ETRealty-RBI's repo rate cut to boost real estate sector: Experts
The Reserve Bank of India's (RBI) six-member Monetary Policy Committee (MPC) on Friday cut the repo rate by 25 basis points to 6.25 per cent. This comes after last rate reduction in May 2020.
Real estate experts feel this rate cut will have a positive impact on the overall sector, making home loans more affordable and increasing demand for housing.
G Hari Babu, national president, NAREDCO said, "With lower interest rates, we expect to see increased sales, improved liquidity, and a reduction in the inventory of unsold homes. This, in turn, will encourage developers to launch new projects, creating new opportunities for homebuyers and investors. The rate cut will also benefit the commercial real estate segment, as lower borrowing costs will make it more attractive for businesses to invest in office spaces and other commercial properties."
