MUMBAI, Oct 11 (Reuters) – Demand in India’s interest rate-sensitive real estate sector rose as pent-up demand and rising consumer confidence post-pandemic helped homebuyers shake off concerns of rising interest rates. is strong, said the head of India’s largest real estate technology. The company announced this on Wednesday.
The Reserve Bank of India has raised interest rates by 250 basis points since May 2022 in a bid to curb soaring prices. At its Oct. 6 meeting, it left monetary policy unchanged for the fourth consecutive time, indicating that interest rates would remain high until inflation approaches 4%.
“Despite rising interest rates, we have seen quarter-on-quarter growth over the past few quarters,” said Dhruv Agarwala, CEO of REA India, part of Australian-listed REA Group (REA.AX). .
“People’s perception of home ownership has changed since COVID-19,” Agarwala told the Reuters Trading India Forum. “As hybrid work takes hold, people are looking for larger homes.”
In 2020, Australia’s REA Group took control of Elara Technologies and changed its name to REA India. The company owns multiple online real estate marketplaces, including market leader Housing.com and online real estate advisory service platform PropTiger.com.
Agarwala added that real estate demand in big cities is strong and smaller cities are also showing “huge promise” due to the spillover effect of rising rents and sales in big cities.
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Report by Savio Shetty.Editing: Nivedita Bhattacharjee
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