Solely seven per cent of property registrations in Mumbai have been from new residential gross sales and 93 per cent of registrations have been from transactions between December 2020 and March 2021, for which relevant stamp duties have been paid throughout the decrease charge window, mentioned a report by Knight Frank.
The Maharashtra state authorities in December 2020 had given a leeway of 4 months to homebuyers to register a property after the cost of stamp obligation to be able to stop crowding of registration places of work. This ensured that homebuyers who had bought residences and paid stamp obligation on or earlier than March 31, 2021, have most window of 4 months until July 31, 2021 from the respective date of cost of stamp obligation for registering their condo.
There had been a really sharp choose up in property registrations in Mumbai between September 2020-March 2021 throughout the 7 months of concessional stamp obligation window, therefore, when the state authorities reverted to the earlier stamp obligation regime, gross sales momentum was anticipated to reasonable publish March 31, 2021. However the fall in momentum has been exacerbated by the second wave of Covid-19 and the following lockdown, Knight Frank mentioned.
Shishir Baijal, Chairman & Managing Director, Knight Frank India: “In April 2021, as the federal government withdrew the discount in stamp obligation, coinciding with the second wave of the pandemic leading to a digital lockdown, demand and gross sales of recent properties was severely impacted. Due to this fact, we sincerely really feel that the State Authorities, at an opportune time, ought to rethink measures to reinvigorate demand reminiscent of discount in stamp obligation to deliver again the momentum and assist the sector tide over the disaster.”