Noida, India – October 24, 2024: The Noida Authority is set to give a significant boost to its revenue by proposing a substantial increase in circle rates. The proposed hike of 30% in circle rates is expected to come into effect from November 1, 2024. This move marks the first revision in circle rates in the city after a five-year freeze.
Circle rates serve as a benchmark for property valuation and are crucial for determining stamp duty and registration fees. The proposed increase reflects the significant appreciation in property values in Noida over the past few years. The surge in demand, driven by factors like improved infrastructure, better connectivity, and a growing IT sector, has pushed property prices to new highs.
The Noida Authority anticipates that the higher circle rates will translate into increased revenue from property transactions. The additional revenue can be utilized for various development projects, including infrastructure improvements, social amenities, and other public welfare initiatives.
However, the proposed hike has raised concerns among homebuyers and real estate developers. The increase in circle rates will directly impact the cost of property registration, potentially adding to the financial burden of homebuyers. Developers might also face challenges in pricing their projects competitively, as the higher circle rates could increase their costs.
To mitigate the impact on homebuyers, the Noida Authority may consider introducing some concessions or exemptions. The government might also explore ways to ensure that the increase in circle rates is not disproportionately passed on to homebuyers, preventing them from bearing the brunt of the additional costs.
Overall, the proposed hike in circle rates in Noida is a significant development with both potential benefits and drawbacks. While it aims to boost the authority’s revenue and fund development projects, it could also impact homebuyers and real estate developers. The government will need to carefully balance the financial considerations with the potential social and economic implications of this decision.
