With the festive season ahead, banks across India have started giving offers and providing concessions. One such phenomenon that has been going around recently is interest rates of home loans that find themselves at an rock bottom across the country. One such recent entrant into the list of monetary entities to slash their rates was Kotak Mahindra Bank. The lender had slashed its rate of interest by 15 basis points which brought it right down to 6.50 per cent once a year . This makes it rock bottom rate of interest levied against home loans within the country. The bank made the announcement saying that slashed rates would be offered across all the loan amounts in both fresh and balance transfer cases.
Bank interest rates in recent times have witnessed a pointy cut ever since the Federal Reserve Bank of India (RBI) lowered the repo rates to extend market liquidity to counter the negative economic impacts of the Covid-19 pandemic.
Dr Ananta Singh Raghuvanshi, senior executive for sales and marketing at Experion Developers said, “Lower rate of interest regime, competitive pricing and stable supply are key factors this festive season. Besides the attractive lower rate of interest regime, the very fact that developers will offer festive schemes and it should help boost sales for land .”
Anuj Puri, chairman of ANAROCK Property Consultants said, “For affordable and mid-range home buyers, home equity credit interest rates are almost as important as property rates. Cost-sensitivity impacts all aspects of their home purchase journey and a discount in rate of interest can make the difference between purchase decisions and indecision. it’s apt for lower interest rates to coincide with the festive season. Sentiment high during this era , and this year there’s tons of pent-up demand waiting to hit the market. it’s to be hoped that Kotak’s move are going to be emulated by other leading lenders, as well.”
