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After a long hiatus, the MPC for the Indian Reserve Bank (RBI) decided to reduce the Ribo rate by 25 basis points – making the long -awaited relief to the country. With MPC announcement of a reduction in the ribau rate to 6.25 %, after keeping it by 6.5 % for several quarters, stakeholders in the real estate sector chanted this step – expecting to rise demand for housing in the coming months.
According to Venkatesh Gopalakrishnan, Group Manager’s Office, MD – Shapurgi Ballagi Real Estate, this step will be given a “big boost” for the real estate sector, especially for housing at reasonable and medium -sectional prices.
We praise RBI for its proactive decision to reduce the ribau rate, which represents an essential step after nearly five years. GoPalakrishnan says: “The low borrowing costs will enhance the ability to afford home loans, which makes the dream of home ownership closer to many ambitious buyers.” , Adding that “the step is likely to renew investments in the real estate sector, which provides the motivation that greatly affects it to maintain growth. We are optimistic that this reduction in the rate will positively affect market morale, promote buyer confidence, and stimulate long -term growth in all sectors of industry. ”
“RBI Move indicates a supportive transformation of growth aimed at maintaining the economic momentum of India as this step will enhance liquidity, encourage investments, and stimulate demand across the main sectors.
For real estate, the reduction of prices after this long period is a big boost. Low borrowing costs will improve the ability to afford home costs and enhance buyer’s feelings, especially in the housing sectors with medium and distinguished income. Historically, low interest rates have increased housing, which led to the benefit of home buyers and developers. In addition, the improvement of credit access will support developers in securing the financing of the project implementation, and ensuring a fixed supply and delivery in a timely manner, “says Agarwal.
The real estate broker, Niranjan Hiranandani, Chairman of the Board of Directors, feels that this long -awaited and strategic step has been implemented “in a decisive time.”
“It assures us that although the external geopolitical uncertainty, our local economic climate keeps the markets effective and strong demand. In addition to the tax benefits announced in the 26th year of the middle class of the middle class, this change of policy will enhance the speed of sales.”
According to Dhruv Agarwala, CEO of the group of Housing.com and PROPTIGERAC, the major policy price reduction, the first in five years, will reduce interest rates on home loans, and benefit from both potential buyers and current borrowers.
“The price reduction will play an important role in improving the ability to afford the costs of housing in the most populated countries in the world, and completes the measures announced in the Federation’s recently unveiled budget. And the speedy projects. ”
The experts of the two sectors such as Vimal Nader, head of research at Collers India, say that the reduction of prices along with modern advertisements in the budget related to the establishment of the Urban Challenge Fund and tax under the new system, may stimulate urban growth and enhance local consumption. Increased income available and reduce financing costs for both home buyers and developers.
“Moreover, the last allocation of 15,000 rupees of the Swamih II will be listed to the completion of stressful projects, which enhances liquidity and proves the feelings of home buying. In general, the available winds should enhance real estate demand through the classes in the coming quarters.” And Nader says.
