Land prices set to rise in Telangana

Efforts to increase land registrations complete
Agricultural land prices expected to rise by 50 to 80 percent
Non-agricultural land prices expected to rise by 15 to 30 percent
The Telangana government’s efforts to increase land registration values have reached the final stage. The Revanth Reddy-led government is set to gather public opinions and objections regarding the proposed increase in land values. Based on the area, agricultural land prices are expected to rise by 50 to 80 percent, while non-agricultural land prices are expected to increase by 15 to 30 percent. The new land value rates, which were announced in December, are expected to be implemented soon.

The Telangana government’s Stamps and Registration Department has completed the process of assessing land registration values. Officials from the Revenue Department, along with Stamps and Registration Department officers, have visited the sub-registrar offices to assess the market value of lands according to survey numbers. Based on this field-level survey, the government has estimated how much the land values should be increased in different areas, with a scientific approach to setting market values.

The government has decided to raise values in areas that meet certain parameters, such as those identified as commercial zones. If a previously non-commercial area has developed commercially, the government is willing to raise the market value there as much as possible. Proposals have been prepared by the government on where and by how much the land values should be increased. In rural areas with irrigation facilities, the price per acre has reached anywhere from Rs 40 lakhs to several crores, depending on the location. In areas without irrigation facilities, land prices start at Rs 20 lakhs per acre and can go up to Rs 60 lakhs, depending on the region.

According to the government’s calculations, the current land registration values in Telangana range from Rs 75,000 to Rs 2 lakhs. This has resulted in a significant disparity between the government-set prices and the actual market prices. To reduce this gap, the government has decided to increase land values. Agricultural lands along national highways and state roads in various areas are already priced between Rs 1 crore to Rs 5 crore per acre, depending on the region. As a result, the government is considering a substantial increase in agricultural land prices.

In the past, during the BRR (Bharat Rashtra Samithi) government’s tenure in 2021 and 2022, the prices of both agricultural and non-agricultural lands were raised consecutively, with increases of 30 to 50 percent based on the open market rates. Now, the Congress government aims to ensure that there is no significant disparity between the actual and market values of land and has directed officials to increase the land values accordingly.

It is reported that a committee of district collectors has already studied the market values and prepared proposals for increasing land values. The Stamps and Registration Department has also conducted a field-level study and prepared a report on the proposed land value increases.

As part of the process to revise land and property registration values in the state, the authorities have categorised agricultural land values into three categories. They are: agricultural land in villages, agricultural land along state and national highways, and land that is ready for non-agricultural purposes. Based on these categories, market values will be determined accordingly.

Reports suggest that the value of agricultural land in the state could increase by 50 to 80 percent depending on the region, while the values of non-agricultural land and real estate may increase by 15 to 30 percent depending on the location. In rural areas, the government is considering raising the minimum value of agricultural land to Rs 2.5 lakh per acre. Currently, the minimum price for agricultural land in Telangana is Rs 75,000 per acre. This will be tripled, and the minimum price per acre is expected to be set at Rs 2.5 lakh, according to government sources. The Telangana government also expects these values to be higher in tribal areas and agency regions, such as Bhadradri Kothagudem, Mulugu, and Asifabad. For these regions, agricultural land registration values will be fixed at Rs 2.5 lakh per acre.

Additionally, the government plans to revise the value of agricultural land along national and state highways to Rs 35 lakh to Rs 50 lakh per acre. The value of land that is ready for non-agricultural purposes may increase from Rs 80 lakh to Rs 1.2 crore, depending on the region.

For residential plots, the minimum value per square yard will be increased to Rs 800 to Rs 1,000. For flats in the HMDA jurisdiction, the composite rate for per square foot will be raised to Rs 1,000 to Rs 1,500. However, in tribal and agency areas, the minimum value for residential land will be fixed at Rs 500 per square yard.

The revision of land and property registration values has been completed, and the revised values will be published on the official government website in the second week of November. After gathering objections and suggestions from the public and various groups, the final decision will be made by the Revanth Reddy-led government. The revised land values are expected to come into effect starting from December.