Congress govt plans steep hike in land registration values

Telangana is preparing to revise land registration values by up to 30 per cent, potentially increasing costs for homebuyers. The move, driven by revenue concerns, will impact residential, commercial and agricultural properties across key districts including Hyderabad’s growth corridors.

Hyderabad: In a move that is likely to impose a significant financial burden on prospective homebuyers, the Congress government in Telangana is gearing up to revise land registration values across the State. Apart from residential and commercial land value, the government has also prepared proposals to hike the registration value of agricultural lands.

The Stamps and Registrations department took up a comprehensive exercise to reassess market values, citing a widening gap between official rates and prevailing open market prices. District-wise field reports are being compiled, with a sharp focus on high-growth regions surrounding Hyderabad, including Ranga Reddy, Medchal-Malkajgiri, and Sangareddy districts, citing an increase in land prices in recent years.
Officials informed that the proposed revision could range between 10 per cent and 30 per cent, depending on location and land category. Separate benchmarks are being worked out for agricultural lands, residential plots, and apartments, while premium rates are likely along highways and high-demand corridors.

---

While the government has framed the exercise as a rationalisation of land values, the timing and scale of the hike pointed to a clear revenue-driven approach. The State has struggled to meet its revenue targets in recent years. In 2025–26, revenue from Stamps and Registrations stood at Rs 13,775 crore till February against an estimate of Rs 19,087 crore which is a substantial shortfall.

The figure marks only a partial recovery from Rs 8,473 crore in 2024–25, following a dip after the change in government. Officials have estimated that it could hover around Rs 14,500 crore by March end, but only marginally high compared to Rs 14,295 crore in 2023-24 and Rs 14,228 crore in 2022-23 during the BRS regime.

The State revenue gap pushed the State government to explore aggressive revenue mobilisation strategies, with land registration emerging as a key lever. However, the move is expected to directly impact middle-class buyers and first-time homeowners, as higher registration values translate into increased stamp duty and registration charges.

The impending hike is expected to come into effect within a couple of months. Deputy Chief Minister Mallu Bhatti Vikramarka recently directed the officials to expedite the submission of reports for approval before the next Cabinet meeting. As part of its efforts to push real estate prices, the Congress government is planning to conduct global-level promotion of land auctions conducted by HMDA to maximise returns as part of a strategy to monetise land assets.

Experts note that while real estate demand has shown signs of recovery after a prolonged slowdown, driven largely by end-users, a steep hike in registration values at this juncture could dampen sentiment. For many buyers, especially in the affordable housing segment, the increased transaction costs might prove a deterrent.