Mr. Amit Goyal, MD, India Sotheby’s International Realty
The RBI’s neutral policy stance, coupled with a 6.5% GDP growth outlook and a softer inflation trajectory, reflects a steady macroeconomic confidence. Strong consumption and stable urban demand are already supporting India’s housing sentiment.
With home loan rates easing with 3 previous repo rate cuts in 2025, we believe the momentum in home buying will remain cautiously positive—much like the RBI’s approach, balancing domestic resilience with global uncertainties.
Mr Piyush Bothra, Co-Founder and CFO, Square Yards
“The decision to maintain the repo rate at its current level reflects a ‘watchful waiting’ approach amidst a mixed economic landscape. Domestically, India’s growth remains resilient, and recent inflation figures have been benign, staying below the RBI’s target range.
However, the global economic environment presents uncertainties, including volatile commodity prices and the monetary policy stances of major central banks, which could have spill-over effects on our economy.
For the residential sector, a further cut would have been a welcome festive bonus for homebuyers. This stability ensures that borrowing costs remain manageable and avoids any sudden shocks to the market.
The onus now squarely falls on the banks to enhance the transmission of previous rate cuts, ensuring that the benefits of lower interest rates are fully passed on to homebuyers.”
Mr Vimal Nadar, National Director and Head of Research, Colliers India.
After consecutive repo rate reduction to the tune of 100 basis points so far in 2025, RBI has decided to keep the repo rate steady at 5.5%. Alongside this, the Central Bank continued to maintain a ‘neutral’ stance, signaling a cautious approach amidst external volatilities and mounting global trade friction. Going ahead, inflation levels are likely to remain low, keeping the GDP growth rate projection for FY 2025-26 intact at 6.5%.
Stability in monetary policy augurs well for homebuyers and real estate developers, particularly in the affordable and mid-income segments.
The lowering of interest rates in the recent past is expected to be fully passed on to the end users in upcoming quarters, who are likely to benefit from reduced financing costs.
With the festive season approaching, developers can further capitalize on this momentum with timely project completions, new launches and festive offers & discounts. Overall, the cautious yet growth-supportive monetary policy is likely to strengthen demand across real estate segments in the second half of 2025.”
Mr Amit Prakash Singh, CBO Urban Money & Co-Founder Square Yards
The Reserve Bank of India’s decision to maintain the repo rate at 5.50% reflects a cautious approach in a complex global landscape. For borrowers, this translates directly into a period of stability, with predictable EMIs and interest rates. This also provides the banking system a crucial window to further transmit the benefits of previous rate reductions.
All eyes are now on the October policy meeting, where a rate cut is widely expected, which would act as a timely catalyst to boost consumption across sectors and buoy the sentiments during the upcoming festive season.”
Shrinivas Rao, FRICS, CEO, Vestian
As expected, the RBI has maintained the repo rate at 5.5%, as the effects of earlier rate cuts are still playing out across the economy and the global macroeconomic environment remains uncertain amid trade disruptions and geopolitical tensions.
With robust economic growth and headline inflation under control, the RBI’s neutral stance reflects its intent to closely monitor evolving conditions. This steady monetary policy is expected to bring stability to the real estate sector and encourage fence-sitters to make investment decisions.
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