In Gurugram, property prices are already sky-high, and with the hike in circle rates, owning property may become even costlier. Real estate experts believe that this rate increase might further impact the property market. The last revision of circle rates in Gurugram occurred on December 1, 2024, when the Haryana government raised rates by 10% to 30% across various areas.
The Haryana government has increased the circle rates. Following this decision, Gurgaon's South City 1 has become the most expensive area in Haryana. Previously, land rates were INR 82,000 per square yard, now increased to INR 90,000 per square yard.
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Middle and lower-middle-class homebuyers, generally budgeted between INR 1-2 crore, will face higher stamp duty and registration fees, making it challenging to purchase a 2BHK in premium societies. Currently, Gurugram's situation is such that even with a 1 crore budget, securing a 2BHK in a decent society is tough. With circle rate hikes, developers may also raise flat prices, as market value often exceeds circle rates. This reduces affordable choices for the middle class.
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Premium areas like DLF Phase 1-5, South City, Sushant Lok, and Golf Course Road may see 2BHK prices soar beyond INR 2-3 crore, following circle rate increases.
Newer areas such as Dwarka Expressway or sectors 84, 85, and 103, where property prices doubled from 2020 to 2024, may still offer 2BHK units within the INR 2-3 crore range.
Currently, in Dwarka Expressway or new sectors (like sector 84, 85), a 2BHK can still be found within a budget of 2-3 crore, especially in mid-segment projects. However, in posh localities like South City-1, Sushant Lok, or DLF, these units are often out of this budget due to market prices exceeding INR 50,000 per square foot. With a 10-77% increase in circle rates and continuous market value rise (doubling in Dwarka Expressway over the last four years), 2BHK units priced at INR 2-3 crore may soon exceed the budget for the middle and lower-middle class. Particularly, if stamp duty and registration fees rise by 10-20%, the total cost could escalate by INR 20-30 lakh.
