Repo rate unchanged: Real estate poised for growth with affordable home loans

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 Real estate poised for growth with affordable home loans

Real estate stakeholders are optimistic as the RBI maintains the repo rate at 5.25%, anticipating continued growth in tier-II cities like Bhubaneswar. Experts believe this stability will ensure affordable home loans, boosting buyer demand and developer liquidity. This favorable environment is expected to accelerate new project launches and completions, fostering confidence in housing markets.

Bhubaneswar: Real estate experts and industry insiders welcomed the decision by Reserve Bank of India (RBI) to keep the repo rate unchanged at 5.25 basis points, citing that it will continue to fuel real estate growth in tier-II cities like Bhubaneswar.Experts said it will result in the availability of affordable and easy home loans for buyers. Last year, RBI slashed the repo rate three consecutive times, bringing relief for homebuyers and realtors alike.Sudeep Bhatt, director of a real estate firm, said, “The move comes after the RBI in Dec 2025 decided to slash the repo rate, marking a cumulative cut of 125 basis points throughout last year,” he said.Bhatt said that the stance is significant for the real estate sector.

“It means stable home loans, which directly boost housing demand, while improving liquidity for developers. The sector stands to benefit from the move,” he said.Shekhar G Patel, rresident, Credai, said that the RBI’s decision to maintain the repo rate at 5.25% provides policy stability amid global currency volatility and bond yield pressures. “We view the continuity as constructive for the real estate sector,” he said.

Rajat Bokolia, chief executive of a real estate firm, said that RBI’s move translates into stable home loans, directly improving housing demand with better liquidity for developers. “This will ensure acceleration in project launches and completion timelines,” he said.Jitender Yadav, director of a prominent real estate firm, said that stable borrowing costs will make home loans affordable, which will increase demand among homebuyers.

“This will strengthen an environment of growth and confidence across housing markets,” he said.Namita Jena, a prospective homebuyer, said that after consultations, they have decided to for a home loan, since it is the apt time as interest rates will reduce.“Our financial expert told us that this is the right time to take a home loan. The city is now getting quality homes, and we have selected one. Now we will go for the booking after the loan is sanctioned,” she said.

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