How hike in the price of stamp duties can impact the Real Estate Sector?

Among all the cities in India, Mumbai is one of the most crowded places. The huge population needs more residence to settle down. However, Mumbai offers only a limited area for its residents. This makes accommodating all the people in this limited area almost impossible. Hence, Mumbaikars have to incur more expenses to buy a property.

Living in Mumbai is a dream of thousands of people, but this dream will soon become much more expensive as there are no signs of the real estate price dropping anytime soon. Also, there will be an increase in the price of stamp duties, which is to be paid while purchasing the house. Whether you would like to buy an apartment at DB Skypark or rent a place, the stamp duty price has to be paid.

In the recent events, it has been witnessed that the stamp duties have already hiked by one percent. Last year, the amendment bill for raising the stamp duty was extended by the Mumbai Municipal Corporation which got approved by the Maharashtra Legislative Assembly. This hike in the stamp duty prices will have a huge impact on the real estate sector. Buyers will bear the cost of the stamp duty fees, and the price of the house will therefore increase as well.

Since the stamp duty fees has been increased as per the amendment bill by Mumbai Municipal Corporation, the Mumbai real estate sector will witness a huge rise in the price of the property, 6% to 7% more than earlier. The additional amount collected from stamp duties stamp duty will be used for the development of bus service, etc.

The rise in the price of the stamp duty is expected to affect the real estate companies in Mumbai like DB Realty as well. For instance, if you want an apartment at DB Realty Mira Road, paying the stamp duty is mandatory while renting a property, purchasing a house, making property contracts and mortgage documents. The price hike affects the operations of the builders. However, different real estate dealers offer different deals, hence, checking out various real estate websites and knowing about the best property sites in India is crucial for the buyers. It will help them to evade paying extra as much as possible for purchasing a property in Mumbai. 

The hike in the price of stamp duties was imposed to tackle the ever-increasing population problem in Mumbai. Mumbai roads always stay congested with traffic, which makes reaching ones destination on time very difficult. To minimise this issue, the Maharashtra government is introducing new projects such as Monorail, Eastern Freeway, Metro service, and Bandra-Worli Sealink to increase the convenience of the citizens. The money collected due to the hike in the price of stamp duty will be used to benefit the development of these projects.