Muthoot Housing Finance Company Limited (MHFCL) expands presence in Rajasthan

Udaipur / Chittorgarh : Muthoot Housing Finance Company Limted (MHFCL), subsidiary of one of the largest NBFCs in India, Muthoot Fincorp Ltd. and the affordable housing finance company as part of the of Muthoot Pappachan Group (also known as Muthoot Blue), today announced that itis strenghtening its presence in Rajasthan. The company has opened 4more branches in 4 cities of Rajasthan, namely Udaipur, Sikar, Rajsamandh and Chittorgarh. MHFCL operates with the business philosophy of providing low cost credit to people belonging to the Economically Weaker Section (EWS) and Lower Income Groups (LIG) in the unorganised sector.MHFCL will be offering home loans ranging from purchase from builder, resale purchase, self-construction loans, home extension, home improvement and loan against property through these newly opened branches.

MHFCL started its operations in Rajasthan in 2014 with its first branch in Jaipur and with the opening of the new branches, the total count of the company’s branches in Rajasthan has increased to 10. Additionally,  Muthoot Fincorp Limited has 30 outlets in the state within 30 km range of an MHFCL outlet that act as a sourcing point for leads. This expansion has come in the wake of the company’s growing focus in the state to realise the common man’s dream of owning a home. The company will continue its focus and expansion in the north-Indian state and aims to gradually double up the current number of branches by FY 20-21. The state has been one of the top performing regions for MHFCL and the company is looking at increasing its book size in Rajasthan from ₹ 57 cr. in the beginning of the fiscal to ₹ 100 cr. The objective of the company is to elevate North India’s contribution to 20% by end of FY20-21 and majority of this is expected to come from Rajasthan.

Mr. Pavan K. Gupta, Chief Executive Officer, Muthoot Housing Finance Company Limited said, “There is a considerable demand for affordable housing in Rajasthan owing toincreased commercial activity and positive buyer sentiment. By bolstering our presence in the state, we aim to contribute towards home ownership for people belonging to the lower income groups. With the useoftechnology, we would be able to quicken the process of approving these loans. Our offerings arealigned to the Group credo of ‘Empowering Human Ambition’ and we aim to serve the common man byproviding him with low cost credit to realisehisdream of owning a house”.

Speaking about Credit linked Subsidy Scheme (CLSS),he added, “The Government of India started CLSS under the Pradhan Mantri Awas Yojna (PMAY) to realise its vision of ‘Housing for All’ by 2022. Under this scheme, affordable housing customers can avail interest subsidy upto Rs. 2.67 lakhs. The MHFCL team actively promotes the CLSS scheme to all its prospective customers so that they can leverage its benefits. The company has been hugely successful in enabling customers to avail the CLSS subsidy. Till date, MHFCL has extended CLSS subsidy to more than 1600 families with total subsidy amounting to Rs 35 Crores. In Rajasthan, MHFCL hasbooked 229 cases under CLSS amounting to ₹ 18.20 cr. till date. Subsidy amounting to ₹ 1.76 cr. has been granted to 83 customers while the rest are in process.With the opening of 4 new branches, we hope to extend the subsidy to many more deserving customers.”

MHFCL was established in 2012 and caters to the housing finance needs of people belonging to the lower income category who are generally not catered by normal banking channels.It is currently present in 71 locations across 10 states and 1 UT. The company is deeply focussed on making housing finance available to the common man at attractive terms.