In a bid to revive the real estate market in the city, Gurgaon administration has proposed to shed the circle rates of properties by 15 percent. Being one of the prime real estate markets of Delhi-NCR, the circle rates weren’t revived in the last two fiscal years. Officials said that the unchanged circle rates for two years wasn’t the only reason behind the slash this year, in fact the proposal is part of correcting the rates in par with the prevailing ground realities of Gurgaon real estate market.
An official said that in some areas the circle areas are higher than the market rates of land. The committee which decided to shrink the circle rates is led by Gurgaon deputy commissioner TL Satyaprakash, who opinioned that there was a dip in the number of property registrations in the region leading to less revenue generation by the government. He said that market rates dipped in certain regions and in order to rationalize the rates, they have proposed for slashing circle rates. Circle rates is the minimum rate at which property transactions will happen in a region.