Homebuyers sitting on the fence are likely to enter the property market and move forward with their purchase decisions following the the temporary reduction in stamp duty by Maharashtra Government, according to top real estate developers.The ready-to-move-in residential properties will be in more demand than the under-construction flats, they said.
On Wednesday, the Maharashtra Govt decided to slash stamp duty on sale deed documents by 3 per cent from September 1 to Dec 31, 2020, and by 2 per cent from January 1, 2021 to March 31, 2021.
Currently, the stamp duty rate is 5 per cent for urban areas and 4 per cent for rural areas.
Stamp duty is a transactional tax collected by the government on property purchases.”The temporary stamp duty reduction is an excellent move by the Maharashtra Govt. It has been intelligently designed to expire in a time-bound manner which creates an incentive for fence-sitting homebuyers to move forward with their purchase decisions,” Godrej Properties Executive Chairman Pirojsha Godrej told PTI. Embassy Group Chairman and Managing Director Jitu Virwani termed it as an encouraging move by the Maharashtra Govt.
