Circle Rate in Lucknow

Circle rate is the minimum value for real estate dealings and property registration, and it is set by the government. When looking to buy a new home in Lucknow, it is crucial to be aware of this rate. 

The circle rates impact the stamp duty and the registration fees levied during property purchases. Additionally, the circle rates change depending on the location, region, and area of the land.

Here is a brief overview of circle rates in different areas of Lucknow.

Below mentioned are the steps to calculate the value of a property using the Lucknow circle rates:

• Step 1: Find out the property’s built-up area

• Step 2: Locate the property’s age, facilities offered, and other factors

• Step 3: Ascertain the property type

• Step 4: Use this formula - Land Value = Built-up area of the property (in sq. m.) X locality's circle rate (in Rs. per sq. m.)

To illustrate, if the property is spread across an area of 5,000 sq. m. and the circle rate of the area where the property is ₹20,000 per sq. m. By entering these values in the above formula, the value of the property will be: 5,000 x ₹2,000 = ₹1 Crore

The circle rate reflects the state-imposed minimum rate below which you cannot sell or buy a property or land. However, the circle rate changes periodically and there are numerous factors that affect these rates.

Here are some of these factors: 

• The property’s area or location

• Potential age of the structure

• The amenities offered by the builder

• Use of the property: residential purpose or commercial

• Type of the property: whether it is an apartment, villa, flat, etc.

It is imperative to have a complete understanding of the current Lucknow circle rates if you are looking to purchase a property in the city.

In addition to the price of the property, you will also have to bear other expenses, such as stamp duty charges and registration fees. The latter is estimated based on the prevailing circle rate in the area where you wish to purchase the property. 

You can also use the circle rates to get an estimate of the property value and plan your financing accordingly. Thus, knowing the Lucknow circle rates will help you estimate housing loan requirements.