RBI today cut interest rate by 0.25 per cent for the third time this year to spur investments and growth.

"Its a good move. Banks should now pass on the benefit to boost demand. Interest rate on home loans should be 9-9.5 per cent," said DLF's whole-time director Rajeev Talwar.

Realtors' apex body CREDAI President Getamber Anand termed RBI's decision as good step but too less.

"Market was expecting bigger reduction. Banks should pass on the benefits immediately as per RBI direction," he added.

Parsvnath Chairman Pradeep Jain hoped that banks would now pass on the benefit to the customers thereby stimulating the overall demand.

"Such liberal moves coupled with policy reforms are necessary for the revival of the real estate sector in our country," Jain added.

CREDAI (NCR) President Manoj Gaur said the move has come as a breather for the real estate sector. He expected another 25 basis points cut in next 3-6 months time.

Property consultant JLL India Chairman & Country Head Anuj Puri said the downward revision in RBI's repo rate will positively impact the sentiments surrounding the real estate market.

"Banks will now be able to offer loans at more attractive rates. Cheaper loans for home buyers will prompt a renewed interest in residential property purchase from end users and investors," Puri said, adding that cost of funding for real estate developers should also reduce marginally.

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