Low-cost housing loans of Rs. 15 lakh to get 1 percent interest sop

New Delhi:The government said low- cost housing loans of Rs. 15 lakh will be eligible for one percent interest subsidy, which will help in increasing the demand for such housing.

In his Budget speech, Finance Minister Pranab Mukherjee said he is liberalising the existing scheme of one per cent interest subvention on housing loans up to Rs. 15 lakh, where the cost of house does not exceed Rs. 25 lakh.

The existing interest subsidy is on loans of Rs. 10 lakh where the cost of house is Rs. 20 lakh.