Realtors worried about likelihood of another repo rate hike by RBI

Borrowing costs for both developers and homebuyers will rise, leading to higher housing prices on the one hand, and diminished demand from buyers on the other

The Reserve Bank of India (RBI) is expected to hike the repo rate in its upcoming monetary policy committee review in order to fight rising inflation. This has become a pain point for the real estate sector due to its potential impact on housing sales and home loan rates.

The RBI's Monetary Policy Committee had last hiked the key repo rate to 6.5 per cent in February. In the past one year, the key rate has risen from 4 per cent to 6.5 per cent, which was absorbed by developers, say experts.

According to real estate body Credai, any further