The Reserve Bank of India’s (RBI’s) decision to keep the repo rate unchanged at 5.25% has drawn reactions from industry stakeholders, with the real estate sector viewing the move as a measure that supports stability in borrowing costs and consumer sentiment. Commenting on the monetary policy announcement, CREDAI-MCHI President Sukhraj Nahar said:
“The RBI’s decision to maintain the repo rate at 5.25% reflects a prudent and balanced approach at a time when global markets continue to navigate geopolitical uncertainties, evolving trade dynamics, and inflationary pressures. Monetary policy stability provides much-needed certainty to consumers, businesses, and investors, supporting confidence across sectors of the economy.
Over the past few months, homebuyers have adopted a measured approach amid mixed economic signals and global volatility. The continuation of the current rate regime sends a positive signal that borrowing costs are likely to remain stable in the near term, encouraging prospective buyers to revisit their homeownership decisions ahead of the festive season.
For the real estate sector, the benefits of the cumulative rate reductions announced earlier continue to support housing affordability. Simultaneously, strong rental demand across the Mumbai Metropolitan Region has emerged as a key market driver, attracting both end-users and investors seeking long-term value appreciation. Supported by transformative infrastructure projects, enhanced connectivity, and sustained economic growth, MMR remains well-positioned to witness healthy residential demand in the coming months.”
The RBI’s decision comes amid ongoing global economic uncertainties and follows a series of policy actions aimed at balancing growth and inflation. Industry participants will continue to monitor future policy developments and their impact on borrowing costs, housing demand and investment activity across key real estate markets.
