HYDERABAD: After the Centre gave enough hints that the creation of Telangana state was certain, property registrations in Hyderabad, especially surrounding areas, dropped significantly in the last two months.
Official sources said property registrations dropped by 20% compared to last year and revenue also dipped in the entire state. Registration and stamps department officials claim the situation might continue for some more time till location of new state capital for the residuary state of Andhra Pradesh is finalised.
For instance, 400 registrations were done at Sub-Registrar Office (SRO), Serlingamaplly, which covers area like Manikonda, Chandanagar, Vattinagulapally, Nallagandla and Taranagar in December, 2013. However, the transactions came down to 312 in January and fell further to 178 in February (up to Feb 20).
Similar is the situation at the SRO, Uppal, whose jurisdiction is spread over Uppal, Boduppal, Medipally and Peerzadiguda, where 970 registrations were recorded in December 2013, while it has come down to 832 in January and in February only 550 documents were registered. “Until a couple of months ago, we used to register about 25-30 documents a day. However in the last one week, the number of registrations has come down to 10 per day,” D Vasudeva Reddy, SRO, Serlingampally told STOI.
At areas like LB Nagar, Madhapur, Qutubullapur, Shamirpet, Shamshsbad and Medchal the drop was significant. “There has been a lull in property registrations, especially East and West divisions of Rangareddy, which has the highest potential in the state. Since many property owners (about 80%) buy open land (plots) for investment purpose, they must have been waiting to reinvest the amount in the new capital areas,” a senior official of the registration and stamps department said.
The official said there was a 20% deficit in revenue compared to last year (as on January 31, 2014). Last year (till January, 2013), the department had mopped up revenue to the tune of Rs 4,801 crore with 19 lakh registrations, but this year (January 2014) the department’s revenue was Rs 3,835 crore with 14 lakh property registrations in the entire state.
With regard to Rangareddy district, the department had last year earned about Rs 1,334 crore while this year, it could earn about Rs 1,138 crore. The surrounding Nalonda and Medak districts have also registered decline in registrations.
Interestingly, not may property transactions were reported in Guntur district with rumors that the Centre might declare the areas between Guntur and Vijayawada for setting up new capital for the Seemandhra state. The official said the land owners might be waiting for the Centre’s decision and not selling away their land. “Tenali SRO jurisdiction in Guntur has recorded 42% less revenue (highest drop in the state) towards property registration compared to last year (as on January),” another official of the department said.