Ten large housing finance companies in India, by assets under management or loan portfolio reported for 30 June 2026, are LIC Housing Finance, Bajaj Housing Finance, PNB Housing Finance, Tata Capital Housing Finance, Can Fin Homes, Aadhar Housing Finance, Aavas Financiers, Home First Finance, Aptus Value Housing Finance and India Shelter Finance. The main points of comparison are regulatory status, rate benchmark, loan-to-value limits and prepayment rules.
Top 10 Housing Finance Companies in India at a Glance
The table lists ten housing finance companies (HFCs) in descending order of the assets under management (AUM) or outstanding loan portfolio each company reported for 30 June 2026 in its first-quarter FY2026-27 results. It is not a complete ranking of every HFC registered in India; companies whose figures were not checked are left out.
| Company | Reported figure as of 30 June 2026 (₹ crore) | Measure reported |
|---|---|---|
| LIC Housing Finance Limited | 3,22,098 | Outstanding loan portfolio |
| Bajaj Housing Finance Limited | 1,49,624 | AUM |
| PNB Housing Finance Limited | 93,021 | AUM |
| Tata Capital Housing Finance Limited | 89,416 | AUM |
| Can Fin Homes Limited | 42,961 | Loan portfolio |
| Aadhar Housing Finance Limited | 31,364 | AUM |
| Aavas Financiers Limited | 23,930 | AUM |
| Home First Finance Company India Limited | 16,938 | AUM |
| Aptus Value Housing Finance India Limited | 13,648 | AUM |
| India Shelter Finance Corporation Limited | 11,284 | Gross AUM |
Two names that often appear in such lists are not housing finance companies today. HDFC Limited merged into HDFC Bank on 1 July 2023, so its home loans are now part of a commercial bank. Sammaan Capital, formerly Indiabulls Housing Finance, took its present name in July 2024 after the Reserve Bank of India (RBI) registered it as an NBFC-Investment and Credit Company, and the RBI's Upper Layer list for 2024-25 classifies it that way.
How Housing Finance Companies Are Regulated
A housing finance company is a type of non-banking financial company. Regulation of HFCs moved from the National Housing Bank (NHB) to the RBI with effect from 9 August 2019. The rules are set out in the RBI's Master Direction for housing finance companies issued on 17 February 2021. The NHB still inspects HFCs and receives many of their statutory returns and notices.
Under the Master Direction, a company qualifies as an HFC only if housing finance makes up at least 60% of its total assets, net of intangible assets, and housing finance to individuals makes up at least 50%. The minimum net owned fund for an HFC is ₹20 crore, specified under Section 29A of the National Housing Bank Act, 1987, which is also the section under which HFCs are registered.
Every HFC has to maintain a capital ratio of at least 15% of its risk-weighted assets, with Tier-I capital of at least 10%. Penalties for breaking the Act or the directions are imposed under Section 52A of the National Housing Bank Act, 1987.
Stricter limits apply to HFCs that accept public deposits. An RBI circular dated 12 August 2024 reduced the ceiling on public deposits from 3 times to 1.5 times the net owned fund. A deposit-taking HFC also needs a minimum investment-grade credit rating to accept or renew deposits.
The RBI also publishes a yearly list of the largest non-bank lenders, called the Upper Layer, which face tighter regulation. The list for 2024-25, released on 16 January 2025, had 15 companies. Three of them appear in the table above: LIC Housing Finance and PNB Housing Finance as deposit-taking HFCs, and Bajaj Housing Finance as a non-deposit-taking HFC.
HFC vs Bank Home Loan
Banks and HFCs both lend against residential property, but they sit under different rules on how a floating rate is set. Since 1 October 2019, banks have had to link new floating-rate home loans to an external benchmark such as the RBI repo rate or a Treasury bill yield. HFCs are not required to use an external benchmark. Some price loans against their own prime lending rate.
| Parameter | Commercial banks | Housing finance companies |
|---|---|---|
| Regulator | RBI | RBI, with NHB inspection |
| Benchmark for new floating-rate home loans | External benchmark, mandatory since 1 October 2019 | Lender's own reference rate; external benchmark not mandatory |
| Foreclosure or prepayment charge on a floating-rate home loan to an individual | Not permitted | Not permitted |
The practical effect of the benchmark difference is in how a change in the repo rate reaches the borrower. A repo-linked bank loan moves with the repo rate. An HFC loan moves when the company revises its own reference rate.
For HFCs, the Master Direction caps the loan-to-value (LTV) ratio on housing loans to individuals by loan size: up to 90% for loans up to ₹30 lakh, up to 80% for loans above ₹30 lakh and up to ₹75 lakh, and up to 75% for loans above ₹75 lakh.
Affordable Housing Finance Companies
Several companies in the table lend mainly in small ticket sizes outside the large cities. Their own disclosures for 30 June 2026 give a sense of scale.
- Aadhar Housing Finance: AUM of ₹31,364 crore, up 18% from ₹26,524 crore a year earlier, with more than 3,40,000 loan accounts and 628 branches across 22 states.
- Aavas Financiers: AUM of about ₹23,930 crore, up 15.4% over the year, with 440 branches and an average housing loan ticket size of about ₹11.2 lakh.
- Home First Finance: AUM of ₹16,938 crore, up 25.7% over the year, with 175 branches in 13 states and union territories.
- Aptus Value Housing Finance: AUM of ₹13,648 crore, up 21% over the year, with 372 branches.
- India Shelter Finance Corporation: gross AUM of ₹11,284 crore, up 24% over the year, with 307 branches in 15 states and an average ticket size of about ₹10 lakh.
Larger HFCs also lend in this segment. PNB Housing Finance reported that its affordable and emerging markets business made up 41% of its retail loan assets as of 30 June 2026.
How to Choose a Home Loan Company
The points on which home loan companies can be compared from public information are regulatory, not promotional. Four of them follow from the rules described above.
- Registration: an HFC holds a certificate of registration under Section 29A of the National Housing Bank Act, 1987. A lender registered in another NBFC category, such as Sammaan Capital, is not an HFC even if it lends against property.
- Rate benchmark: a bank's floating-rate home loan is tied to an external benchmark. An HFC's floating rate is usually tied to the company's own reference rate, so the timing of rate changes depends on the lender.
- Loan-to-value limit: the 90%, 80% and 75% caps apply by loan size, so the borrower's own contribution rises from at least 10% of the property value on a loan up to ₹30 lakh to at least 25% on a loan above ₹75 lakh.
- Prepayment: an HFC cannot charge a foreclosure fee or prepayment penalty on a floating-rate term loan given to an individual for a purpose other than business. A fixed-rate loan is not covered by that rule.
Interest rates and processing fees differ by lender, borrower profile and date, and each lender publishes its current terms. Size is a separate question from cost: the AUM figures in the table show how much a company lends, not what it charges.
What are the top 5 finance companies in India
Among the housing finance companies listed above, the five largest by AUM or loan portfolio reported for 30 June 2026 are LIC Housing Finance, Bajaj Housing Finance, PNB Housing Finance, Tata Capital Housing Finance and Can Fin Homes.
LIC Housing Finance reported an outstanding loan portfolio of ₹3,22,098 crore as of 30 June 2026, up 4% from ₹3,09,587 crore a year earlier. Individual home loans were ₹2,71,979 crore, or 84% of the portfolio.
Bajaj Housing Finance reported AUM of ₹1,49,624 crore as of 30 June 2026, up 24% from ₹1,20,420 crore a year earlier.
PNB Housing Finance reported AUM of ₹93,021 crore as of 30 June 2026, up 13% over the year. Its retail loan assets were ₹89,178 crore and it had 404 branches.
Tata Capital Housing Finance, a subsidiary of Tata Capital Limited, reported AUM of ₹89,416 crore as of 30 June 2026, up 24% over the year. Can Fin Homes, whose promoter is Canara Bank, reported a loan portfolio of ₹42,961 crore, up 11% from ₹38,773 crore a year earlier.
Which bank gives good home loans
No public measure ranks banks by how good their home loans are, but size and regulation can be compared. State Bank of India reported home loans of ₹9,59,369 crore as of June 2026, about three times the loan portfolio of LIC Housing Finance, the largest company in the table above.
HDFC Bank has been a home loan lender in its own right since HDFC Limited merged into it on 1 July 2023. As banks, both lenders have to link new floating-rate home loans to an external benchmark, and neither can levy a prepayment charge on a floating-rate home loan to an individual.
Frequently Asked Questions (FAQs)
What is the difference between a bank and a housing finance company in India?
A housing finance company is a non-banking financial company that must keep at least 60% of its total assets in housing finance and at least 50% in housing finance to individuals. A bank has no such requirement. Banks must link new floating-rate home loans to an external benchmark, while HFCs can use their own reference rate.
Which is the largest housing finance company in India by AUM in 2026?
Among the housing finance companies listed above, LIC Housing Finance reported the largest figure, an outstanding loan portfolio of ₹3,22,098 crore as of 30 June 2026. Bajaj Housing Finance was next with AUM of ₹1,49,624 crore. HDFC Limited is no longer counted because it merged into HDFC Bank on 1 July 2023.
Are housing finance companies regulated by the RBI or NHB?
The RBI has regulated housing finance companies since 9 August 2019, when the power was transferred from the National Housing Bank. The NHB continues to inspect HFCs and to receive returns from them.
Do housing finance companies charge prepayment penalties on floating rate home loans?
No. The RBI's Master Direction for HFCs bars foreclosure charges and prepayment penalties on any floating-rate term loan sanctioned to an individual borrower, with or without co-obligants, for a purpose other than business. The RBI's Pre-payment Charges on Loans Directions, 2025 apply to loans sanctioned or renewed on or after 1 January 2026.
How does a benchmark Prime Lending Rate affect home loan interest rates at an HFC?
Some HFCs use a prime lending rate as the reference for floating-rate home loans and quote the loan rate at a discount to it. When the company revises that reference rate, the rate on loans linked to it changes as well. The company, not the RBI repo rate, decides when the revision takes place.
