Offices that typically process around 200 registrations per day handled between 500 and 1,000, while some locations recorded nearly 2,000 transactions in the last two days

kiranmai tutika I hyderabad

People made a bee-line to registration offices across Andhra Pradesh as property buyers and sellers scrambled to complete transactions before the state government’s new land market values comes into effect from February 1. Anticipating an increase in registration fees, people lined up in large numbers, forcing some offices to remain open late into the night to accommodate the surge in applications.

The state government had earlier announced that land values would be revised based on a district-level assessment, with rates expected to increase by 5 to 15 percent in most areas. However, officials clarified that the capital city region of Amaravati would be exempt from any revision. The revision is set to impact stamp duty and registration fees, making registrations more expensive for buyers.

“Normally, property registrations slow down before Amavasya due to traditional beliefs, but with just two days left for the new rates to come into force, buyers and sellers set aside their sentiments and thronged registration offices,” said N. Ramesh, an employee at the Registration office in Patamata, Vijayawada.

Reports indicate that several districts, including Guntur, Krishna, NTR, and Bapatla, saw a three to fivefold increase in registrations. Offices that typically process around 200 registrations per day handled between 500 and 1,000, while some locations recorded nearly 2,000 transactions in the last two days.

Such was the demand that some registration offices especially in Guntur and Krishna regions continued processing documents well past regular working hours. In certain areas, officials worked late into the night to clear the backlog. The heavy influx of registrations also led to technical glitches in the department’s online servers, causing delays and frustration among applicants.

Buyers rushed to register properties before the revision to avoid higher stamp duty and registration fees. Even a 5 to 15 percent increase in land market values translates to thousands or even lakhs of rupees in additional costs. 

T Durga Prasad, a wholesale cloth merchant in Vijayawada city who bought land in the outskirts of the city said that, “It is a good thing that the government is increasing the market value of the lands, which would fetch a good profit to the sellers in the future.

But now, since I am on the buying end I would find it easy if the stamp duty is less and since tomorrow it’s going to increase it would cost me an additional amount of anywhere above Rs.5 lakh to10 lakhs.”

In fact, many sellers pushed buyers to complete deals before February 1, as the new rates would force them to declare a higher portion of their sale amount in lega. Traditionally, a significant portion of real estate transactions involve unaccounted cash, but the new revision would require sellers to show a higher official sale value. Also, the arrival of the Maghamasam, considered a favorable period for property transactions, played a role in the increased footfall at registration offices.

The state government had initially planned to revise the land values from December 1, 2024, but the proposal was delayed following requests from real estate representatives and public officials. Unlike the previous YSR Congress Party (YSRCP) government, which implemented a uniform 20-30 percent hike in 2023, the current NDA-led government opted for a more scientific approach.

District-level committees, led by joint collectors and supported by registrars, revenue officials, and survey department officers, studied market trends for 45 days. The government directed them to revise rates only in areas with high transaction activity, ensuring that areas with stagnant growth faced minimal changes.