The Gurugram district administration has proposed a significant hike of 10% to 30% in circle rates across multiple zones of the city, triggering widespread concerns among developers and homebuyers alike. Circle rates, which are the minimum property valuation set by the government for taxation, directly impact the overall property registration cost.
Proposed Revisions Across Colonies
The hike affects various property types — from upscale apartments on Golf Course Road to affordable flats in sectors 104–115, as well as plots in major colonies like Nirvana Country, Rosewood City, and Malibu Towne.
Examples of revised circle rates include:
- DLF Magnolias: ₹37,750 psf to ₹39,325 psf
- Carlton: ₹15,015 psf to ₹16,517 psf
- Nirvana Country (plots): ₹1,15,000 psy to ₹1,32,250 psy
- Affordable Flats: ₹5,000 psf to ₹5,500 psf
Overall, residential areas in Old Gurugram, Wazirabad, Gurgaon Village, and Sohna Road are seeing proposed hikes between 15% and 77%.
Government Seeks Public Input
Deputy Commissioner Ajay Kumar stated that the public can submit objections or suggestions regarding the revised rates by July 31, 2025, via the portal gurugram.gov.in. The administration aims to finalize the 2025–26 collector rates through a transparent and participatory process.
Developers and Experts Raise Red Flags
Developers have urged caution, stating that the realty market is already reeling under three consecutive quarters of weak sales.
Vinod Behl, a Gurugram-based real estate analyst, warned that the hike may derail the affordability-driven demand recovery, especially in the mid-income segment.
Parveen Jain, President of NAREDCO (Haryana), criticized the move, saying it would dampen sentiment and reduce transactions, ultimately hurting government revenue.
Market Sentiment at Risk
The proposed rate hike is seen as ill-timed, potentially raising the cost of property acquisition and discouraging both buyers and investors. While the goal may be to align government valuations with market trends, experts suggest the move could further delay market revival, especially in price-sensitive categories.
If implemented without adjustments, the circle rate hike could be a major setback for Gurugram’s real estate sector.
