Delhi set to revise circle rates after a decade

New Delhi: For the first time in more than ten years, Delhi is set to revise its circle rates, the government-notified minimum value at which properties can be registered. The move is expected to bring official valuations closer to market realities and could have a major impact on property transactions across the capital.

According to officials, the Revenue Department has begun the formal process and has issued a public notice seeking suggestions from citizens, resident welfare associations (RWAs), industry groups, and property owners. Inputs can be submitted within 15 days at the email address provided by the government.

The circle rates were last updated in 2014, despite a sharp increase in property prices over the past decade. “The Government of NCT of Delhi is in the process of revising the circle rates (minimum property valuation rates) for various categories of properties across Delhi,” the circular, issued by the divisional commissioner, stated. Officials said the revision would bring more transparency to property deals and curb undervaluation during registration.

A senior government officer told media that feedback will be analysed before finalising the new structure. “After receiving and analysing the public feedback, the government will come up with proposed revised circle rates and the entire process is expected to be completed in the next couple of months,” he said.

The current system categorises colonies into eight brackets, from A to H, depending on civic infrastructure and location. Rates presently range from Rs.7.74 lakh per square metre in premium “A” category areas to Rs.23,280 per square metre in “H” category colonies. Other bands include Rs.2,45,520 for “B”, Rs.1,59,840 for “C”, Rs.1,27,680 for “D”, Rs.70,080 for “E”, Rs.56,640 for “F” and Rs.46,200 for “G”. For commercial and industrial use, multiplying factors of 3 and 2 respectively are applied.

Agricultural land valuations, meanwhile, remain pegged at Rs.53 lakh per acre, a rate fixed back in 2008. Officials admitted that the review process had been initiated during the previous Delhi government’s tenure but was never finalised.

In June this year, Chief Minister Rekha Gupta announced the constitution of a committee led by the divisional commissioner to examine prevailing market trends and property values. The committee’s report will serve as the foundation for the revised rates.

With the capital’s real estate sector eagerly awaiting the outcome, the revision could reshape property valuations, taxation, and registration costs in the coming months.