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Rate cut gives further impetus to home loans
Financial Express Lucknow
|December 11, 2025
DEMAND TO STAY STRONG
THE RESERVE BANK of India's latest 25-bps reduction in the repo rate is expected to give a further boost to home buying, said bankers. Since February, the RBI has cut rates by 125 bps, making new home loans linked to the external benchmarks significantly cheaper. Besides rising queries, buyers are also exploring the option of balance transfer.
"The repo-led relief improves affordability for buyers and is likely to bring fencesitters back, particularly in the mass-market segment," said Manu Singh, president & business head, housing finance, Kotak Mahindra Bank.
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