Bhopal (Madhya Pradesh): Property prices in prime areas are already outpacing government-set guideline rates, and the proposed 18% hike could push them even higher.
The move has sparked strong opposition from local MP and MLAs, who argue it will make real estate unaffordable and create market distortions. The proposal to increase collector guideline rates is set to impact areas where official rates are already 50-60% higher than actual market prices.
In contrast, in high-demand areas like MP Nagar, Arera Colony and Kolar, market rates have already exceeded government estimates, raising concern over further inflation in property values.
However, Nasir Sher Khan, a registry vendor at Pari Bazaar office, said that nearly 10-12 localities in Bhopal have government guideline rates significantly above real market prices. For instance, in Pepal Nair locality of Ward No. 1, market rate stands at Rs. 500 per square foot, while the official guideline rate is Rs. 800 per square foot.
Similarly, in Gondar Mou, market prices range between Rs. 500-600 per square foot, but the government rate is set at Rs. 818 per square foot. Rate hike put on hold Bhopal collector Kaushlendra Vikram Singh has acknowledged the controversy surrounding the proposed 18% hike in property guideline rates.
Speaking to Free Press, Singh said that the hike was initially meant to align official rate with actual market value. However, following strong opposition from MPs MLAs and real estate stakeholders, the proposal has been put on hold. Singh said that further decisions on the matter would be taken after an upcoming review meeting soon.
The move comes as a relief to many, especially in areas where guideline rates were already 50-60% higher than market prices.
