Adding to the series of incredible twists and turns in the state’s real estate journey, Maharashtra Government has introduced some respite for homebuyers and the real estate sector. The Government has planned to slash Stamp Duty and Registration Charges to give a boost to the real estate sector.
In recent years, Maharashtra’s real estate landscape has witnessed some major developments. Be it the surge in demand or a large number of unsold flats in Mumbai. On March 6, the Maha Vikas Aghadi government had introduced a 1 percent stamp duty reduction and other charges which are applicable on registration of documents in the areas marked under the Mumbai Metropolitan Region Development Authority and municipal corporation of Pune, Pimpri Chinchwad, and Nagpur till 2022.
A Ray of Light for the Real Estate Sector
The recent decision by the government has sparked a new ray of light for the state’s real estate sector, which will give a major boost to the industry.
According to the state revenue minister, Balasaheb Thorat there were various demands from the developers’ body and stakeholders of the industry on reducing the registration and stamp duty charges.
Presently, the Maharashtra Government charges a six percent stamp duty against a total cost of the flat coupled with one percent stamp duty charges or ₹30,000 registration charges, whichever is lower.
The government will ponder over the demands and requests of stakeholders and take an appropriate decision under the leadership of chief minister Uddhav Thackeray.
Mr. Balsaheb also talks about the measures taken by the government to encourage hassle-free registrations, which includes giving online registration rights to developers to make online registrations of their customers right from their offices.
The lockdown period has proven to be a major blow for the state as Maharashtra lost more than ₹2000 Crore revenue collected from Stamp Duty and Registration Charges.
Real Estate Industry Heavyweights believe this decision will contribute to the real estate industry's revival, which is a key factor in building a robust economy.
Square Yards, CEO, Tanuj Shori reaffirms that reducing Stamp Duty would boost the real estate sector which employs more than 50 million people in India and is a major contributor to the country's GDP.
This reduction in stamp duty will possibly have a positive impact on homebuyers especially when it’s implemented in cities like Mumbai where the capital values of residential apartments are skyrocketing. It is expected that this move is going to attract home buyers and unlock a number of real estate deals. People who have given up on their home-buying decisions could be encouraged to rethink and expedite. With so much positivity surrounding this decision, we could soon expect to re witness the lost sheen in the real estate industry.