Ready reckoner painful for real estate buyers
Feb 22, 2014
Source : The Times of India

 

MUMBAI: The state government must review its latest ready reckoner (RR) rates, which is used to calculate market value of properties for payment of stamp duty and registration charges.

No doubt, stamp duty collection is one of the biggest money spinners for the Maharashtra government. But for the real estate industry and people who want to buy or sell flats, the annual hike in RR rates can be extremely painful.

This year, the government hiked the rates by 20%, leading to protests from the public. India's leading commercial business district Nariman Point has been badly hit due to this.

RR rates for Nariman Point have been fixed at Rs 43,000 a sq ft when the prevailing market rate ranges between Rs 26,000 and Rs 30,000 a sq ft. This illogical increase could kill the office transaction market in the business district and spell trouble for buyers and sellers as they can be accused of deliberately undervaluing property and carrying out black money transaction.

Another enclave which has been affected is the ancient Mahalaxmi temple complex. The RR rates in the precinct are three to four times the actual saleable value of property. The revised rate, introduced last month, is 10% more than that fixed in 2013.

The government should fix a more realistic rates in the future.

Latest Realty News

Pre-launch deals back in Thane to boost real estate
Feb 22, 2014
THANE: Home sales, especially sale of luxury apartments, have been tepid in most large Indian cities. But, signalling a rising sentiment in real estate sales, Thane developers are launching apartments to boost confidence of investors and buyers.
Over 30 Indian property developers to exhibit in Dubai
Feb 22, 2014
MUMBAI: More than 30 real estate developers from India will showcase their properties to Non-Resident Indians at an expo starting here from today.
Topics related to real estate, parking top GB clearance list
Feb 21, 2014
THANE: The city planners have approved a sweeping set of parking-use and construction rules that could change the face of Thane. The civic general body on Thursday passed without an iota of discussion sweeping changes to underground parking rules, guidelines governing permissions for temporary construction, offering of transferable development rights (TDR) for green zone, removing cap on loading of TDR, and finally removing restriction on internal changes allowed in a flat.
Rs 403-crore property tax still due
Feb 20, 2014
PUNE: Civic body-appointed brass bands will need to play louder next fiscal. The Pune Municipal Corporation has not been able to recover Rs 403 crore pending property tax despite its many efforts. At the general body meeting, the administration in a written reply to the elected members stated that property tax worth Rs 403 crore has to be recovered from the defaulters in 2014-15.
Bandra-Kurla Complex second-most pricey office space
Feb 20, 2014
MUMBAI: The commercial business district of the Bandra-Kurla Complex (BKC) has emerged as the second most expensive office location in India and eighth in the Asia Pacific region.
Owners of prime property in London confirm sale to Lodha Group
Feb 20, 2014
MUMBAI: Owners of a prime residential site in the heart of London have confirmed its sale to Mumbai's Lodha Group.
Nashik Municipal Corporation panel rejects tax hike proposal
Feb 19, 2014
NASHIK: The standing committee of the Nashik Municipal Corporation (NMC) on Tuesday rejected the municipal commissioner's proposal to increase water and property taxes, which have not been touched since 1992.
Lodha boosts its London biz with 900cr deal
Feb 19, 2014
MUMBAI: Signalling its focus on London as one of its business hubs, realty firm Lodha Group has bought another high-end property in the UK capital for Rs 900 crore, reports Rajshri Mehta. New Court, spread over 1.15 acres, is located next to London School of Economics and Kings College. The commercial building will now be converted into luxury homes. Last year, Lodha had purchased McDonald House for over Rs 3,120 crore.
Realtors welcome incentives for affordable housing
Feb 19, 2014
MUMBAI: Despite the real estate industry’s low expectations from the interim budget, there were no surprises in it for the sector. The industry, however, welcomed government support to the affordable housing sector and fund allocations to the rural as well as urban housing funds.
Pune: A sustainable luxury market
Feb 19, 2014
PUNE: It was only a few years back when a couple of high-end luxury projects were launched in Pune; analysts were busy with the cost-benefit analysis of the surge in the market. The rising interest of NRIs, HNIs and even global realty barons, soon made everyone realise that Pune had already made its mark on the luxury landscape of India. While a large section of market watchers earlier maintained that the smaller ticket size, compared to Mumbai’s luxury property, has been the prime driver of lux

Latest Realty News Of State

Realty Talk's