Sundaram Home Finance Expands Affordable Housing Network with 25 New Branches Across South India

Sundaram Home Finance has announced an ambitious expansion plan to strengthen its presence in the affordable housing finance segment across South India. The company intends to open 25 new Emerging Business branches during the current financial year, focusing on Tier 3 and Tier 4 towns in Tamil Nadu, Karnataka, Andhra Pradesh, and Telangana.

The move reflects the growing demand for affordable housing loans and small-ticket financing in rural and semi-urban markets. With increasing aspirations for home ownership and improving economic activity in smaller towns, housing finance companies are witnessing strong opportunities beyond major metropolitan cities.

Sundaram Home Finance launched its Emerging Business segment in October 2022 to cater specifically to affordable housing finance and small-ticket loans. Since then, the segment has emerged as a key growth driver for the company. Having crossed the milestone of 100 Emerging Business branches last year, the lender is now looking to deepen its reach in underserved markets where access to formal housing finance remains limited.

The company has set an ambitious disbursement target of around ₹1,000 crore in the Emerging Business segment during the current financial year. This marks a significant increase from the ₹590 crore disbursed in FY26, highlighting the company’s confidence in the long-term growth potential of affordable housing.

According to Managing Director D. Lakshminarayanan, the company continues to see strong opportunities in the affordable housing market, particularly in smaller towns supported by resilient rural demand. The planned branch expansion is expected to improve accessibility to housing finance while supporting homebuyers and small entrepreneurs in emerging markets.

To support its growth plans, Sundaram Home Finance also intends to recruit around 300 additional employees. The Emerging Business segment currently employs nearly 800 people.

The expansion comes at a time when the company is reporting healthy financial performance. Sundaram Home Finance recorded a net profit of ₹282 crore during FY26, while total disbursements reached ₹6,842 crore. Assets under management grew 14 percent year-on-year to ₹19,909 crore, underlining the company’s strong position in South India’s housing finance sector.