The Uttar Pradesh government has launched a major initiative to address the significant inventory of unsold housing units in Ghaziabad. The state plans to offer discounts of up to 25% to help clear nearly 10,000 flats constructed by the Ghaziabad Development Authority (GDA) and the UP Housing Board that remain unoccupied.
New Guidelines to Standardize Pricing and Boost Sales
This push is being implemented through the newly introduced Model Costing Guidelines Basic Principles 2025. The primary objectives of these guidelines are to dispose of unsold inventories of flats and plots and to standardise pricing across all development authorities and the housing board in the state. Previously, there was a noted lack of uniformity in how different authorities calculated the cost of flats and plots.
Following the state cabinet's approval, Principal Secretary (Housing and Urban Planning) P Guruprasad issued directives to all development authorities to implement the new guidelines. A GDA official explained that the revised costing formula will now comprehensively factor in land acquisition rates, external and internal development charges, and construction costs. This recalculation is expected to lower the per-unit price by up to approximately 25% compared to the existing rates.
Breakdown of Unsold Inventory and Revised Cost Structure
The unsold stock in Ghaziabad is substantial. The GDA has 1,748 unsold flats spread across five different housing schemes. The UP Housing Board's situation is more acute, with around 8,000 unsold units in Ghaziabad alone. This includes roughly 4,000 units in the Sidharth Vihar area under the Ganga Yamuna and Hindon schemes, and another 4,000 in the Mandola housing scheme.
The current price range for GDA flats varies widely, from Rs 5.7 lakh for Economically Weaker Section (EWS) units to Rs 69.4 lakh for larger apartments across schemes offering 1, 2, and 3 BHK configurations, as well as mini LIG and LIG flats. In contrast, the Housing Board's inventory is priced higher, with a 1 BHK listed at Rs 69.4 lakh, a 2 BHK at Rs 87 lakh, and a 3 BHK going up to Rs 1.1 crore.
Additional Rebates and Capped Premiums
Beyond the base price discount, the guidelines incentivize faster payments with additional rebates. Buyers can avail of a 6% rebate for a one-time payment within 45 days, 5% within 60 days, and 4% within 90 days.
The government has also moved to cap premium charges more tightly. Flats and plots with certain advantages—such as corner units, parking-facing units, or those located on 18-metre-wide roads—will now be priced only 5% higher. This is a significant reduction from the earlier premium range of 8% to 10%. However, the official clarified that if a unit qualifies for all three premium categories, the maximum additional charge will not exceed 12% of the original cost.
Among other notable features of the new policy, the rate of interest on EWS and LIG category flats has been fixed at 8%. This move aims to make housing more accessible for lower-income groups amidst the broader effort to liquidate the stalled inventory and inject momentum into Ghaziabad's residential real estate market.
