National Housing Bank tightens refinancing rules to check ‘misuse’ of home loans
MUMBAI: The National Housing Bank (NHB) has introduced stricter guidelines for refinancing home loans in under-construction properties. In an order to home financiers, the NHB said it would now provide refinance only for loans where less than half the construction is complete during the first disbursement. This rule specifically applies to loans taken for construction on plots or for building homes on self-owned land, said the order. “In cases where HFCs extend loans to individuals for ongoing construction, refinance from NHB will be available only in respect of loans where not more than one-half of the construction has been completed…