Sundaram Home Finance Expands Affordable Housing Presence in Puducherry

Sundaram Home Finance has taken another strategic step in its growth journey by entering the affordable housing segment in Puducherry. The Chennai-headquartered housing finance company is targeting initial disbursements of over ₹10 crore in the Union Territory, reflecting its continued focus on expanding into emerging and underserved markets.

This move comes as part of the company’s broader expansion strategy across southern India, following its recent presence in Karnataka, Andhra Pradesh and Telangana. By strengthening its footprint in tier II and tier III regions, Sundaram Home Finance aims to tap into rising demand for affordable housing finance among first-time homebuyers and small business owners.

According to company officials, Puducherry presents a promising opportunity due to its evolving residential landscape and increasing affordability. The outskirts of the city, in particular, are witnessing the development of small housing communities that cater to budget-conscious buyers. These micro-markets are becoming attractive destinations for individuals seeking quality housing at accessible price points.

The company also highlighted that Puducherry’s growing importance as an education and employment hub is expected to drive sustained housing demand in the coming years. With improving connectivity and infrastructure, the region is gradually emerging as a preferred residential destination.

Sundaram Home Finance has been actively expanding its emerging business vertical, which focuses on affordable housing finance and small business loans. Earlier this year, the company achieved a milestone of 100 branches under this segment, with a significant presence in Tamil Nadu. This expansion underscores its commitment to financial inclusion and addressing the credit needs of underserved communities.

Financially, the company has demonstrated steady performance. For the April to December 2025 period, it reported a net profit of ₹212 crore on total disbursements of ₹4,911 crore, indicating strong operational efficiency and sustained growth momentum.

As the demand for affordable housing continues to rise across India, Sundaram Home Finance’s entry into Puducherry is expected to further strengthen its position in the segment while contributing to the region’s residential development and economic growth.