Abstract

Housing, conceived as a set of services, is an important aspect of the environment that has a profound impact on the socio-economic, physical and psychological development of human beings. The present study is an empirical one based on the survey method. Though the study is empirical in nature, it is supported by secondary data. In the process of the analysis of the attitude of respondents towards the features of housing finance, Factor Analysis has been applied. It is used to identify and define the underlying dimensions in the variables discussed. To avoid such a situation, the Reserve Bank of India should give strict instructions to the housing finance institutions about the sanctity of the type of interest rate. It should issue guidelines regarding the operation of both the types of interest rate.