Godrej Group Enters Housing Finance Business
On 10th November, 2020, the Godrej Group announced its foray into the financial services industry with the launch of Godrej Housing Finance, in keeping with the increasing demand for Home Loans. As per a press statement released by the Group, Godrej Housing Finance (GHF) aims to “build a long-term, sustainable retail financial services business in India, aiming for a balance sheet of about ₹10,000 crore in the next three years.”
GHF will commence its home loan operations in Mumbai, NCR, Pune and Bengaluru, partnering with developers, including Godrej Properties. It will offer competitive pricing with lowest interest rates starting at 6.69% and will look at disbursing at least ₹1,000 crore, in this fiscal.
Pirojsha Godrej, Chairman, Godrej Housing Finance, said, “We are excited to launch our financial services business. This is the first step in what we hope will be another important pillar of growth for the Godrej Group. The increasing formalisation of the real estate sector combined with the dislocation in the residential real estate and housing finance markets makes this a particularly interesting opportunity at the current moment. We hope to deliver value to the Indian home buyer with a deep focus on fair, fast, and flexible home loans that delight our customers.”
Manish Shah, Managing Director and CEO, Godrej Housing Finance, added, “We believe that the Housing Finance market is underpenetrated and underserved. The industry is also plagued with being complex and convoluted with hidden conditions and painfully long customer journeys. We aim to correct this and usher a refreshingly simple and transparent way of doing business. We want to give customers a home loan that is customised to what’s important to them, basis their housing needs, financial capability and convenience.”
Godrej Housing Finance intends to focus on the mortgage business starting with home loans, followed shortly by Loans Against Property. In the near future, the company will expand its product portfolio to offer Business and Personal loans, leveraging the Group’s consumer and agri business ecosystems to build these verticals.
