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Last Day of Stamp Duty Cut: 17,091 Property Registered In Mumbai

<span style="font-weight: 400;">The second wave of coronavirus pandemic notwithstanding, property registrations in Mumbai have swelled to 17,091 as the unprecedented rush among the homebuyers continued in the backdrop of all-time low home loan rates, attractive price discounts and reduction in stamp

BY Realty Plus
Published - Apr 3, 2021 4:47 AM

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The second wave of coronavirus pandemic notwithstanding, property registrations in Mumbai have swelled to 17,091 as the unprecedented rush among the homebuyers continued in the backdrop of all-time low home loan rates, attractive price discounts and reduction in stamp duty charges. Real estate experts said that the number by end of day may touch 18,500 which is almost 95 percent of the sales registrations in December 2020. On August 26, the Maharashtra government had announced to cut stamp duty on housing units from 5 percent to 2 percent until 31 December, 2020. From January 1 to 31 March, 2021, the stamp duty charges were reduced to 3 percent. On the occasion of Women’s Day, the Maharashtra government announced a 1 percent cut on stamp duty charges if the transfer of house property or registration of sale deed is in the name of a woman.  According to data available on the website of department of registration and stamps, 19,600 properties were registered in MMR in December 2020; the number touched 10,442 in January 2021 when stamp duty was at the rate of 3%; February witnessed 10,198 registrations and there were 17,091 properties registered until March 30, 2021. The sales particularly peaked in the last few days of the month with the daily rate of new registrations increasing to 707 units between March 15 and 24, 2020. The sales in March 2021 grew 234% YoY over the same month last year, registering the highest YoY growth in the months after the stamp duty cut. While March 2020 noted registrations of 3,798 units, March 2021 saw 12,696 units being registered. Registrations in the first three months of 2021 have almost reached the halfway mark of full year 2019 and 2020 at 33,280 units, it said. Knight Frank India, noted that Mumbai recorded a historic surge in property registrations driven by home sales in the last month of the lower stamp duty window that began on September 1, 2020 and closes on March 31, 2021. The euphoria amongst homebuyers has grown stronger despite the 1 percentage point or 100 bps increase in stamp duty rates effective from January 1, 2021. The value of apartments sold in Jan-March 2021 period added to Rs 39,880 crore. Since the reduction of stamp duty rates from September 2021, apartments worth Rs 1.07 lakh crore have been sold. Total value of all apartments sold in full year 2020 was estimated to be around Rs 1 lakh crore surpassing the 2019 mark of Rs 90,769 crores, it said.  

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