RBI MPC Outcome Impact On Real Estate Sector: RBI's six-member Monetary Policy Committee (MPC) has voted unanimously to keep the repo rate unchanged at 5.25 per cent. This was the first MPC in the new financial year 2027 (FY27).
The MPC also retained its stance at neutral. The MPC has projected FY27 GDP growth at 6.9 per cent compared to 7.6 per cent in FY26. The rate of inflation has been estimated at 4.6 per cent in FY27.
Several real estate experts have reacted to the RBI MPC decision. Experts said that stable interest rates on home loans coupled with strong end-user demand will help real estate developers to sustain sales momentum.
RBI MPC Outcome: Who said what
RBI MPC Outcome Impact On Real Estate Sector: Nitin Bavisi, CFO, Ajmera Realty & Infra India
The real industry experienced a slight decline in sales recently, as consumers adopted a wait-and-watch attitude given the fear of economic volatility. However, that can be considered temporary and characteristic in nature. The overall demand for homes has not been affected. In fact, this will trigger a rise in home sales, given the sense of security this asset class brings. Complimenting this sentiment will be the stable interest rates, ensuring that EMIs are doable, which is vital among first-time home buyers and the middle-income segment.
Real estate investment in India falls by 62% in Q1 2026
For developers, the assurance of banking system liquidity and the expansion of the MSME collateral-free loan limit are particularly vital, as these measures support the broader construction ecosystem and the health of smaller supply-chain partners, while India’s strong GDP growth offers a very solid floor. As soon as geopolitical tensions ease, we expect a quick return to momentum, backed by the long-term resilience of our real estate market.
RBI MPC Outcome Impact On Real Estate Sector: Rohan Khatau, Director, CCI Projects
For the luxury real estate segment, particularly integrated townships, this policy continuity significantly reinforces buyer confidence by providing greater visibility on borrowing costs and signalling sustained macroeconomic stability. Demand in this category is largely driven by end-use and long-term wealth allocation, making it inherently resilient to short-term rate cycles. A stable interest rate environment will continue to drive sustained momentum in premium, well-planned township developments.
RBI MPC Outcome Impact On Real Estate Sector: Nikhil Madan, Managing Director Mahima Group
RBI’s decision to hold rates and maintain neutral stance signals a calibrated pause not complacency. Amid rising global uncertainties, geopolitical tensions to crude driven inflation risks and currency pressures, central bank is clearly prioritising macroeconomic stability over short term stimulus. For real estate, this translates into continued demand resilience supported by strong credit growth and steady end user sentiment, even as rate cuts remain off the table in the near term. Equity markets may see intermittent volatility, but the underlying growth trajectory hovering around the 6.7to 7.2% range keeps India firmly positioned as a relative bright spot. The real inflection now hinges on how sustainably private capex cycles and consumption momentum can offset external shocks.
RBI MPC Outcome Impact On Real Estate Sector: Tribhuwan Adhikari, MD & CEO of LIC Housing Finance
The unchanged rate regime is positive as it helps preserve affordability for homebuyers, especially in the affordable and mid-income segments. Stable interest rates, coupled with improving economic fundamentals are likely to support sustained housing demand across markets. We expect this policy continuity to further strengthen buyer sentiment and encourage fence-sitters to move ahead with their home purchase decisions.
RBI MPC Outcome Impact On Real Estate Sector: Shekhar Patel, President, CREDAI
A stable interest rate environment provides much-needed visibility to both developers and homebuyers, helping sustain demand momentum across housing segments.
RBI MPC Outcome Impact On Real Estate Sector: Niranjan Hiranandani, Chairman, NAREDCO
While global uncertainties and input cost pressures may pose short-term challenges, the sector continues to benefit from strong domestic fundamentals. This stability is helping maintain demand momentum, particularly in mid and premium housing segments, while also supporting long-term investment decisions.
