Interest rate hikes won't quell appetite for real estate

Friday's interest rate hike will likely curb investment-oriented house buying but will not deliver a major blow to the property market, experts say.

The People's Bank of China raised the one-year deposit interest rate by 27 basis points to 4.14 percent and the lending rate by 18 basis points to 7.47 percent as of Friday. This is the sixth time the central bank has raised the benchmark interest rates this year.

"The raised lending rate will weigh on homebuyers as they have to pay more to banks. Therefore, property investors may think twice. However, it will hardly change the demand of those who buy apartments for their own use," said Long Bin, head of MyTopHome's research department.