Gurugram property prices set to skyrocket as circle rate hikes proposed

Homebuyers in Gurugram could soon find themselves paying more for property, with the district administration proposing a hike in circle rates ranging between 10% and 30% across many parts of the city. The administration is inviting feedback and objections from the public until July 31, after which the new rates may be implemented.

The official tehsil-wise list of the proposed circle rates has already been made available on the district portal. According to officials cited by HT, residents and stakeholders have been urged to review the data and submit their comments to ensure a transparent and fair rate-fixation process. The administration began determining the collector rate for land in Gurugram for the upcoming financial year, marking the second major revision since December last year.

Key highlights from the proposal show significant increases in some of Gurugram’s most prominent areas. Flats within exclusive colonies such as DLF Magnolias, Aralias and Camelias may see their circle rates climb from Rs 37,750 per square foot to Rs 39,325 per square foot. Carlton’s rate is proposed to rise from Rs 15,015 to Rs 16,517 per square foot, while Crest and The Icon are slated for an increase from Rs 17,160 to Rs 18,876 per square foot. Similarly, floors in licensed colonies by developers and HSVP sectors will experience a proposed hike from Rs 9,295 to Rs 10,225 per square foot, HT reported.

Plots in major colonies within Wazirabad tehsil are in line for significant increases. For example, Garden Estate could jump from Rs 90,000 per square yard to Rs 1,03,500 per square yard, Mayfield Garden from Rs 80,500 to Rs 92,000 and Nirvana Country from Rs 1,15,000 to Rs 1,32,250 per square yard. Rosewood City is also expected to see a new rate of Rs 99,187 per square yard, up from Rs 86,250.

Across different sectors and tehsils, including Sector 1 to 7, 104 to 115, Old Gurugram, Badshahpur and Sohna Road, circle rates for both plots and flats are proposed to rise, some by as much as 77%, particularly in areas close to major highways like NH48 and the Dwarka Expressway.

Notably, the price of affordable flats is proposed to increase from Rs 5,000 to Rs 5,500 per square foot. In residential villages such as Chakkarpur, Nathupur, Silokhra and DLF Phases 1 to 5, increases of 10% to 15% are being considered.

Industry experts and property developers have largely criticised the timing, warning that the hike could further cool an already sluggish real estate market.

A local real estate expert, Vinod Behl, was cited by HT as stating that recent efforts to boost demand through interest rate reductions and increased housing supply could be undermined by the new rates, especially affecting the affordable and mid-priced segments. Parveen Jain, president of Naredco (Haryana), echoed these concerns to HT, saying the rise would “hit the market badly, bringing down transactions,” and might have a negative effect on government revenue.