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CREDAI Hyderabad Welcomes RBI’s 25-bps Rate Cut, Highlights Strong Boost for Homebuyers

Hyderabad, 05 December 2025:
The Confederation of Real Estate Developers' Association of India (CREDAI) Hyderabad has welcomed the Reserve Bank of India’s latest 25-basis-point repo rate cut, calling it a timely intervention that strengthens affordability and supports sustainable real estate growth in the city. With a cumulative 125-bps reduction in 2025 alone, the industry expects a fresh wave of buyer demand.

Sharing his views, Mr. N Jaideep Reddy, President, CREDAI Hyderabad, said:

“This 25-bps reduction in repo rate and a cumulative reduction of 125 basis points in 2025 will help make credit more accessible at lower rates. With RBI's proactive liquidity measures—₹1 lakh crore in Open Market Operations purchases—banks have both the mandate and the means to swiftly transmit these benefits to homebuyers encouraging home buyers to avail cheaper home loan rates to pick their dream home.

As a step toward affordable housing, the RBI rate cut lowers borrowing costs and supports homebuyers in achieving their homeownership goals. This policy action is timely for Hyderabad’s market, reinforcing confidence among developers and buyers alike.”

Adding to this, Mr. B. Jagannath Rao, President-Elect, CREDAI Hyderabad, highlighted the significant financial impact on buyers:

“The consistent rate reduction gives homebuyers a window to lock in historically low rates and substantial savings while securing their dream home in India’s most dynamic and affordable metro. With Hyderabad's average home loan value at ₹75 lakh, the benefits are substantial:
• For a ₹75 lakh loan over 30 years, buyers save nearly ₹4.76 lakh in total interest.
• The cumulative 125 bps reduction for the year delivers ₹800–₹1,000 monthly relief on a ₹50 lakh loan.

These are real, meaningful savings that make homeownership more accessible for Hyderabad’s aspiring families.”

Further, Mr. Kranthi Kiran Reddy, General Secretary, CREDAI Hyderabad, emphasized the long-term market impact:

“Lower interest rates directly increase purchasing power. Buyers can now qualify for larger loan amounts while maintaining the same EMI burden, opening doors to better properties and premium locations that were previously out of reach. For our industry—supported by monetary policy, infrastructure development, and job-led demand—this presents a strong foundation for sustained growth.”

About CREDAI

The Confederation of Real Estate Developers' Associations of India (CREDAI) is the apex body of private real estate developers in India, representing 13,000+ developers across 221 city chapters in 21 states. Since its establishment in 1999, CREDAI has played a pivotal role in shaping the Indian real estate sector and influencing policy development through continuous engagement with government ministries and stakeholders.