India, Oct. 7 -- The Reserve Bank of India's decision to raise the repo rate by 25 basis points to 5.50% is unlikely to derail housing demand in the National Capital Region, with developers expecting the festive season to remain steady on the back of steady end-user demand, improving infrastructure and resilient economic fundamentals.

In NCR, the impact is also expected to vary by segment and location. Premium and luxury housing, particularly in Gurugram, is likely to remain relatively insulated from a marginal rise in equated monthly instalments (EMIs), say experts.

The 25-basis-point increase, from 5.25%, is the first repo rate hike since February 2023. While the move is expected to marginally increase borrowing costs for homebuyers w...