Are slashed home loan rates reviving Bangalore real estate?

The home loan rates have been slashed by most of the banks in India including the biggest home loan provider the State Bank of India. The effective rates of interest to be paid by the borrowers have become 8.6% and 8.65% as per the loan amountstaken. At the same time, the central government has been taking several steps for providing ahome to every Indian citizen. This measure will further slash down the home loan rates in near future. This changing home loan rates have already shown a positive impact in the real estate industry in Bangalore. Several projects that were not getting enough response after demonetization like several sites in Marathahalli have been getting wide attention and inquiriesonce again.

Impact of slashed home loan rates

This major initiative of the banks will not only control the downturn in the real estate market that the industry witnessed during the demonetization phase, it would also motivate the home buyers to invest in homes. This firm step adopted by the banks will recover the reality scene in Bangalore. It will hasten credit growth that the banks are expecting in form of housing loans. It will be an added advantage for the banks as the improving liquidity will ease the pressure on the funds.

The slashed home loan rates have come all of a sudden but a bliss for the prospective home loan applicants and those who are already paying the EMIs. This decision of the banks is sure to be a rejoicing matter for the buyers from all economic backgrounds, especially the prospective buyers who are looking for low budget and affordable homes.

Thousands of buyers in Bangalore had postponed their home buying decision due to high interest rates. As per the experts, they are once again giving it a second thought as the decrease in the home loan interest rate will now help them to save a good amount of money.

Besides, not just the banks and home buyers have been gaining from this decreasing home loan rates, the developers and all kinds of builders have realized their benefits from this drastic move. As the demand is pushed up, the developers in Bangalore have regained their faith in the fluctuating market and looking forwards to start many new projects like the new projects in Marathahalli, Whitefield, Electronic City, and many other places.

Future of real estate market in Bangalore

The real estate industry in Bangalore will grow at a faster rate in near future. With the slashed interest rates and a well-structured new real estate act(RERA), the demand will increase day-by-day. Several hotspots in Bangalore like Koramangala, Sarjapur Road, Whitefield, Yelahanka, Nayandahalli, HSR layout, etc. will witness the rapid growth in near future. Several new projects in Marathahalli and all other major locations will be materialized soon. On the other hand, the local government has been taking several steps to strengthen the infrastructure in the city and its outskirts. As a whole, buying a new house and living in Bangalore will be a splendid experience for the house owners in the city.