New Delhi:The Reserve Bank of India’s decision to keep the repo rate unchanged at 6.5 per cent at today’s MPC meeting reflects the Central Bank’s cautious yet optimistic stance, aligning with a stable interest rate environment and fostering borrower confidence for informed financial decisions. Borrowers, particularly in home and personal loans, may explore options to optimise their financial commitments, such as transferring loans to banks offering lower rates or opting for part payments to reduce EMIs.
The stable repo rate will keep home loan interest rates attractive and will add momentum to the housing sales in the country.
Anuj Puri, chairman of the AMAROCK Group said “With the fundamentals of the Indian economy remaining strong despite all global headwinds and inflation well under control, the RBI once again decided to keep the repo rates unchanged at 6.5%, thus extending the festive bonanza that it gave to the homebuyers in its last two policy announcements. Thus, homebuyers retain their advantage of relatively affordable home loan interest rates.”
He added “If we consider the present trends, the housing market has been unstoppable, and unchanged home loan rates will help maintain the overall positive consumer sentiments. Given that housing prices have risen across the top seven cities in the last one year, this breather by the RBI is a distinct advantage to homebuyers.”
As per ANAROCK Research, 2023 saw average housing prices rise by anywhere between 10-24% in the top 7 cities, with Hyderabad recording the highest 24% jump. The average prices in these markets stood at approx. INR 7,080 per sq. ft., while in 2022 it was approx. INR 6,150 per sq. ft. – a collective increase of 15%.