Property prices are bound to go up in next three-six months by five-10 per cent across the country. the increase in the repo and the reverse repo rates would result in an increase in interest rates for builders and the same would be passed on to the home buyers. The RBI raised the repo rate by 25 basis points to 7.5 per cent and the reverse repo rate by a similar margin to 6.5 per cent. As the cost of money goes up, the cost of construction and production will go up. This will lead to further inflationary pressures.
