Manoj Gaur, CREDAI NCR, President
´It is a welcome move by RBI. The move has come as a breather for the real estate sector which did not get big bang announcements in the recent time. Rate cut will eventually act as a catalyst for home buyers with banks expected to cut lending rates significantly. We can expect more shorter sales- cycle going forward and improved liquidity for developers as well. While this is a significant step by the Apex bank, the industry is still awaiting infrastructure status which would eventually ease out liquidity crunch for the sector.´
The reality is growth is yet to pick and it is a right move on the part of the RBI. We still expect another 25 basis points cut in next 3-6 months time. Only caveat is what would happen when Fed starts raising rates. In near future as an apex body of the industry, we are confident that government would announce some more reformatory measures in the form of tax revision in the upcoming Union Budget to give some ease and cheer to manufacturers and developers for reducing the cost of their product.