News: NCR developers expect festive housing demand to hold steady despite RBI’s 25 bps repo hike-07-10-2026

NCR developers say the RBI’s 25-basis-point repo hike to 5.50%, the first since February 2023, is unlikely to derail housing demand, with the festive season expected to stay steady on end-user demand, infrastructure and resilient fundamentals. The effect on affordability should be limited, especially for buyers with stable incomes.

The hike comes as the festive period of Navratri, Dussehra and Diwali begins. Impact is expected to vary by segment: premium housing in Gurugram is likely to be relatively insulated from a marginal EMI rise, while affordability and connectivity keep driving demand in Noida and Ghaziabad.

Rishabh Periwal, senior vice-president at Pioneer Urban Land and Infrastructure Ltd, called the hike calibrated and said Gurugram’s affluent buyers put space, design and lifestyle ahead of small EMI changes. He added that commercial demand from global capability centres (GCCs) remains resilient. Varun Garg, director at Karyan Group, said buyers in Noida and Ghaziabad are drawn by affordability, larger homes and appreciation, so a marginal EMI rise is unlikely to change their intent.

Gurugram sees demand across Golf Course Road, Golf Course Extension Road, Dwarka Expressway, Southern Peripheral Road, New Gurugram and Sohna Road, supported by the Delhi-Gurugram-Jaipur Expressway, Sohna Elevated Road and proximity to IGI Airport. Plotted development is also attracting buyers. Rajan Yadav, director at Roots Developers, said the hike will unlikely derail demand in Gurugram.

Developers acknowledged some impact on floating-rate borrowers, depending on rate, loan size and tenure. Yashank Wason, managing director of Royal Green Realty, said it should be manageable for buyers with steady incomes, and Rajjath Goel, managing director of MRG Group, stressed the value of predictable financing costs.

Pioneer Urban Land’s Periwal also said Gurugram remains one of the country’s most dynamic markets, backed by infrastructure and connectivity. Noida and Ghaziabad have gained from expanding metro networks, expressway links and better social infrastructure.

Developers are expected to continue with flexible payment plans and incentives to offset higher costs. Uddhav Poddar, CMD of Bhumika Group, said more stable borrowing costs would give buyers and developers certainty, and that premium NCR housing keeps seeing healthy demand.