The real estate landscape in Gurugram is undergoing a potential transformation as the Haryana government proposes a significant 30%-80% hike in circle rates for land and properties in the city. The circle rate, which serves as the minimum rate set by the state government for property registration and stamp duty determination, is poised to see adjustments that could reshape the local market dynamics.
Current Scenario:
As of now, the rates are under consideration and are expected to be finalized by the end of the month. However, concerned citizens and potential investors have until December 17 to submit objections and suggestions regarding this proposed hike.
Areas Affected:
The proposal suggests substantial increases in circle rates for key areas, including Golf Course Road, MG Road, and along the Dwarka Expressway, with hikes of nearly 70%. Additionally, Farrukhnagar, emerging as a logistic hub, could witness an 87% increase for agricultural land and a 35% increase for commercial land. Badshapur, another significant area, may experience a 40% to 80% hike for agricultural and commercial land. Wazirabad tehsil is not exempt, with the government proposing a 60%-70% increase for residential and commercial land.
Impact on Investors:
This move has taken many by surprise, especially those planning to invest in the city. With property prices already soaring, the proposed hike threatens to further inflate real estate costs. Prospective buyers, like Suman Sharma, express concerns about the steep increase disrupting their budget, potentially making homeownership unattainable for many.
Government’s Perspective:
The Haryana state government, through Deputy Commissioner Nishant Yadav, has initiated a dialogue with citizens by making the proposed rates available on the government’s website. The public is encouraged to submit objections and suggestions until December 17. The Deputy Commissioner emphasized the importance of this feedback, which will be scrutinized by sub-divisional magistrates (SDMs) before a final report is submitted on December 19.
Economic Implications:
Stamp duty collections in Gurgaon currently contribute around Rs 125 crore per month to the state government’s coffers. The proposed hike, if implemented, could significantly impact the local real estate market, influencing property transactions and investment decisions.
Expert Opinions:
Real estate consultants, including Pradeep Mishra, highlight the importance of aligning circle rates with market realities. While acknowledging that property prices have increased over the past year, Mishra emphasizes the need for a balanced approach to circle rate adjustments, ensuring they reflect market trends without creating a significant disparity.
Conclusion:
As Gurugram awaits the finalization of the proposed circle rates, stakeholders, including potential investors and current property owners, are urged to actively participate in the feedback process. The outcome of this decision will undoubtedly shape the local real estate landscape, influencing property values, investment decisions, and the overall economic climate in the city. Stay tuned for further updates as we navigate through these dynamic changes in the Gurugram real estate market.