Home loan origination volumes decline 9% in June quarter, says report

Home loan originations dropped 9 per cent in the June quarter, according to a report released on Monday.

From a value perspective, quantum of home loan originations was at par with the year-ago period, the report by credit information company Transunion Cibil said.

The outstanding balances on home loans grew only 14 per cent during the quarter, making it the slowest growth across all categories which constitute retail lending, the report said.

Interestingly, the decline in origination volumes and the sluggish growth in outstanding balances came at a time when the incidence of non-payment of loans reduced during the quarter, the report said, pointing out that the advances overdue for over 90 days stood at 0.9 per cent in June 2024, showing a 0.32 per cent improvement.

"India's retail credit growth moderated in the quarter ending June 2024 as financial institutions tightened the supply of credit, particularly on consumption-led products like credit cards, consumer durable loans and .