Realty Stocks Rally: DLF, Godrej Surge After RBI Cuts Repo Rate by 50 bps

Real estate stocks soared on June 6 after the Reserve Bank of India’s Monetary Policy Committee (MPC) made a surprise move by slashing the repo rate by 50 basis points to 5.5%. This is higher than the widely expected 25 bps cut and marks the third consecutive reduction in 2025.

Nifty Realty Jumps Over 3%

The Nifty Realty index surged over 3%, with broad-based buying seen across the sector. All stocks in the index moved up, except Raymond, which remained in the red. Over just 2 sessions, the index has climbed more than 6%, adding over ₹30,000 crore to its total market capitalisation.

Among individual performers, DLF topped the list, rallying 6.33% to ₹878 on the NSE. Godrej Properties followed closely, gaining 6.13%, while Prestige Estates Projects rose 5.77%. Other realty names like Oberoi Realty, Sobha, Macrotech Developers, and Brigade Enterprises also saw solid buying, with gains ranging between 2% and 5%.

Why the Rally?

The unexpectedly sharp rate cut has made borrowing cheaper. This will likely lower home loan EMIs, encourage new homebuyers, and increase real estate activity, especially in the affordable and mid-income housing segments.

Read More: Why Bajaj Finance, SBI Card, and RBL Bank Shares Soared Up to 4%?

Conclusion

With a surprise 50 bps repo rate cut, the RBI has given a strong boost to the real estate sector. Lower interest rates are expected to revive homebuyer sentiment, support refinancing, and increase overall investment in the sector. Realty stocks are now in focus for both short-term traders and long-term investors.

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