NEW DELHI: The housing finance regulator NHB has granted certificate of registration to Satin Housing Finance, wholly owned subsidiary of Satin Creditcare Network (SCNL), to commence housing finance business.
SCNL is a microfinance company.
“On November 14, 2017, NHB (National Housing Bank) has granted certificate of registration to Satin Housing Finance to commence housing finance business,” SCNL said in a statement.
Satin’s board had approved the formation of a wholly- owned housing finance company and its entry into affordable housing segment in February 2017.
Citing a Crisil research, the company said the current market for low ticket housing finance segment, comprising less than Rs 25 lakh, stood at Rs 780 crore as of 2016-2017. This is expected to grow annually by 15-20 per cent to reach a market size of Rs 1,550 crore by 2020-21.
The market for low ticket housing finance in rural and semi-urban areas is highly underpenetrated, and thus offer a large potential for growth in this segment, Chairman and MD of the company H P Singh said.
“We plan to primarily cater to self-employed non- professionals (SENP) as this segment forms 50 per cent of India’s working population,” Singh said.
On a consolidated basis, Satin had an asset under management of Rs 4,493 crore as on September 30, 2017.