Key Points
Housing finance is a business where perception is that because it is largely secured lending, chances of companies going down under are very low..
But if one looks at the history, there are enough local companies and global corporations which have gone down under in the housing finance space..
Despite all the ills, one of the biggest wealth creators in the history of the Indian stock market has been a housing finance company, erstwhile HDFC which now merged with HDFC bank..
The NBFC crisis of 2018 is completing 5 years, it was by this time of year that ILFS had started making it to headlines..
If one looks at the root cause of the NBFC crisis, it is clear, beside the lending issues by Yes Bank, it was housing finance companies which were at the centre of the crisis..
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