Pause on repo rate to boost home sales further: Realtors

Sumedha Sharma

Gurugram, February 8

The Reserve Bank of India’s decision to keep the repo rate unchanged for the sixth time in row has left the NCR realty market elated. According to real estate developers, the decision will not just create a conducive environment for homebuyers and investors, but will also stimulate momentum in the market. RBI Governor Shaktikanta Das today said the Monetary Policy Committee (MPC) has decided to keep the repo rate unchanged at 6.5 per cent.

Welcome respite to borrowers

The RBI’s decision offers a welcome respite to borrowers, with no immediate increase in monthly EMIs. We foresee a potential downward adjustment in the repo rate by mid-2024. — Dhruv Agarwala, Group CEO, Housing.com, PropTiger.com and Makaan.com

According to Manoj Gaur, President CREDAI, NCR, the decision will help the residential segment of the realty market to maintain the trajectory it took last year and show buoyancy as in the past quarters across the country. Agreeing, Anuj Puri, Chairman, ANAROCK Group, said given that housing prices have risen across the top seven cities in the last year, this breather by the RBI is a distinct advantage to homebuyers.

The maintenance of the repo rate, according to industry experts, will not just strengthen the housing market but will also boost real estate investment in NCR. “It is expected to stimulate growth and boost the realty sector, providing a fillip to the premium housing and commercial segments. It will boost real estate investment especially in budding sections of NCR market. This decision presents the picture of the country’s resilient economy,” said Ankush Kaul, Chief Business Officer, Ambience Group.

“While a reduction in policy rates would have been the best scenario for interest-sensitive sectors, policy continuity is the next best outcome for both borrowers and developers alike. The decision allows homebuyers to make informed choices,” added Pradeep Aggarwal, Founder & Chairman, Signature Global (India) Ltd.