Patna: The Government of Bihar is preparing to implement a significant increase in circle rates for land and flats from the new financial year beginning April 2026, a move that could substantially raise property registration costs across the state.
According to proposals drafted by the Department of Prohibition, Excise, and Registration, the revised Minimum Value Register (MVR) may push rates to between three and four times their current levels. The proposal, based on recommendations from district valuation committees, has been submitted to the government for approval.
Officials say the revision is aimed at correcting a long-standing mismatch between market prices and officially mandated rates. Circle rates in rural areas were last revised in 2013, while urban rates were updated in 2016. Since then, land prices have risen sharply, creating a widening gap between actual transaction values and government benchmarks.
A higher circle rate directly increases the cost of property transactions, as stamp duty and registration fees are calculated on the basis of these rates. The impact is expected to be particularly pronounced in urban centres, where both market prices and transaction volumes are higher.
While the move is likely to boost state revenues, it is also expected to place an additional financial burden on homebuyers and investors.
In anticipation of the hike, a surge in property registrations has been reported in recent days, with buyers rushing to complete transactions under the current rates. To accommodate the increased demand, authorities have decided to keep registration offices open on public holidays, including March 29 (Sunday) and Mahavir Jayanti on March 31.
For prospective buyers, the window to register property at existing rates is rapidly closing, with the revised circle rates set to take effect from April.
