Real estate transactions in Nepal saw a marked improvement during the month of Kartik (mid-October to mid-November), with 33,514 properties being bought and sold. This represents a 9.78% increase compared to the previous month, Ashoj, which recorded 30,527 transactions. The volume of transactions in Kartik also shows a significant year-on-year increase of 28.67%, with only 26,046 properties being traded in the same month last year.
This upward trend in property deals is attributed to the onset of the peak season for real estate transactions. The period from Shrawan (mid-July to mid-August) through Ashoj is traditionally considered the off-season for the market, marked by lower transaction volumes. With major festivals now concluded, economic activity is expected to pick up, leading to increased real estate transactions. In addition, falling bank interest rates are expected to further stimulate the market, making property purchases more accessible.
Despite the increase in the number of transactions, government revenue from property deals has declined. In Ashoj, the government had collected Rs 3.812 billion in revenue from property transactions, but in Kartik, revenue dropped by 12.24%, falling to Rs 2.74 billion. This decline in revenue is attributed to a shift in the nature of the transactions. In Kartik, there was an uptick in the trade of lower-priced properties in rural areas, as opposed to higher-value properties typically found in urban centers. This shift in the types of properties being sold has led to lower revenue generation from taxes.
The highest number of property transactions during Kartik took place in Sunsari, where 1,246 transactions were recorded. It was followed by Morang with 1,112 transactions and Dhanusha with 1,024. Other regions with high transaction volumes included Saptari (1,022 transactions), Bhadrapur in Jhapa (998), and Dhangadhi in Kailali (863). In contrast, districts like Malangawa in Sarlahi and Siraha saw lower transaction numbers, with around 700–750 transactions each.
The highest revenue from property transactions came from Kathmandu Valley, where properties in areas like Lagankhel (Lalitpur), Chabahil (Kathmandu), and Bhaktapur generated significant tax revenue due to the higher value of properties in these locations. The Land Revenue Office in Lagankhel, Lalitpur, for instance, reported a collection of Rs 24.57 million. Other revenue-generating locations included Chabahil, Kathmandu (Rs 214.25 million), Bhaktapur (Rs 176.89 million), and Kalanki, Kathmandu (Rs 178 million).
While Kathmandu Valley remains the primary source of real estate revenue, other regions such as Chitwan, Sunsari, and Kailali also contributed to the overall tax collection, though at lower levels compared to the capital. The revenue generated by these regions ranged from Rs 72 million in Kailali to Rs 79.8 million in Chitwan.
The overall outlook for the real estate market remains positive, with expectations of continued growth as the peak season progresses and interest rates stay low. However, the shift toward more rural, lower-priced properties may continue to affect government revenue despite the rise in transaction numbers.
