Mumbai: HDFC Ltd, the biggest player in the home loan segment, reduced interest rates on floating housing loans by 0.5% on 24 September.
The change comes into effect from 24 September itself, a HDFC spokesperson told PTI here.
This reduction will be on fresh loans and applicable to all disbursements up to 31 October.
However, there is no change in the fixed home loans rate, which remains at 13.25%.
The rate cut comes after HDFC Chairman Deepak Parekh said on 21 September the funding costs have come down.
Parekh had said he expected loan growth in the second quarter of this fiscal at 26-27% for HDFC and 20-25% for the whole fiscal.
“Property prices have softened, sales have slowed down and the investor is out of the system,” he had said.