Property Prices May Soon Come Down by 20 Percent
Buying a home your builder might just end up paying even your stamp duty. Yes heard it right, the apex real estate body NAREDCO Maharashtra, announced on Thursday to waive off the stamp duty and bear the burden themselves. The Maharashtra Government recently announced slashing of stamp duty by 3% from September 1 to December 31, 2020, and by 2 per cent from January 1 to March 31, 2021.
Builder members of NAREDCO Maharashtra are offering the waiver on affordable and luxury residential properties in over 1,000 housing projects. Developers from Mumbai, MMR, Pune and Nashik have decided to waive off the stamp duty and bear the burden themselves in a bid to revive the economy. Other developers are also expected to jump the bandwagon at a later stage.
Rajan Bandelkar, President, NAREDCO – West and Convener, HousingForAll.com said, “This decision to charge no stamp duty on housing sales will bring a new wave of home buying in the short–run and change the demand-supply dynamics positively.”
Meanwhile, Industry experts believe that the builder community should offer more discount apart from paying 2% stamp duty.
“The government has already reduced stamp duty and so builders will be offering 2% waiver. The builder community needs to give a discount of 10 to 15% to homebuyers,” said Pankaj Kapoor, MD, Liases Foras, a real estate research firm. According to Ashok Mohanani, President-Elect, NAREDCO – West, decided to waive the stamp duty completely on the sales of residential properties. The real estate market is currently in not a very good shape. Sales are down and developers are offering various discounts. This move is what developers expect will attract homebuyers.