"By the end of the month, we plan to provide 40-year loans. But we have made Vaastu construction of houses mandatory, because the basic philosophy of our company is to propagate Vedic construction," said Maharishi Housing managing director S R Sinha.
The main feature of Vaastu construction is that the houses must face east. The loans would be vetted by Vaastu experts and the interest for the 40-year loans would be variable and linked to the prime lending rate, Sinha said. Until now, ICICI used to provide the longest tenure loans of 30 years.
The company hopes to get long-term finance from multilateral agencies to fund this ambitious plan. The loans would be extended to borrowers in the age group of young individuals of about 20 years, or their guardians in the age of about 50 years, with a clause that their children would repay the loans after the retirement or death of the guardians.
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The company has received a certificate of registration from the National Housing Bank, and has also been approved for NHB refinance.
The company plans to enter into a technical collaboration with a US-based mortgage finance company to bring in the latest technology in housing loan products.
It plans to disburse an ambitious amount of Rs 500 crore on individual housing loans in the next five years.
The firm charges an interest rate of 12.5 per cent, 14.5 per cent and 15.5 per cent for loans of Rs 25,000; between Rs 25,001 and Rs 10 lakh; Rs 10 lakh and Rs 25 lakh respectively.