The state government’s decision to slash the circle rate of properties in Gurgaon by up to 15% in both residential and commercial segments has brought smiles back on the face of developers and homebuyers alike. Realtors are now hoping for some improvement in the sluggish real estate market that is in the grip of a prolonged downturn.  This will encourage people planning to buy homes in Gurgaon to come forward to purchase houses at lower price.  Everyone in the real estate market in Gurgaon/NCR has been expecting positive steps from the government to boost the market. It is a win-win situation for both the government (as revenue will increase if the real estate trading increase) and investors who will have to pay less for property registration.
However, the farmers may not be happy with the move as they get compensation for their agricultural land on the basis of circle rates. Real estate consultants are also upbeat about the cut in circle rates. The decrease in circle rate will primarily help investors in the secondary market to exit easily and in turn may encourage them to make more investment in primary market. For buyers also, it is a good move as now they will have to pay less stamp duty.

Advertisements