he "ompany has to reduce the mortality and administration charges.
6& +he company has to reduce their interest rates on home loan products and services.
B& +he company has to identify the potential customers.
11& "ompany should consider the present competition and should act according to the
customer needs.
@1
11& +he H!" '+ should try to provide proper knowledge regarding their home
loan schemes, even to people who donFt know about such schemes and their benefits
especially in rural areas. 2o they should provide knowledge to the ignorant customers,
especially in rural areas and backward urban area 2o, above are the main suggestions
provided to the H!" '+. .y considering these suggestions, the H!" '+ can
strengthen their customer base in home loans sector. +hey should improve their services and
reduce legal proceedings and should be friendly to their customers. %ll this will be helpful to
satisfy their customers.
CONCLUSION
@1
1& (n my study we came to know that many peoples are interested to take a home loan from
H!" '+ to construct their homes.
3& Home loans have long period when compare to other personal loans and other loans. 2o
peoples are confused to take a home loan.
9& Gven though the interest rates are high peoples are willing to take a loan from H!" '+
due to some reasons.
:& +he interest rates also some what high when compare to other banks
0& +he loan sanction process is low when compare to other banks.
?& !or disbursement process is also it will take low time when compare to other banks
!inally the whole research was carried out in a systematic way to reach at exact
results. +he whole research and findings were based on the ob;ectives. However, the study
had some limitations also such as lack of time, lack of data, non#response, reluctant attitude
and illiteracy of respondents, which posed problems in carrying out the research. .ut proper
attention was made to "arry out research in proper way and to make accurate conclusion for
the H!" '+ which may beneficial for banks to enhance their customer base.
0I0LIOGRAPH2
@3
REFERENCES
REVIEAS
 .erstain avid$311B&, NHome equity loans and private mortgage insurance8 -ecent
+rends ) Cotential (mplicationsO, >ol.9 4o.3, %ugust 311B, Cp. :1 # 09
 r. -angara;an ". $3111&, N% 2imple Grror "orrection Model of House CriceO.Dournal
of Housing Gconomics >ol. :, 4o. 9,pp 3@ , 9:
 !anning $1B63&, N+he emand for Home Mortgage ebtO Dournal of Irban
Gconomics, >ol 11 4o 3, 4ovember, pp. @@1#@@:
 =odse $1B69&, Nlooking a fresh at banking productivityO, Dournal of -eal Gstate
'iterature, >ol. 4o. 19, Cage 1:1 to 1?:.
 Haavio, Hauppi$3111& , N-esidential 'ending to 'ow#(ncome and Minority !amilies8
Gvidence from the 1BB3 HM% ata,M !ederal -eserve .ulletin,>ol no 61$3&,
ecember 3111 Cp#@B#11B
 Hulkarni $1B@B&, Nevelopment responsibility and profitability of banksO Dournal of
Gconomic Cerspectives, >ol B 4o 1 ,pp. 3?#93.
 'a courr, Micheal$3116& , NGconomic !actors %ffecting Home Mortgage isclosure
%ct -eportingO +he %merican -eal Gstate and Irban Gconomics %ssociation, >ol.3
4o. 3 May 16, 3116, Cp. :0 #06
 'a cour Micheal$311@& , N+he Home Curchase Mortgage Creferences *f 'owand#
Moderate (ncome HouseholdsO, !orthcoming in -eal Gstate Gconomics , >ol 16, 4o :
, ecember 31, 311@, p. 060.
 >andell ,kerry $311B&, N2ubprime lending and housing bubble8tail wag
dogLO(nternational Dournal of .ank Marketing, vol 31,no 3, pp. 09#@
 .rochure on home loans from H!" '+
@9
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@:
@UESTIONNAIRE
ear 2irE madam
( am RaCe!' c'ette doing M.% from *2M%4(% I4(>G-"(+P. ( m preparing a pro;ect on A
AORIING OF HOUSING FINANCE COMPAN2- !or this ( have designed a Ruestionniare to
know your views and satisfaction level of home loans .please fill the given as per your
thinking and experiences with this. ( will be thankful to you for this.
1. 4ame8 VVVVVVVVVVVVVVVVVVVV
3. %ge8
$a& .elow 91 $b& 91#:1 $c& :1#01 $d& %bove 01
9. *ccupation8
$a& Crofessional $b& 2elf#employed $c& 2alaried
$e& *thers
:. /hich income group do you belongL $Cer annum&
$a& .elow 3 lakhs $b& 3#: lakhs
$c& :#? lakhs $d& ? lakhs and above
0. Have you ever taken Home loan beforeL
$a& Pes $b& 4o
?. (f yes, from which .ankEcompanyL
$a& ("("( $b& H!" $c& I+(
Na(e: YYYYYYYYYYYYYYYYYYYYYYYYYYY..
A,,re!!: YYYYYYYYYYYYYYYYYYYYYYYYYY..
C$tact N$ :OYYYYYY$ *&YYYYYY $M&YYYYYYYYY
Cit.: YYY...............Pi: YYYYYYY.State: YYYYYYYYY.
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$d& "enturion bank of Cun;ab $e& others
@. %re you 2atisfied with the services providedL $on 0 point scale&
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Highly dissatisfied 4eutral satisfied highly
dissatisfied dissatisfied
6. /hile taking loan, which things attract you the mostL
$a& (nterest rates $b& 2ervice Crovided
$c& Cay back period $d& 2chemes
$d& *thers
B. Gven if the (nterest rate is high for the personal loans, you will go for itL
$a& Pes $b& 4o
11. How much loan amount you tookL
$a& 'ess than 1 lakhs $b& 1#0 lakhs
$c& 0#11 lakhs $d& more than 11 lakhs
11. Gven if the (nterest rate is high for the Home loans, you will go for itL
$a& Pes $b& 4o
13. o you own a homeYL
Pes Z [ 4o Z [
(f Pes, then, CroceedYYY
19. Have you get it financedL
Pes Z [ 4o Z [
@?
(f Pes, then, proceedYY..
1:. /hat is reason for getting it financedL
1. 4on availability of funds Z [
3. -eluctance to pay cash in on go Z [
9. +ax benefit Z [
:. %ny other $please specify& .........................................
10. !rom which of the following banksE company you have got if financedL
2tandard "hartered .ank Z [ 2tate .ank of (ndia Z [
("("( .ank Z [ HDFC LTD P Q
%ny other $please specify& ...........................................
1?. !rom where have you got information about home loans schemeL
$"heck list&YYYYYYY..
4ewspapers Z [ Maga<ines Z [
HoardingEbanners Z [ /ord of mouth Z [
%ny other $please specify&...........................................
1@. /hat problems did you face while getting home loansL
a. 'ack of knowledge
b. Crocedural delays and non cooperation
c. %ny other $please specify& ........................................
16. id you face any problem after sanction of loanL
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1B. /hat suggestions do you want to give for improvements in home loans 2chemeL
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THANIS
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