Research Report

Asset under management (AUM) of affordable housing finance companies (AHFCs) stood at ~Rs. 1,70,000 crore in September 2025, which forms ~15% of the total outstanding housing finance credit for the NBFCs and the HFCs. Average collection efficiency for ICRA-rated pass-through certificates (PTC) transactions originated by AHFCs remained strong at greater than 97% for the past five-year period. Consequently, the 90+ delinquencies have remained below 1% for the AHFC pools. ICRA expects securitisation volumes to rise in FY2026 to somewhere between Rs 8,500 crore to Rs 9,000 crore and sell-down, as a proportion of disbursements, to remain stable.

Exhibit: Disbursements and securitisation trends for AHFCs

Source: Financials of various AHFCs and ICRA Research; Note: Disbursement data is for a set of 17 entities aggregating ~90% of the total loan book of AHFCs; sell-down refers to PTC and DA