Hyderabad's Property Prices Surge Following Land Value Revisions

Hyderabad: The Telangana government's revised land values have come into effect, leading to a surge in property prices across several localities. The official market value (card value) for land, including agricultural plots and flats, has seen sharp increases in many areas.

In Raidurgam, the residential land rate has been raised from Rs 26,700 to Rs 48,300 per square yard, while commercial property values have increased from Rs 44,900 to Rs 78,600. A similar revision was recorded in Khajaguda, where residential land values rose from Rs 32,000 to Rs 48,300 per square yard and commercial rates from Rs 44,900 to Rs 78,600.

Real estate industry representatives have expressed concerns that the increase in land values should have been accompanied by a reduction in stamp duty. Currently, stamp duty and registration charges stand at 7.5 per cent of the total property value declared in the sale deed.

"Time-to-time revision of values is a traditional periodic process followed by the governments. However, keeping the property buyers in mind, the authorities should have decreased the percentage of stamp duty as the land value has increased," said V. Rajashekar Reddy, former president of the Confederation of Real Estate Developers' Associations of India (Credai).

Gandipet mandal, which covers parts of the IT corridor, has recorded notable increases. Areas such as Narsingi, Kokapet, and Manchirevula, which were earlier peripheral hamlets, have evolved into luxury housing hubs. While average selling prices in these areas exceed Rs 1 lakh per square yard, the earlier government market values were below Rs 15,000 per square yard before revision.

Under the revised rates, residential land values have been fixed at Rs 27,000 per square yard in Kokapet and Narsingi, and Rs 22,600 per square yard in Manchirevula, reflecting the updated valuation framework.

Here are the revised market values per square yard for some prime locations in Gandipet Mandal:

- Puppalaguda: Rs. 36,800 (residential), Rs. 42,000 (commercial) - Kokapet: Rs. 27,000 (residential), Rs. 47,600 (commercial) - Narsingi: Rs. 27,000 (residential), Rs. 47,600 (commercial) - Manchirevula: Rs. 22,600 (residential), Rs. 47,600 (commercial) - Bandlaguda Jagir: Rs. 18,400 (residential), Rs. 41,700 (commercial) - Gandipet: Rs. 22,600 (residential)

The revised residential flat value is Rs. 2,700 per square foot for areas including Puppalaguda, Gandipet, Bandlaguda Jagir, Manchirevula, Narsingi, Kokapet, and all other areas in Gandipet Mandal.

These changes reflect the evolving real estate landscape in Hyderabad and the government's efforts to keep up with market dynamics. However, the real estate industry is calling for a balanced approach to ensure that property buyers are not overly burdened by the increased costs.