Will Telangana Govt Increase Rates of Lands
It is a known fact that the market value of land set by the government is will have no match with the open market rate. For instance, if the government rate of land is in thousands, the same land will be valued at lakhs in the open market.
The market value of land set during the Congress regime is being continued until today. Now the Telangana government is suddenly in the process of increasing market value.
It is all known that the Telangana government is all set to sell the government lands due to the Covid-19 crisis. Thus, the government is looking to sell the land and generate revenue. Even though the open market prices of the lands increased, the value set by the government remained the same. If the government sells the land at this price, definitely it will be a loss. Therefore, the KCR government has decided to increase the market value.
The government has ordered the appointment of ‘market valuation committees’ to study land rates. These committees will set prices on towns, cities, and highways based on survey numbers. Land in rural areas is likely to increase by 30 per cent and in Greater Hyderabad and other municipal corporations by up to 50 per cent. Farmlands prices have a chance of increasing by more than 20 per cent.
In 2013, the then Congress government determined the value of the land. But there is still a rise in value in the open markets, the growth of the realtor sector gave wings to the land rates in Hyderabad after the formation of the separate state. With this, the government focused mainly on land sales. But the government is planning to revise it as the market value is low.
If the price fixed by the government for a flat is one thousand to two thousand it is being valued at Rs 10000 in the open market. In developing areas like Hyderabad, if the government sells state-owned lands for less price then there will be no point in getting much profit. The same is said to be worth crores of rupees when compared to the outside market value. In this context, the government hopes to change the old system and increase the new market value. Doing so, it will generate crores of revenue for the government. The government has focused on selling land as well as raising prices. However, the issue will be cleared in a few days and there will be clarity given on the prices of lands in the state.