IIFL Home Finance reports loan book growth of 19% in Q2

IIFL Home Finance Ltd, a subsidiary of IIFL Finance Limited has reported a growth of 19% in its loan book to Rs 15,320.99 crore in the second quarter as against Rs 12,892.74 crore a year ago.

Additionally, the company’s profit after tax grew by 70% year-on-year (YoY) to Rs 284.02 crores by the half-year ending on 30th September 2021.

The company also reported a stable net NPA at 1.40 % with a provision coverage ratio of 125.52%.

In a statement issued, IIFL housing said, “It has signed an agreement with Punjab National Bank, ICICI Bank for sourcing and servicing of housing loans and loan against property, Co-lending with Central Bank of India for home loans and Standard Chartered Bank for extending credit to MSME loans (loan against property).

IIFL HFL has disbursed loans totaling Rs 170 crores to date under these arrangements.

Further updating on the report, the company also announced the launch of its new Green Home Loan product, emphasizing the Green affordable housing eco-system in India. 

“With the new product, IIFL HFL offers its new Home Loan customer an interest discount of 0.25%, if the customer applies Home Loan for a home or flat at a project pre-certified by IGBC (Gold/Platinum rating) or GRIHA (4/5 star rating). This offer is applicable for all new Home Loan customers across the country, who meet all product-related prerequisites and conditions as defined by the company,” the company said.

Commenting on the development, Monu Ratra, ED & CEO of IIFL HFL said, “We believe that there is merit in the co-lending model because it allows us to get the best rates for our retail customers. With our strength of 100% digital onboarding and the rate benefit to the customer through this co-lending model, we aim to penetrate deeper into markets and geographies with our expertise.”

“IIFL HFL has a strong and growing footprint in non-urban locations, and as the demand for housing picks up, we are not only strengthening our reach but also propagating sustainable green housing in India through our initiative eKutumb. With the launch of Green Home Loan, we want to encourage our customers and potential home buyers to opt for a more sustainable lifestyle, starting with investing in green-certified housing,” Ratra added.

IIFL HFL recently announced its association with the Asian Development Bank (ADB) and they are coming up with a series of their flagship Kutumb events, which is an initiative towards Green Buildings.