As RBI prepares to make an announcement on its future policy decision, all industry players from the real estate sector are expecting RBI to keep the repo rate steady. This is because the maintenance of an interest rate regime is essential to maintaining the affordable nature of housing, boosting buyer confidence, and making sure that investments are sustained in the real estate market. The developers, investors, and even workspace providers think that a steady repo rate will ensure the continuation of the current market mood, availability of funds, and continued growth in both residential and commercial real estate sectors.
Khalid Masood, Managing Director in M/s. Shalimar Corp Ltd said, “It is expected that RBI will keep the repo rate unchanged, taking the logical decision based on the available data from the monetary policy perspective. Over the past quarters, the market of residential real estate exhibited significant momentum owing to favourable borrowing rates and solid demand from end consumers. Keeping the repo rate unchanged will ensure the buyers of residential property that they can afford houses and have easy access to funding. Hence, such move will increase confidence of all stakeholders involved.”
Rajni Kant Mishra, Founder and Chairman Amrawati Group said, “The assumption that there will be no changes to the repo rate is sensible in the present economic conditions. While inflation threats must be kept under constant control, there are still many good signals coming from the growth statistics. Therefore, stability in monetary policy is necessary to keep the markets stable. As for the real estate, an unchanged interest rate will give buyers an opportunity to feel safe in terms of future prices and will facilitate development processes for those who invest their money in property construction.”
Ravi Kant, co-founder of Elegance Enterprises and Elegance Infra said, “The realty sector will be expecting that there is no change in the repo rate in the upcoming monetary policy statement. The present interest rate scenario is aiding in stabilizing the market and in sustaining a constant level of demand for homes. Any hike in interest levels will lead to changes in affordability levels and delay buying decisions, especially for first-time buyers. If there is no change in the repo rate, it means the existing home loan rates will remain constant, thereby boosting consumer sentiments and encouraging investments in the sector. It will help in project execution by the developers.”
Raghunath Reddy Bhattagiri, Co-founder & MD, Triguna Projects said, “The RBI is widely expected to maintain the repo rate at its current level, reflecting confidence in India’s growth outlook while continuing to monitor inflation trends. For the real estate sector, a stable interest rate environment plays a vital role in sustaining housing demand and enhancing affordability for homebuyers. Policy continuity would help maintain positive market sentiment, support long-term investments, and provide developers with greater visibility for planning and execution. An unchanged rate would further reinforce the sector’s growth momentum and contribute to the overall stability of the housing market.”
Vishal Datt Wadhwa, Founder & CEO – CoWorkZen said, “Ahead of this MPC, most businesses are already operating with a fair degree of caution. Global factors—oil prices, currency volatility, and overall uncertainty—are making cost planning a bit more difficult, regardless of whether rates move immediately or not.
That’s clearly reflecting in how companies are approaching office space. There’s more hesitation around long-term leases and a stronger preference for flexible setups. If the RBI holds rates, it provides some near-term stability, but it doesn’t change the underlying behaviour. And if conditions tighten later, that shift towards flexibility will only accelerate. We’re already seeing it in the numbers—India’s flex stock is nearing 80 million sq. ft., with enterprises driving a large part of demand. For many companies, flexible workspaces are becoming a way to manage risk, not just cost.”
Mohit Mittal, CEO – MORES said, “NCR leasing is at 13–14 million sq ft in H1. In corridors like Noida Expressway and Dwarka Expressway, demand is running ahead of supply. A hold is expected. But the real question is what follows. Crude is unsettled. The rupee has been under pressure. If that doesn’t ease, the RBI’s room to hold narrows — and rate risk doesn’t vanish, it just moves to the second half. What matters on June 5th isn’t the number. It’s the tone. A neutral-to-accommodative hold keeps EMIs steady, buyers confident, and project pipelines moving. A hawkish hold — even with rates unchanged — shifts lender behaviour and buyer psychology. Markets read signals before they read data. If the RBI is eventually forced to tighten, affordable and mid-segment take the first hit. Luxury has more cushion, but no segment is fully insulated.”