The circle rate in Noida is expected to increase soon. The Assistant Inspector-General of registration, Shashi Bhanu, mentions a strong need to revise the circle rate in Noida. As the area has been following the older circle rates since 2019, updating them according to the new rates is important. The circle rate decides the stamp duty, fees, and other amount to be collected during a house purchase. However, the cost of flats has gone up since 2019. Thus, the lower circle rate in Noida is creating a gap.
How Will Increase In Circle Rate In Noida Impact Buying A House?
The government is looking to upgrade the circle rate in Noida, Uttar Pradesh. There has been no change in these rates since 2019. However, the cost of flats has gone up in the past five years creating a gap. Thus, there is a need to revise circle rates. But how will this increase impact the cost of living and buying a house in Noida? The predictions are for an increase of 25-30% in circle rates for residential properties and 10-15% for other sector properties. If the government followed the same percentage of increase in the circle rates as predicted, then the cost of owning a house in Noida may rise to 3%.
There are majorly three things that depend on the circle rate. Let us understand the concept of circle rate and the things it impacts in detail. The circle rate refers to the minimum valuation rate at which a real estate property can be sold to a homebuyer. Thus, it directly impacts three things, stamp duty, registration fees, and transfer fees. Stamp Duty is the tax you pay on the transfer of property. Registration Fees are the charges you pay for the registration of a property. Transfer fees are the fees on the transfer of ownership.
An increase in the circle rate in Noida can impact the registration cost and the costs of owning a house. This means you will pay more money to buy a pre-owned house or a new house. It will directly impact the cost of living in that city. Noida is among the most developed cities in India. Located near the national capital, New Delhi, the city is getting a lot of growth opportunities. However, if you are looking to buy a house, it will be a good idea to buy it before the circle rate hike. It will save you a lot of money. We hope you get enough details about the Circle Rate in Noida. Stay tuned for more information.