HDFC not to raise home loan rates: Parekh

Mumbai, June 15: Housing Development Finance Corporation Ltd (HDFC) Chairman Deepak Parekh today observed that it will not raise home loan rates for now despite an ''upward pressure'' in cost of funds.

Addressing the reporters after announcing the tie-up between HDFC Standarad Life Insurance (HDFC SL) and Bank of Baroda (BoB), Mr Parekh said he expected a 10-20 per cent fall in property prices in three to six months and demand for home loans would also ease.

''As property prices have peaked, demand for loans will slow down,'' he said.

Replying to another query, Mr Parekh said HDFC's housing loans were expected to rise 25-30 per cent in this financial year, notwithstanding the property prices soaring.

UNI