New Delhi, June 30 -- Home loans, which account for ~68% of assets under management (AUM) are expected to grow at 17-18 per cent in fiscals 2027 and 2028. According to Crisil Ratings, the overall AUM growth of affordable housing finance companies (A-HFCs) is projected to remain steady at 19-20 per cent this fiscal and the next, aligning with the ~19 per cent growth observed last fiscal.

Loans against property (LAP), the other major business segment, are expected to grow faster at around 23 per cent over the same period, even as lenders strengthen underwriting in some borrower cohorts. The steady expansion of A-HFCs remains underpinned by macro fundamentals such as rising urbanisation, favourable demographics, and low mortgage penetration...