Views from Mr. Surendra Hiranandani, Chairman and Managing Director, House of Hiranandani on the RBI Monetary Policy announcement today

New Delhi, October 09, 2020: Residential sales across cities are gradually reviving with the lockdown being lifted. We are optimistic that the upcoming festive season will trigger the home buying sentiment in the market as big-ticket purchases are planned around auspicious times. Given that the festive season is on, which is going to extend all the way up to December, it is also important that the interest rates are reduced drastically which will enthuse the home loan borrowers. Any further cut in policy rates would have definitely pushed the home buyers to firm up their buying decisions who were waiting for the perfect opportunity to invest in their dream home.

However, the decision to rationalise the risk weights of new home loans and link them to loan-to-value ratio (LTV) ratios is a move in the right direction and will help in providing fillip to the sector.

We are also hoping that the government will chart out fresh stimulus in terms of bold fiscal measures for the real estate sector in the near future to outperform its growth traction. Being one of the major contributors to the economy, the benefits provided to the sector will have a positive impact on the overall economic growth.

Corporate Comm India (CCI Newswire)