MUMBAI: Realty index rallied after taking cue from the RBI announcement of easing rules for low-cost home loans and gained as much as 4.1 per cent in trade on Thursday.
Indiabulls Real Estate Ltd surged 4.1 per cent in intraday trade. Unitech Ltd was up 3.9 per cent while Oberoi Realty surged 4.03 per cent. The realty stocks by and large remained in green following the news.
However realty stocks like Anant Raj Ltd remained in red and fell as much as 5.6 per cent in trade.
The Reserve Bank of India has eased norms to fund low-cost housing by permitting banks to extend loans against long-term infrastructure bonds.
The Reserve Bank of India however barred lenders from providing loans against long-term infrastructure bonds issued by other banks.
"Further, such loans should be subject to a ceiling, say, Rs 10 lakh per borrower, and tenure of loan should be within the maturity period of the bonds," RBI said in a circular.
In July, the RBI had allowed long-term bonds raised by banks for infrastructure lending to be exempted from mandatory reserve requirements.