New Delhi [India], Real estate consultancy firm Anarock said the Reserve Bank of India's (RBI) decision to keep the repo rate unchanged again is a boon for the Indian real estate sector.
Anarock Group Chairman Anuj Puri said, “This (policy) stability ensures that home loan interest rates remain low, making housing more affordable for potential buyers. With unchanged borrowing costs, both developers and homebuyers will be able to enjoy the market.” “There is benefit from confidence and anticipation.” ,
The mid-range and premium property segment accounts for more than 55 per cent of the existing supply. Overall, they sold around 76,555 units in the first quarter of 2024 – around 60 percent of total sales.“Buyers in this segment are sensitive to volatile interest rates, and an upward move will lead many of them to postpone home buying,” Puri said after the RBI monetary policy meeting. “This policy continuation will ensure continued demand in these two segments.” supports."
In the affordable housing sector, the most cost sensitive, PMAY Urban has approved 118.64 lakh houses against the demand of 112.24 lakh houses, with sales of affordable housing (houses priced below Rs 40 lakh) in Q1 2024 at 26,545 units. Registered – which is only 20. Percentage of total sales.
“However, as we have seen, unchanged home loan rates are insufficient to bring new vibrancy to the affordable segment,” he said, adding that he hoped the new government would soon introduce more incentives to support it.He concluded, "With the stable government mandate now manifested in unchanged monetary policy, the overall growth momentum of the housing sector will continue."
As widely expected, the Monetary Policy Committee of the Reserve Bank of India (RBI) decided to keep the repo rate unchanged at 6.50 per cent for the eighth consecutive time, though not unanimously. Two members voted to reduce the policy repo rates by 25 basis points (100 basis points is equal to 1 percentage point).
The RBI continues to focus on ensuring that inflation remains within the target of 4 per cent progressively while supporting economic growth.
RBI raised its real GDP growth forecast for 2024-25 by 20 basis points to 7.2 per cent from 7 per cent (Q1: 7.3 per cent, Q2: 7.2 per cent, Q3: 7.3 per cent, and Q4: 7.2 per cent).The RBI in its monetary policy statement also said expectations of a normal monsoon bode well for agricultural and rural demand, while continued momentum in manufacturing and services activity could enable a revival in private consumption.
Anarock Group Chairman Anuj Puri said, “This (policy) stability ensures that home loan interest rates remain low, making housing more affordable for potential buyers. With unchanged borrowing costs, both developers and homebuyers will be able to enjoy the market.” “There is benefit from confidence and anticipation.” ,
The mid-range and premium property segment accounts for more than 55 per cent of the existing supply. Overall, they sold around 76,555 units in the first quarter of 2024 – around 60 percent of total sales.“Buyers in this segment are sensitive to volatile interest rates, and an upward move will lead many of them to postpone home buying,” Puri said after the RBI monetary policy meeting. “This policy continuation will ensure continued demand in these two segments.” supports."
In the affordable housing sector, the most cost sensitive, PMAY Urban has approved 118.64 lakh houses against the demand of 112.24 lakh houses, with sales of affordable housing (houses priced below Rs 40 lakh) in Q1 2024 at 26,545 units. Registered – which is only 20. Percentage of total sales.
“However, as we have seen, unchanged home loan rates are insufficient to bring new vibrancy to the affordable segment,” he said, adding that he hoped the new government would soon introduce more incentives to support it.He concluded, "With the stable government mandate now manifested in unchanged monetary policy, the overall growth momentum of the housing sector will continue."
As widely expected, the Monetary Policy Committee of the Reserve Bank of India (RBI) decided to keep the repo rate unchanged at 6.50 per cent for the eighth consecutive time, though not unanimously. Two members voted to reduce the policy repo rates by 25 basis points (100 basis points is equal to 1 percentage point).
The RBI continues to focus on ensuring that inflation remains within the target of 4 per cent progressively while supporting economic growth.
RBI raised its real GDP growth forecast for 2024-25 by 20 basis points to 7.2 per cent from 7 per cent (Q1: 7.3 per cent, Q2: 7.2 per cent, Q3: 7.3 per cent, and Q4: 7.2 per cent).The RBI in its monetary policy statement also said expectations of a normal monsoon bode well for agricultural and rural demand, while continued momentum in manufacturing and services activity could enable a revival in private consumption.
