Stamp Duty Reduction in Maharashtra- a Gift to Home Buyers
In an effort to provide relief to homebuyers in Maharashtra, the state government has cut down stamp duty charges on the purchase of property across the state. This gesture on part of the government is set to benefit home buyers as well as the real estate sector, which has been passing through a low phase for a while. The COVID-19 pandemic that struck at the beginning of 2020 aggravated the situation and threw everything out of gear. The government had to enact a countrywide lockdown to contain the virus, which hit the economy hard. It resulted in a pause in economic activities, job losses, and uncertainties which discouraged people from making major purchases like buying property. The real estate sector was hit hard, which affected property dealers and inconvenienced home buyers as well.
A much-needed Step towards Recovery
The Maharashtra government’s move to slash stamp duty albeit temporarily has brought immense relief for the entire real estate sector. This move will encourage home buyers to take concrete action of going ahead with the purchase which will save them a good amount of money. Real estate dealers are also set to benefit from this decision as sales of apartments will surge after a long period of inactivity.
In major cities like Mumbai and Pune in Maharashtra, stamp duty charges have been 5% all along. As per the new policy, the charges have been lowered to 2% from September 1 to December 31, 2020, and to 3% from January 1, 2021, to March 31, 2021. Stamp duty reduction at this scale translates into major savings for homebuyers, who’d be keen to take prompt action to benefit from this move. The current situation has naturally made everyone wary of taking decisions that have major financial implications, such as buying property. Measures like reducing stamp duty are the need of the hour as they benefit people at various levels in the chain apart from buyers.
The Road ahead
A number of property sellers across Maharashtra such as The Key, a prominent real estate consultant from Pune, are extending a helping hand to home buyers. They have launched attractive offers and easy payment options with an aim to make purchasing of the property feasible for homebuyers who are understandably hesitant now. These developments are bringing much-needed relief to home buyers, many of whom must be having genuine reasons to own property urgently but could not due to the pandemic situation that only worsened things.
Prospects for home buyers and property developers in the real estate sector in Maharashtra definitely seem comparatively better at this moment. Overall, buyers are upbeat about this. The festival season which is just around the corner now can also be attributed to this development. This phase arrives with several tempting offers and heavy discounts everywhere, including in real estate. This year, property sellers are likely to come up with more unique, and irresistible offers to generate sales. As for buyers, they’d be induced to go the distance and do their best to purchase property now since it will be most profitable to do so. No one knows how the situation will shape up in the coming times, as there’s only uncertainty now due to COVID-19. It will be crucial for them to take stock of the entire situation wisely and weigh in all the options that benefit them accordingly. The timing of the purchase of a property will be instrumental at this stage for them. Reduced stamp duty charges are for a limited time only; at 2%, they are the lowest right now, which will be till December 2020 after which, it will be 3%. Therefore, the earlier the purchase is done, the better it will be.
