ValuePickr Forum

Housing Finance Company Stock

Dear All,

Please help me to choose one of stock form below housing company stock.

Dewan Housing,Can Finance,LIC Housing,Repco Home Fiannce,Gruh fiannce and HDFC.

Thanks and regards,

My Choice has been Gruh and Repco catering to Tier 2 and 3 cities with limited competition with huge opportunity considering the market size potential

There was a very good discussion at Hitesh Portfolio Q&A thread and Repco finance related thread. Please refer the same to take a call.

PS: Holding Gruh, Repco, and Can Fin homes in my PF.

DHFL, Bajaj Finance, Gruh, Repco Home Fiance & CanFin Home Finance - all have their own NICHE business segments.

Apart from being into Consumer Finance, Bajaj Finance is also into Big Ticket (Ticket Size: 1 Crore+) Housing Finance while Gruh & Repco Home Finance are into Affordable Housing Finance (Ticket Size: <= 15 Lakhs). Also, Gruh is foucssing more on rural & semi-urban areas while Repco is into Housing Finance for non-salaried people (Business Persons who don’t have Income Tax Documents). CanFin Home Finance is into small & medium ticket home loans mainly into rural India. Gruh is mostly into Gujarat & Maharashtra while Repco has strong presence in South India - mainly in TamilNadu. But then, Maharashtra & Tamil Nadu account for around 40% Home Loans in India. DHFL is also into Small & Medium Ticket Home Loans and is on a major expansion drive. DHFL is the 2nd LARGEST Private Home Finance co. in India. Repco & Gruh have very less competition because of their unique business models & target segments. HDFC does not have any niche segment as such & has too many competitors. But both HDFC & Gruh have strong management pedigree. That’s one of the reasons why their shares have high P/E ratio.

Remember, every investor has to pick & choose stocks as per his / her RISK Appetite and conviction.

Affordable housing getting infrastructure status