Uptrend in realty loans, SBI says

The India’s biggest money lender State Bank of India (SBI) has witnessed of sharp rise in loans in real estate sector. According to the fresh reports and data shows that comparatively with the previous year’s figures in the current fiscal year realty sector has an uptrend with 3.3percent (Previous years 13.7% and current year 17%).
Contrary to this situation market experts anticipated that “this growth will lead to realty sector to higher bad loans for SBI.
For the quarter ended September, SBI’s gross non-performing assets, or NPAs, grew to 4.19% of total assets, from 3.35% a year earlier, the highest in the industry.
Reportedly, several market analysts said that “realty market is facing downturn so similarly housing finance will also be affected by due to slowdown,” they also added that, homebuyers are loosing their faith in realty market due to rising home loan rates.