Nagpur: Relaxation in stamp duty that follows the Covid outbreak is not only lost, but the amount paid also increases recently even as realtors and home loan consultants say the market has not recovered from the pandemic effect.
On June 14, the state government has raised costs incurred by mortgage intimacy to 0.5% of the loan amount as against the nominal charge of Rp1,000 before.
Although the upper limit of the RS15,000 has been maintained, but even for RS10 Lakh buyer loans must issue RS5,000 as an intimate cost.
It’s five times more than the previous level.
Mortgage’s intimacy must be carried out in the Office Registrar of Properties if the loan has been taken for purchase.
This is to reveal that there is a bank mortgage or financial institution on the property.
The aim is to prevent fraud.
It is expected to be able to regulate sentiment, especially among middle-level property buyers, said financial consultants provide services for available loans.
Now not only the stamp duty returns to the previous level, but there is an additional burden on the home buyer.
Even if the cost of inflammatory mortgage has been limited to RS15,000, the number is substantial for a fixed home buyer, which has struggled to regulate funds, Deepak Trivedi said, a financial consultant who provides home loan services.
The average cost of a house comes around RS40 Lakh in the city.
In general, buyers borrow to RS30 Lakh to fund purchases, Trivedi said.
A valuable house RS40 Lakh pulled the stamp duty RS2.40 lakh at 6%.
Then there is a registration fee, which is 1% of the number or RS30,000 which is higher.
Both components took the number of tasks to RS2.70 lakh in the RS40 Lakh property case.
The level of mortgage of 0.2% had previously increased to 0.3% from April.
This adds another RS9,000, taking it to RS2.79 lakh at all.
The latest addition is the cost paid on the introduction of a mortgage property.
For RS30 Lakh loans, reach RS15,000 which is the maximum debt.
“Suppose the loan is RS20 Lakh, coming to RS10,000, which is a large amount for small or medium ticket home buyers,” Trivedi explained.
From December 31, 2020, the stamp duty returned to the initial level of 6% from 3% in September last year.
The task pieces are carried out to facilitate purchases during the Covid period.
The plan is gradually brought it back.
Now not only the task returns to its original level, there is an additional burden too, he said.
Anil Nair, former Nagpur Branch President of the Confederation of Developer Real Estate Association of India (Credii), said the costs increased even when the market had not recovered.
Even development costs have been made up to 4% from 2% earlier.
Now the increase in the cost of intimacy of mortgages can further reduce sentiment, he said.
Additional task load for home buyers in the middle of a pandemic
