By Anuj Puri, Chairman – ANAROCK Property Consultants
The proposal to raise circle rates in Noida, Greater Noida and along the Yamuna Expressway by as much as 40% and additionally apply a 5-12.5% surcharge on properties along the Metro route or near the Expressway could not have come at a less ideal time. The NCR real estate market has only just begun recovering from the dual impact of Lockdowns 1.0 and 2.0. At this point in time, a softer pricing regime would have encouraged more buyers as they are still struggling with the economic impacts of the Covid-19 pandemic.
The rationale is obviously to replenish depleted state coffers, and the recent uptake in real estate buying activity in NCR may have prompted the authorities to make this move. At this point, it is still only at the proposal stage and it is to be hoped that the authorities will reconsider this ill-timed move.