The Reserve Bank of India’s decision to hold the repo rate steady at 5.5 per cent, combined with recent GST reductions, has been welcomed by real estate developers and investors. Industry experts said this move ensures housing affordability, supports festive demand, and provides predictability for developers and buyers, particularly in premium and luxury segments, reinforcing confidence across the market.
Sandeep Chhillar, Founder and Chairman, Landmark Group, said the RBI move brings “a welcome layer of stability to the housing market.” He added that buyers now have the reassurance of steady EMIs, while GST reductions improve affordability. “Together, these measures create a timely opportunity for premium home purchases, allowing developers to capitalise on heightened festive sentiment,” he explained.
Gurpal Singh Chawla, Managing Director, TREVOC Group, highlighted the RBI’s confidence in India’s growth. He added that holding the repo rate ensures competitiveness in the housing market and reflects the RBI’s commitment to nurturing economic momentum. “In a landscape shaped by global uncertainties, this consistency offers much-needed reassurance to investors and end-users alike,” he explained.
Salil Kumar, Director – Marketing and Business Management, CRC Group, said the rate pause keeps residential and commercial real estate stable. He added that the central bank’s balanced approach leaves room for optimism about future rate cuts. For homebuyers, steady rates ensure continued affordability, while predictable borrowing costs are likely to attract investor interest in office and mixed-use assets, he explained.
Stability Spurs Festive Optimism
Saurab Saharan, Group Managing Director, HCBS Developments, said rate stability provides confidence to high-value buyers. He added that although a rate cut could have lowered EMIs, the combination of stable financing costs and GST reductions creates a strong foundation for festive-season purchases, enabling developers to align launches with market appetite, sustaining growth in premium real estate, he explained.
Manit Sethi, Director of Excentia Infra, said the RBI’s decision demonstrates a stable, forward-looking monetary approach. He added that predictable rates are essential for a sector that relies on trust and long-term planning. Such stability, he said, supports sustained growth beyond the festive period and ensures both developers and buyers can make informed financial and investment decisions.
Sakshee Katiyal, Chairperson, Home & Soul, highlighted that the RBI’s move comes at an opportune moment. She added that the accommodative policy throughout the year has eased borrowing costs and improved liquidity. “Entering the festive season, buyers and developers are well-positioned to act decisively, boosting sales and sustaining momentum across residential and luxury segments,” she explained.
Prakash Mehta, Chairman and Managing Director of Ocus Group, said continuity in policy ensures a stable environment for the real estate sector. He added that it instils confidence among institutional and private investors and supports consistent momentum for infrastructure-led development across diverse asset categories, helping developers plan projects efficiently while sustaining growth across residential, commercial, and mixed-use segments.
Premium Housing Gains Further Ground
Ishaan Singh, Director of AIPL, said the RBI’s decision reflects a carefully calculated effort to sustain economic momentum and support ongoing growth in the real estate sector. He noted that stability in borrowing costs will boost confidence among homebuyers and developers, particularly amid global market volatility, enabling better planning of investments and project launches across residential and commercial segments.
Amit Jain, CMD, Arkade Developers Limited, said while a rate cut could have further improved affordability, maintaining the repo rate ensures ongoing residential sales momentum. “The real estate sector remains a key contributor to GDP and employment, and steady loan terms will sustain buyer confidence in the months ahead,” he explained.
Sandeep Ahuja, Global CEO of Atmosphere Living, said demand in premium housing has surged, with over 60 per cent of sales now in the Rs 1 crore-plus category. He noted that the RBI’s decision to hold the repo rate steady gives homebuyers greater confidence to make long-term investments in the luxury segment, supporting sustained growth across top-end residential markets.
Ashish Sharma, AVP Operations, Brahma Group, said monetary consistency will reinforce buyer confidence, drive activity in price-sensitive markets, and maintain healthy liquidity for developers and investors alike. He added that consistent borrowing costs allow developers to plan large-scale projects efficiently, manage capital allocation effectively, and execute launches in alignment with market demand, supporting sustained growth across residential and commercial segments, he explained.
Manit Sethi, Director, Excentia Infra, said the RBI’s stability helps developers anticipate market demand and plan project launches more efficiently. He added that buyers gain greater assurance in financing costs, particularly for high-value investments, which in turn boosts confidence during the festive season. This steady environment allows both developers and homebuyers to make informed, long-term financial decisions.
Policy Continuity Anchors Long-Term Growth
Yashank Wason, Managing Director of Royal Green Realty, said the repo rate pause signals stability to the real estate sector, especially following previous rate cuts earlier this year. He added that with retail inflation at a six-year low of 2.1 per cent and GDP growth holding strong at 7.4 per cent, the RBI’s decision demonstrates confidence in India’s economic fundamentals. This, he noted, reinforces both investor and homebuyer confidence, creating a supportive environment for sustained growth in the housing market.
Santosh Agarwal, Executive Director & CFO, Alpha Corp Development Limited, said predictable lending rates allow developers to manage capital efficiently. He added that homebuyers benefit from steady EMIs, supporting long-term investment decisions. “This consistency is particularly important for ongoing and large-scale projects across residential and commercial segments,” he explained.
Abhishek Trehan, Executive Director, Trehan Iris, said stable lending rates provide predictability and help boost investor confidence, especially in a market that depends on long-term planning. He added that this stability enables developers to manage financing efficiently, plan capital allocation for ongoing and upcoming projects, and ensure affordable homeownership for buyers, supporting steady demand across residential and commercial segments.
Rajan Luthra, CFO of Action Construction Equipment (ACE) Ltd, said financing stability is crucial for capital-intensive projects. He added that recent GST reforms improve project economics, reduce input costs, and encourage sustained investment. Luthra noted that these factors together create a conducive environment for long-term growth across construction and infrastructure, supporting developers, contractors, and investors alike in planning and executing projects efficiently.
Rahul Singla, Director, Mapsko Group, said stable EMIs provide essential support to buyer confidence, particularly as families make long-term financial decisions during the festive season. He added that the RBI’s consistent policy stance encourages continued momentum in residential demand, allows developers to plan and schedule new project launches effectively, and ensures that market supply meets evolving buyer expectations.
With festive buying underway, developers said RBI’s stability, combined with GST reforms, has created conditions conducive to sustained growth across housing, luxury, and commercial real estate, ensuring confidence and investment for the coming quarters. |
