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The commencement of the model code of conduct for the upcoming November 30 assembly elections in Telangana has had significant repercussions, particularly within the Hyderabad Metropolitan Development Authority (HMDA) limits, where property registrations have taken a noticeable hit.
According to senior officials, a substantial portion of real estate developers, property buyers, and prospective investors are opting to postpone their real estate transactions until after the conclusion of the elections. This decision seems to be driven by a variety of factors, including the perceived inconvenience and potential risks associated with carrying large sums of cash during police checks, which have been intensified during this election period.
As a result, property owners are understandably cautious about the prospect of being subjected to these checks and potentially facing legal consequences. To avoid such hassles, many are opting to wait until the election process is complete before proceeding with their property transactions.
Another contributing factor to the dip in property registrations has been the presence of inauspicious days during this particular month. An official from the registration and stamps (R&S) department confirmed the decrease in revenue stemming from property registrations.
Comparing the revenue figures from property registrations in the current year to those from the same period in the previous year, it becomes evident that revenues have declined. For the period spanning from April to September, the department garnered 7,196 crore rupees this year, as opposed to 7,213 crore rupees in the corresponding period of the previous year. Furthermore, officials anticipate that these figures will continue to decline over the next two months.
Even in the case of agriculture land registrations, which are typically processed through tahsildar offices, there has been a noticeable decrease in the number of registrations when compared to the previous year. Data reveals that between January and September 2023, only 5.48 lakh documents were registered, as opposed to the 6.50 lakh documents registered in 2022, signifying a decrease of one lakh documents registered this year.
In the Medak district, the decline in property registrations was especially pronounced, with a sudden drop of 100 documents in just one day. On October 9, there were 466 registrations across 16 sub-registrar offices, which plummeted to 340 on October 10.
Prospective buyers, keen on investing in real estate, are holding off until after the elections, primarily due to uncertainties regarding whether nearby projects or developments will proceed as planned. Property sellers, on the other hand, are often inclined to wait, as they may believe that land values will decrease during the election period. Typically, only those who require immediate funds may attempt to sell their land or property during this time.
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