Circle rates in Delhi to be revised to Align with current market values.

The Rekha Gupta government is preparing a comprehensive revision of Delhi’s circle rates across categories, aiming to match current market values, boost transparency, and address long-pending classification disputes.

Puneet SoodFebruary 20, 2026Last Updated: February 20, 2026

Rekha Gupta speaks on revision of Delhi circle rates after 10 years

First structured circle rate revision since 2014
Sharp hikes proposed in mid- and lower-category colonies
Reclassification demands emerge from both premium and mid-segment areas

New Delhi: After a decade, the Delhi government is preparing a revision of circle rates in Delhi. The exercise, led by Chief Minister Rekha Gupta, aims to bring government-notified property rates closer to actual market prices and correct long-standing distortions in property valuations.

Circle rates is the minimum property values fixed by the government for stamp duty calculation which were last revised in 2014. Since then, market prices in many parts of Delhi have changed significantly, creating a wide gap between official rates and actual transaction values.

According to officials, several high-end colonies are witnessing market prices far above their notified circle rates. This gap often leads to underreported transaction values on paper and higher cash components in deals, ultimately impacting stamp duty collections.

At the same time, a few localities are currently burdened with circle rates that exceed real market prices, leading to slow transactions and reduced liquidity. The new proposal seeks to rationalise these mismatches.

The revision exercise is being carried out by a committee constituted in June, and the final proposal is expected to be placed before the Delhi Cabinet after reviewing public feedback.

Ultra-premium areas such as Prithviraj Road, Jor Bagh and Sundar Nagar are reportedly witnessing market values of Rs 18–22 lakh per square metre. There are suggestions to introduce a new A+ category to better reflect the extraordinary valuations in these pockets.

However, not all premium colonies are seeking upward revision.

Residents of New Friends Colony have submitted nearly 70 suggestions, including a petition signed by 121 residents requesting a downgrade from Category A to Category B. They argue that property transactions in the area have been 35–40% below the existing circle rate for the past five years, affecting deal closures. Residents also cite congestion and civic challenges, along with proximity to lower-category areas such as Taimoor Nagar and Zakir Nagar.

Similar downgrade requests have been raised by residents of Kalindi Colony and Sukhdev Vihar, referencing earlier valuation committee recommendations.

The government has proposed at least a 32% increase in Category B, raising the rate from Rs 2,45,520 to around Rs 3,25,000 per square metre.

Colonies such as Hauz Khas, Green Park, Punjabi Bagh and Safdarjung Enclave have reportedly seen 30–50% appreciation due to redevelopment activity, builder floors, and improved Metro connectivity.

In Category C, localities including Janakpuri, Civil Lines, Vasant Kunj, Netaji Subhash Place, C R Park and Malviya Nagar are expected to see rates rise to at least Rs 2.2 lakh per square metre, reflecting transaction values 40–60% higher than current benchmarks.

Officials indicated that the revision is likely to be sharper in Category D and E areas.

Lower-income categories F, G and H — covering areas such as Keshav Puram, Krishna Nagar, Laxmi Nagar, Narela and Burari — may see increases ranging between 8% and 29%.

The government’s stated objective is to improve transparency in property transactions, enhance revenue collection, and reduce the gap between official and market rates without disturbing overall market stability.

If implemented, the revised circle rates could: