Circle rate hike to have mixed impact, temporary slowdown suspected
While the hike in collector or circle rates between 10 and 20 per cent in the district may have come as a setback to the buyer, it is likely to prove beneficial for the seller as the value of the property on paper will go up. A temporary slowdown is also suspected due to the hike in registration charges.
"The housing or the property sector may see a slowdown temporarily but the buyer will be left with no option if he or she is serious about investing or purchasing property in the city,’’ says Ravi Singla, an architect. Claiming that the property prices had been rising in many areas, especially in the Greater Faridabad region, due to the increased real estate activity, he says that a hike of 15 per cent in the registration charges may not be a cause for concern for many who believe that their property will give a return that will be much more than the amount paid for buying it at this juncture. The revision, expected from April 1, was put on hold mainly due to the elections, he adds.
"The hike will mainly impact the buyers as the registration charges are paid by them and is not a cause for concern for those who wanted to sell,’’ says Rohtash Chahal, a realtor.
Ravi Kumar, another property consultant, says that the hike will prove beneficial to the sellers as it will not only increase the value of property but will also result in the payment of money in white. He said this will also lead to a rise in the revenue of the state government.
Gurmeet Singh Deol of the Faridabad Real Estate Agents Welfare Association says that the hike may have a negative impact on the sale and purchase of property among the middle-class buyers. The hike, if had been done from April 1, 2025, could have saved money for many buyers, he says.
The Revenue Department has implemented a hike, ranging between 10 and 20 percent, in the circle or collector rates of land and property in the city and the district. The last increase in the circle rates had been made in 2023. While the maximum hike of 20 per cent has been done in parts like DLF and Sector- 29 (both residential) and commercial areas of Badkhal subdivision, Greater Faridabad, Sector 12 and Ashoka Enclave located in Sector 30 have got an increase of 15 percent over the past rates. While Greater Faridabad is mostly residential, Sector 12 and Ashoka Enclave are prime commercial areas. In Sector 12, registration charges will be Rs 1,03,500 per sq yard. A rate of Rs 46,000 per sq yard has been proposed for Greater Faridabad against the prevailing rate of Rs 40,000. The least hike of 10 per cent has been done in posh Sectors 14, 15 (commercial), Surajkund road, NIT subdivision and outer residential colonies of the city. The rates prevailing in the majority of the areas where 10 per cent increase has been done was between 20,000 and 40,000.
Sushil Sharma, District Revenue Officer (DRO), says while last year collection is yet to be calculated, this will result in an increased revenue collection and propel growth in the real estate and related sectors.
