Terming the RBI’s decision to cut the repo rate by 25 basis points as ‘a welcome move’ for Thane’s real estate, Jitendra Mehta, President, CREDAI MCHI Thane said it was important, given that homebuyers have been feeling the pinch of rising EMIs, particularly in the high-interest rate environment.
The Reserve Bank of India (RBI) announced its sixth bi-monthly monetary policy for FY25 on Friday. The Monetary Policy Committee (MPC), led by Governor Sanjay Malhotra announced a 25 basis point rate cut to bring down the benchmark repo rate to 6.25%; a first in five years.
Describing the RBI’s decision to lower the repo rate ‘a significant boost for homebuyers and developers alike’, Mehta said it will encourage more buyers in Thane to buy their homes, especially in the affordable and mid-income housing segments. “Reduction in home loan EMIs will create positive sentiment, enhance affordability and encourage more aspiring homeowners to shift from fence sitters to actual buyers. We hope that the HFCs and banks will pass on the full benefit to consumers,” he added.
“A stable and accommodative monetary policy will be key to sustaining this positive trajectory in Thane’s real estate sector. I hope this rate cut will have a cascading effect on the sector, leading to sustained momentum in residential sales.,” he concluded.
