Land prices, registration charges to soar in Telangana as Congress pushes for money

Government reportedly clears proposals for a 50 to 60 per cent hike in market value of both agricultural and non-agricultural lands; registration charges likely to increase by two per cent

Hyderabad: Owning a home in Telangana may become more expensive from next month, with the Congress government approving a steep hike in land market values and registration charges across the State. The revision, pending since last year, is expected to come into effect by the end of June or early July, potentially putting home ownership further out of reach for many.

Sources said the government has cleared proposals submitted by the Market Value Revision Committees, recommending a 50 to 60 per cent hike in the market value of both agricultural and non-agricultural lands. In addition, registration charges are likely to increase by another two per cent from the existing 7.5 per cent of the property value.

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Market values of land were previously revised in 2021 and 2022, with agricultural land seeing hikes of up to 150 per cent and real estate plots up to 100 per cent, compared to pre-State formation levels. However, registration charges had remained unchanged.

With revenue from the Stamps and Registration Department dipping to Rs 14,307 crore in 2024–25 and real estate activity slowing down, officials see the price revision as a necessary revenue boost. The move is projected to generate an additional Rs.10,000 crore, helping the government aim for a revenue target of Rs 25,000 crore this financial year.

“Land value has increased steeply over the last decade since State formation, but the market valuation used for registrations has not kept pace. This has resulted in substantial losses to the government exchequer,” a senior official from the Stamps and Registration Department said.

However, critics argue that the move could disproportionately affect middle-class families and first-time homebuyers. They caution that the government’s push to fill revenue gaps may undermine affordability in the housing sector.