RBI Rate Cut Fuels Housing Demand, Boosts Buyer Sentiment

• RBI cut the repo rate by 25 basis points to 5.25%, marking the third reduction this year.
• Developers anticipate the rate cut will significantly boost housing demand, improve affordability, and strengthen buyer sentiment.
• Lower borrowing costs are expected to attract end-users, first-time buyers, and upgrade buyers, especially in premium and luxury segments.
• The rate cut, combined with an upward revision of India's GDP growth to 7.3% for FY26, creates a supportive environment for real estate.
• Industry experts foresee increased liquidity, reduced EMIs, and improved developer confidence, leading to a more active residential market in 2026.

Why It Matters: Lower interest rates make homeownership more affordable for buyers.