Property Prices Soar in City After Land Value Revision

The Telangana government’s revised land values took effect on Friday, with sharp increases in several Hyderabad localities. In Raidurgam, residential land rates rose from Rs 26,700 to Rs 48,300 per square yard, while commercial property values increased from Rs 44,900 to Rs 78,600. Similar hikes occurred in Khajaguda, where residential land values climbed from Rs 32,000 to Rs 48,300 per square yard and commercial rates from Rs 44,900 to Rs 78,600. The revisions reflect updated valuations for agricultural plots and flats, particularly in Gandipet Mandal, a key IT corridor area. Areas like Narsingi, Kokapet, and Manchirevula—once peripheral—now qualify as luxury housing hubs. Residential land values in these regions were set at Rs 27,000 per square yard in Kokapet and Narsingi, and Rs 22,600 in Manchirevula, up from below Rs 15,000 previously. Industry representatives, including V. Rajashekar Reddy, former president of the Confederation of Real Estate Developers' Associations of India (Credai), argued that the land value hikes should have included a reduction in stamp duty. Currently, stamp duty and registration charges stand at 7.5% of the declared property value. Specific revisions in Gandipet Mandal include Puppalaguda (residential: Rs 36,800, commercial: Rs 42,000 per square yard), Bandlaguda Jagir (residential: Rs 18,400, commercial: Rs 41,700), and Gandipet (residential: Rs 22,600). Residential flats in these areas were valued at Rs 2,700 per square foot under the new rates. The government’s periodic land value revisions aim to align market rates with actual demand, though critics highlight the financial burden on buyers without corresponding tax relief.