Housing finance major, LIC Housing Finance has decided to launch a new fixed rate home loan scheme for its customers in the coming month, said Chief Executive and Director of the bank, Mr V K Sharma.

"The product is ready. There is a possibility of interest rates going down. We plan to fix interest rate after the Reserve Bank of India's policy review on December 16," Mr Sharma said.

"We strongly feel that there are customers who prefer fixed rate products," he added.

He said that Tier II and III cities have shown rising demand in home loans.