2 weeks Ago
Noida, Greater Noida, and Jewar are set to see a hike in circle rates ranging from 20% to 70%, effective April 1, marking the first increase in nearly nine years. This rise was anticipated, as it aims to close the gap between circle rates and actual market values in these regions following the sustained increase in land and property prices in these areas driven by ongoing infrastructure development. Real estate experts predict that the adjustment will result in higher stamp duty and registration costs for homebuyers, which could raise overall transaction expenses and potentially affect sales.
The proposed hike for high-rise apartments in Noida is expected to be 20%, while Greater Noida may see an increase of up to 30%. Circle rates for agricultural land are also set to rise, with Jewar, where the Noida International Airport is likely to open in May this year, experiencing the steepest increase of almost 70%, Greater Noida rising by nearly 50%, and Noida by 40%. There is already an escalating price trend in the region by the real estate developers.
As per data shared by ANAROCK Research, the average residential prices in Noida has till date seen a significant 92% jump between 2019-end to Q1 2025-end – from ₹ 4,795 per sq. ft. in 2019-end to nearly ₹ 9,200 per sq.
ft. in Q1 2025-end. Meanwhile, average prices in Greater Noida jumped up by a whopping 97% in the period – from ₹ 3,340 per sq.
ft. in 2019-end to ₹ 6,600 per sq. ft.
as of Q1 2025-end. This indicates the escalating price trend in the region by the developers. According to Santhosh Kumar, vice chairman - ANAROCK Group, the proposed increase in circle rates in Noida, Jewar and Greater Noida will further raise the overall cost of property acquisition for the homebuyers because with the increase in circle rates the stamp duty payable on property transactions will also go up.
This will be in addition to the already increasing residential property prices by the developers in these regions. Therefore, the proposed hike in circle rates may have some impact on the sales in the near future because besides increased property rates home buyers will have to pay more stamp duty charges as well. “The hike as such looks inevitable because the real estate growth in these regions has been rapid in the last few years and the government is increasing the circle rates in line with the current property values prevailing there.
Moreover, the hike in circle rates has been long pending since 2019,” he said. Proposed increase in circle rates long overdue The proposed hike in circle rates in Noida and Greater Noida is a long-overdue step that acknowledges the significant appreciation in property values in the region. “This move will not only help check the flow of unaccounted money in the sector but also curb unhealthy speculation and price rise.
As a result, it will generate much-needed revenues for the authorities, which will be invested in developing, improving, and maintaining infrastructure,” said Sahil Agarwal, CEO, Nimbus Developers. “This is a welcome step towards bringing transparency and stability to the real estate market, and we applaud the government's initiative. Moreover, this move will also greatly benefit genuine end-use homebuyers, particularly in the resale market, by providing them with a clearer and more transparent pricing mechanism," he said.
Recalibration of property values The proposed hike in circle rates across Noida, Greater Noida, and Jewar signals an important recalibration of property valuations. With an anticipated increase ranging from 20% to 70%, this move reflects the administration’s attempt to bridge the gap between official rates and real market trends, responding to the sustained rise in land and property prices driven by infrastructure development over the years. Jewar, in particular, is set to witness the most substantial rise, with agricultural land rates potentially increasing by 70%, highlighting the growing demand spurred by the upcoming Noida International Airport.
“ While this adjustment aims to narrow the gap between circle rates and actual market values, it will also lead to higher stamp duty and registration costs for buyers, impacting overall transaction expenses. Despite the immediate financial implications, this move is expected to enhance investor confidence and support the long-term growth trajectory of Noida and its surrounding regions,” said Ravi Nirwal, Sales Director and Principal Partner, Square Yards. Manoj Gaur, CMD of Gaurs Group and Chairman of CREDAI National, welcomed the district administration's decision to seek public input on the proposed circle rate hike.
"While a revision after nine years is understandable, it's crucial to consider the cumulative effect of previous increases by the Noida Authority. Adding the proposed 20% hike will significantly raise the total amount, which could drive up prices, especially as the real estate sector is poised for substantial growth and is contributing greatly to the district and state's economy. However, given that this hike follows a long gap of nine years, the sector believes the increase could be more moderate to better align with the overall economic interests," he added.
Amit Modi, Director of County Group, stated that while the move aims to align the circle rate with prevailing market prices, it should also consider that the real estate market has entered a phase of consolidation, with prices beginning to plateau. Additionally, he emphasized that the District Administration, in finalizing the circle rate, should take into account the cumulative impact of similar hikes by the Noida Authority in recent years on the sector..
