Can Fin Homes is India’s first bank-sponsored housing finance company - born in 1987, the International Year of Shelter for the Homeless, when Canara Bank joined hands with HDFC and UTI to create a lender purpose-built for putting roofs over heads. It has spent nearly four decades doing one thing: writing home loans for salaried Indians and the self-employed who want to own rather than rent, funding that lending through a mix of bank borrowings, market instruments, and a deposit-taking licence that only a handful of housing finance companies hold. The recurring approach is a branch-led, risk-first model - every branch manager owns business, collections, and customer service in their territory, and credit decisions are made on merit with a conservative underwriting lens that has kept bad loans below one percent of the book. # Business segments A single-engine housing finance business with two supporting capabilities - a deposit franchise that provides a small but distinctive slice of funding, and a fee-based insurance distribution arm that cross-sells protection to the loan book. ## 1. Housing loans: the core lending engine **Eight out of every ten rupees lent by the company finances a home, overwhelmingly for first-time buyers in the affordable and mid-income bracket.** - **Salaried India is the customer** - 68% of the outstanding loan book comes from salaried and professional borrowers, with private-sector employees alone making up 53% of the portfolio; the self-employed account for the remaining 32%. Most are first-time home buyers with an average age of 32-36 years who occupy their own homes. - **Small-ticket, mass-market lending** - the average incremental housing loan is ₹27 lakh, and loans above ₹50 lakh are only 3% of the total portfolio, so the company sits squarely in the affordable and mid-income segments that government schemes also target. In FY22, 78% of housing loans sanctioned during the year were for affordable houses. - **Southern roots, northern ambitions** - 59% of disbursements still come from Southern India, with Karnataka alone contributing 28% of the loan book, but the company is deliberately opening branches in North and West India to diversify beyond its home geography. - **Quarterly resets protect the margin** - historically, over 70% of the loan book repriced only once a year; the company has actively shifted customers to a quarterly reset structure, and by March 2026 more than 85% of the book reprices every three months, reducing the lag between rising funding costs and loan yields. - **Government schemes as a sourcing channel** - the company participates in the PMAY-U 2.0 interest subsidy scheme and has enrolled nearly 30,000 customers under the Credit Linked Subsidy Scheme, a component of the government’s ‘Housing for All’ programme. ## 2. Non-housing loans: the supplementary book **A smaller, carefully contained portfolio of mortgage-backed and top-up loans that serves existing customers without distracting from the housing mission.** - **LAP and top-ups dominate** - loans against property and mortgage loans make up 8% of the total book, and top-up loans add another 6%, together forming the bulk of the non-housing portfolio. The average ticket size is ₹14 lakh, about half the size of a typical housing loan. - **Deliberately capped exposure** - the company has consciously limited its loan-against-property book even though those loans carry higher spreads, because management wants to keep the portfolio anchored in retail housing rather than chasing riskier secured lending. - **No builder lending** - the company does not originate builder or developer loans; the category shows a negligible and declining outstanding, which insulates the book from construction-project delays and developer defaults. - **A new green niche** - during FY26, the company launched a rooftop solar loan scheme for customers wanting to install photovoltaic systems of 3 KW to 10 KW, extending the lending relationship into a new asset class. # Deposits **One of only 18 housing finance companies licensed to accept public deposits - a capability that provides a small but sticky funding source with a AAA rating.** - **A rare licence** - the company is registered with the National Housing Bank and regulated by the RBI as a deposit-taking HFC, a status held by only 18 of 101 registered HFCs as of FY20. The licence exists, but the company has not leaned heavily on it: deposits are just 1% of total borrowings. - **Fixed and cumulative deposits for retail savers** - the company offers fixed deposits (minimum ₹2 lakh for quarterly, half-yearly, or annual interest payouts) and cumulative deposits (minimum ₹20,000, with interest compounded quarterly and paid at maturity), with senior citizens earning an extra 0.50% over the card rate. - **AAA-rated safety** - the public deposit programme carries an AAA/Stable rating from ICRA, the highest credit-quality assessment, which signals to depositors that their money sits inside a conservatively managed institution. # Insurance distribution **A fee-income stream built on the loan book: every home loan customer is a potential buyer of property, life, or critical-illness cover.** - **Corporate agent with multiple partners** - the company is registered with IRDAI as a Composite Corporate Agent and distributes policies from Bajaj Allianz, Reliance General Insurance, and Canara HSBC, covering property insurance, life insurance, and critical-illness protection. - **Cross-sell to a captive base** - the insurance offering is distributed to the company’s own housing loan customers, turning a lending relationship into a recurring fee opportunity without the cost of acquiring a separate customer. # Group structure and partners **A standalone housing finance company with no subsidiaries, promoted by Canara Bank - which holds roughly 30% and has deputed three senior officers to the board - and listed since 1989 with an uninterrupted dividend record.** - **Canara Bank is the anchor** - the promoter held 29.99% as of March 2026 and has publicly stated its resolve to support the company and maintain its equity holding; three senior-level officers, including the bank’s MD & CEO, sit on the board. - **No subsidiaries, no joint ventures** - the company is a single-entity operation with no holding, subsidiary or associate companies (including joint ventures), which keeps the corporate structure simple and transparent. - **Listed equity and debt** - equity shares trade on BSE and NSE; non-convertible debentures are listed on the NSE wholesale debt market segment; and commercial papers are listed on both exchanges. - **An employee stock option plan aligns staff** - the CFHL Employee Stock Option Scheme 2024 authorises grants of up to 13.3 lakh options, with the first allotment of 466 shares made in June 2026 at an exercise price of ₹842.8 per share.