Telangana Defers Revision of Market Value of Land
In a significant move that affects property transactions across the state, the Telangana government has decided to postpone the anticipated revision of the market values which are utilized for the calculation of stamp duty on the sale of properties. This decision has implications for stakeholders in the real estate sector, including buyers, sellers, and developers.
The revision of market values in Telangana, initially slated to be implemented from August 1, has been held back. This pause comes in the wake of a noticeable stagnancy within the real estate sector not just in Telangana but across the nation. The real estate market’s sluggishness has been attributed to a variety of factors, including back-to-back elections within a six-month timeframe, which have contributed to uncertainties and cautious sentiment among investors and buyers alike.
Insights from the department of stamps and registration reveal initial talks and preparations for a structured revision were underway. “We had preliminary discussions and prepared a basic structure for the revision. It was decided in principle to retain the rates for flats because customers have been paying almost three times our market value due to bank loans. The value will be increased for agricultural lands and open plots,” a senior official from the stamps and registration department disclosed. The considerations underscored the government’s intent to align more closely with the actual transaction values, particularly in the segments where the differential was stark.
Further developments on this matter came to light during a review meeting chaired by the Revenue Minister, Ponguleti Srinivas Reddy. In the meeting, it was emphasized that the revision of market values should be grounded in a thorough, scientific study of the market trends prevailing in respective areas. This approach indicates the government’s commitment to ensuring that any adjustments in the market values reflect the real-world scenarios in different segments of the property market – from residential to agricultural lands.
The deferment of the revision process hints at a broader strategy by the state to navigate the current challenges faced by the real estate sector. By opting for a comprehensive and methodical examination of market trends, the government appears keen on adopting measures that would not only safeguard the interests of the stakeholders but also stimulate a balanced growth in the property market.
As the real estate market in Telangana, akin to other parts of the country, grapples with the aftermath of recent electoral exercises and an overarching phase of stagnation, the government’s decision to delay market value revision is seen as a tactical move. It remains to be seen how this decision will reshape the dynamics of property transactions in the state, affecting buyer sentiment, investment flows, and the overall trajectory of the real estate sector.
This deferral may give the real estate market in Telangana the breathing space it needs to rebound and stabilize. Stakeholders are now keenly awaiting the outcomes of the government’s scientific study, hoping for a revision of market values that is in tune with the realities of the current market scenario, thereby fostering a favorable environment for all parties involved in property transactions.
