mortgage to gdp ratio in india

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Mortgages are one of the most important loans available when you’re buying a house. Mortgage-to-GDP ratio in India is one of the components of housing market analysis that lets you know how affordable homes are in your city. The home loan market in India is driven by two factors viz., income and interest rates.

India Mortgage market is growing rapidly, with a clear dominance of banks and other financial institutions. A recent HSBC survey has stated that Indian mortgage market is going to grow at a CAGR of 22% over next 3 years and reach Rs 6 lakh crore by the end of 2018. But this sudden surge in the mortgage industry raised several key concerns like – whether Indian Banks will be able to service this growing demand? What are the key drivers fuelling growth of India’s mortgage market? How competitive would be Indian Mortgage industry with 27 emerging markets in 2015?

Mortgage to Gdp Ratio in India is recorded at 17.67 percent in 2011-12. The mortgage to gdp ratio increased from 17.19 percent in 2008-09 and has averaged 18.03 percent since the series started in 1975-76. Mortgage debt covers only a part of the individual lending market, as it covers loans given by banks, housing finance companies (HFCs) and non-banking financial companies (NBFCs) to individuals seeking personal loans but not including the corporate lending market, which forms a significant portion of the total borrowing needs of an economy…

The banking and financial services industry in India is one of the fastest growing sectors owing to a rise in the number of first time home buyers as well as a favorable environment for financial education. The Mortgage Industry Development service by FICCI, clearly points out that around 2 lakh HFCs (home finance companies) will be required to fulfill the housing needs of 110 million home buyers. This has led to a rise in the number of home loans in India during the recent few years.

Wondering if you should pick up a home loan and what to look for in the market? Fortunately, you are not the only one facing this issue. The interest for the home loan market in India is growing at a rate of 20% per year.

Mortgage to GDP Ratio in India: Whats the News?

Introduction:

Mortgage to GDP Ratio in India is a key indicator of economic health. It provides insights into how different countries are doing economically and how they might improve their performance.

The Mortgage to GDP Ratio in India is calculated as the sum of all outstanding mortgages, excluding housing loans, divided by the country’s gross domestic product. The average value of all outstanding mortgages was Rs 71,824 crore in 2017.

What is the Mortgage to GDP Ratio in India.

The mortgage to GDP ratio is a measure of the number of mortgages per capita and is used as an indicator of the country’s economy. A high mortgage to GDP ratio can be indicative of a country that has an easy time borrowing money to fund its current operations, while a low mortgage to GDP ratio may be indicative of a country that is more difficult to borrow money from and require higher levels of collateral.

A high mortgage to GDP ratio can also suggest that there is a lot of demand for housing in the country, which could lead to increased home prices. Conversely, a low mortgage to GDP ratio may indicate that there is limited liquidity available for loans and could lead to reduced economic activity.

The Mortgage to GDP Ratio in India has a Positive Effect on the Economy.

The Mortgage to GDP Ratio in India can have a positive effect on the economy if it leads to more borrowers taking out mortgages and spending their money in the economy. This would increase the amount of money available for businesses and consumers to spend, which would add jobs and boost the economy overall. Additionally, when people are able to afford more cars or homes, this would lead to faster growth within society.

How to Reduce the Mortgage to GDP Ratio in India.

One way to reduce your mortgage to GDP ratio is to reduce the amount of mortgages you own. This can be done by refinancing or by buying a property that is easier and cheaper to manage. Additionally, improving your neighborhood can also help lower your mortgage to GDP ratio. To do this, you may want to focus on areas with low crime rates and high living standards.

How to Reduce the Mortgage to GDP Ratio in India.

The mortgage to GDP ratio in India is a critical measure of the country’s financial stability. To reduce the amount of mortgages you own, it is important to reduce your income. This can be done through increased employment or through increasing your spending on goods and services instead of borrowing money. Additionally, improving your neighborhood can help improve your quality of life and reduce the need for borrowings.

Conclusion

Reducing the Mortgage to GDP Ratio in India can improve the economy by increasing the amount of money people can afford to borrow, improving neighborhoods, and reducing the amount of income people have to pay. By making small changes to your life, you can impact the overall health and well-being of your community.

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