Home Loans from Rs. 50 Lakh-1 Crore become Top Choice of Homeowners

High-value house loans saw a sharp increase in demand, according to MagicLoans, with the Rs. 50 lakh–Rs. 1 crore range becoming the most popular in Q4 2024 (October–December 2024). A growing preference for premium housing is evident from the fact that this category accounted for 36% of all house loans disbursed by the Magicbricks platform during the quarter.

The next largest group, accounting for 33.7% of all disbursements, was the Rs. 10 lakh to Rs. 50 lakh category.

With 30.6 percent of all home loans given, Pune was the largest contributor, followed by Hyderabad (22.6 percent), Bengaluru (17.3%), and Gurugram (14.2 percent).

The largest average loan ticket size was also reported in Gurugram, indicating a considerable demand for upscale real estate.

Additionally, the website disclosed that housing loans with a ticket size of between Rs. 50 lakh and Rs. 1 crore in Q4, disbursements increased by 80%, a sign of growing housing costs and a move toward aspirational living. Furthermore, compared to January–March 2024, Magicbricks' total number of home loans disbursed more than doubled between October–December 2024, highlighting the strong demand in the housing market.

Sudhir Pai, CEO of Magicbricks states, "For the first time in nearly five years, the RBI has cut the repo rate, which lowers borrowing costs for homebuyers and developers, enhancing affordability and stimulating housing demand. It also aligns with government initiatives like the SWAMIH Fund, which aids stalled projects and ongoing efforts to boost affordable housing. Easier capital access for developers is expected to drive supply growth, fostering a favourable real estate market."