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REAL ESTATE, AUTO SECTORS HOPE FOR DEMAND REVIVAL
The New Indian Express Anantapur
|June 07, 2025
The 50 bps repo rate cut will instantly impact home loan borrowers as banks will have to reduce the repo rate-linked home loan rates by the same amount.
New loan rates may not get repriced immediately, but they will come down nonetheless.
With the 100 basis point cumulative reduction in repo rates in 2025, existing home loan rates are now likely to come down to 7.5%. This gives hope to the real estate sector that housing demand will get a boost. Anuj Puri, Chairman of ANAROCK Group, said this effectively lowers the cost of borrowing, making home loan EMIs easier on the pocket, thereby directly improving affordability for buyers. "This can boost demand in the real estate sector, especially in affordable and mid-income segments. Affordable housing faced the sharpest pandemic fallout, with sales and new launches shrinking in the top 7 cities," added Puri.
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