They have said that the government’s move to cut stamp duty on housing units from 5 per cent to 2 per cent until December 31, 2020, and 3 per cent until March 31, 2021, has led to record-breaking property registrations and overall improvement in homebuyers’ sentiment
Given the regulations and distress that has been there in the Mumbai real estate market, several local developers are exiting the business or just focusing on completing their existing projects. Hence there is an opportunity for newer players to come and make their mark.
Real estate developers have urged the government of Maharashtra to extend the prevailing stamp duty rebate that expires on March 31, 2021, by a year, saying that the move had improved homebuyer sentiment and increased property registrations.
In a letter presented to Balasaheb Thorat, Revenue Minister, Maharashtra Government, CREDAI MCHI, a leading real estate body with over 1800 member developers, said that the state government must extend the prevailing stamp duty rebate by 12 months until March 31, 2022.
It said that the move had “substantially improved homebuyer sentiments and property registrations, led to higher job creation and tax collections for the state. It has created a positive cascading effect enabling the industry to take a lead in the revival of Maharashtra’s economy.”
The industry body maintained that an elongated time frame to avail the reduced stamp duty charges will ensure the sustenance of the sales momentum that has witnessed record-breaking property registrations in the past six months.
“The state government has played a pivotal role in enabling the real estate industry to spearhead the revival of the economy amid the pandemic. We highly laud the revenue minister Balasaheb Thorat for his decisive and forward-looking approach that has led to record-breaking property registrations and overall improved homebuyer sentiments in the past six months,” said Deepak Goradia, President, CREDAI MCHI.