India, Aug. 3 -- Property purchases in Gurugram may soon become costlier, with the district administration proposing a hike in circle rates. While a moderate increase of 10-15% may be absorbed by the market, a steep hike of 40-50% could disrupt buyer sentiment and soften sales momentum, say experts. They say any additional revenue generated through revised circle rates should be reinvested in strengthening local infrastructure, especially in light of the monsoon flooding that plagues the Millennium City each year.

Residents and stakeholders have been invited to submit objections or feedback by July 31.

Real estate experts caution that another hike could further impact the housing market. The last revision of circle rates in Gurugram too...