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Lower home loan EMIs spark increased buyer interest amid repo rate cuts

House purchase affordability across the key Indian markets has improved in the first half of the calendar year 2025 (H1 CY25)

Real estate developers, homebuyers, Real Estate, home loan rate, Reserve Bank of India
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The rate cuts come at a time when housing sales have been slowing, largely due to affordability concerns. According to Anarock, residential sales in H1 CY 2025 fell 24.32 per cent Y-o-Y to around 190,000 units

Prachi Pisal Mumbai

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Real estate developers across India’s top markets are reporting a rise in buyer enquiries, as banks slash home loan rates in response to recent repo rate cuts. “On the demand side, there has been a marked increase in enquiries from potential homebuyers, particularly in the mid-income segments (homes priced between ₹40 lakh and ₹1.5 crore),” said Niranjan Hiranandani, chairperson of Hiranandani group and of the National Real Estate Development Council, under the Ministry of Housing and Urban Affairs.
 
Home purchase affordability improved across key Indian markets in the first half (H1) of calendar year (CY) 2025, after the Reserve Bank