If the RBI cut the rate, then the real estate sector will shine, know what experts are saying
RBI Prior to the monetary policy review, real estate companies have hoped to cut major policy rate repo. The top institute CREDAI and Naradco, the top institutes of the real estate sector, say that the Reserve Bank of India can cut the repo rate by at least 0.25 per cent on Friday. Industry organizations said that this will speed up the sector as the demand for houses increases. The three-day meeting of the Monetary Policy Committee, which fixed the RBI rate, began on June 4. Central bank governor Sanjay Malhotra will announce the decision of the meeting on Friday.
0.50% rate cut expected
CREDAI national president Shekhar Patel said, “We are expecting a reduction of 0.50 percent in the repo rate. This will increase the housing demand significantly.” He said that there should be a reduction of at least 0.25 percent. Patel said, “The demand for housing in the last three months has been slightly slow. Therefore, the rate cut will help a lot in improving sales.” RBI has cut the repo rate by 0.25–0.25 percent in the monetary policy review of February and April. Naradco national president Hari Babu said that the real estate sector always keeps a close watch on the monetary policy of RBI, as it has a direct and indirect impact on the demand for housing.
Real estate contribute significantly to economic growth
He said that real estate is an important driver of the economy, which is related to more than 200 areas from cement and steel to furniture and decoration. Haribabu said, “Therefore, repo rate cuts will not only increase the demand for housing, but will also promote overall economic growth and create mass employment.” Ansal Housing Director Kushagra Ansal said, “The interest rate cut on the EMI of housing debt has a direct impact. If the RBI reaches again, it will be easier to buy a house for the middle class. It will also be easy for the people to take decisions. It will also make it easier for the people to decide. This can increase the demand for flat in the market.”
Good performance has been doing good for 2 years
Gaur Group Chairman and Managing Director Manoj Gaur said, “The real estate market is probably the largest and important sector in the country and has been performing well for the last two years. We expect something deducting the repo rate this time too…. If the RBI cuts the repo rate this time too, the market will get a direct benefit. ”Krishna Group and Krisumi Corporation Chairman Ashok Kapoor said,“ The RBI had taken a liberal stance in its previous policy review meeting and we will see the cuts again, which will give further relief to various sectors of the economy. ” Surendra Kaushik, founder and managing director of ARIPL, said, “Only one percent reduction in repo rate can also provide good savings to customers on a 20-year home loan.” This savings create a major encouragement for home buyers. This not only takes fast decisions, but also strengthens their confidence in the real estate sector, which promotes the demand as a whole. “
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