Shortlist calculator rate in city, increased by MMR

On Friday, the state government sent mixed signals to the real estate reducing the rates ready to calculate in Mumbai, but at the same time increasing them in other municipal corporations in the Mumbai Metropolitan Region (MMR) and the rest of the state.

Almost all major Mumbai builders have projects in the extended Mumbai Metropolitan Region. On Friday, everyone was struggling to make sense of the government’s move, not knowing whether to praise or criticize it.

While the immediate calculation rates for Mumbai have dropped 0.6 percent, the average increase for the rest of the state, including the MMR, is 1.74 percent. However, Omprakash Deshmukh, Inspector General, Stamps and inscriptions, said that rates could be revised down by 2 percent for Mumbai if the government accepts the recommendations of the Deepak Parekh Committee.

Initial calculation rates are benchmarks for real property on the basis of which stamp duty is charged. With the real estate boom in early 2000, the government had raised rates substantially, and developers say rates are now skewed. “Property prices have fallen in Mumbai, but the calculation rate is much higher. There is a gap of 20 percent between the initial calculation rate and the current market rates, ”said a developer who did not want to be named.

According to information released by Deshmukh’s office in Pune, calculation-ready rates have increased by an average of 2.81% in rural areas, covering 42,167 villages; 1.29% in 368 municipal councils; and 1.02 percent in 27 Municipal Corporation areas.

the Mumbai City and Mumbai Suburbs they are the only areas in the state where calculation fees have been reduced. In Thane, the rate increased by 0.36%, 0.25 in Mira Bhayandar, 0.76 in Kalyan-Dombivali, 0.99 in Navi Mumbai, 0.97 in Ulhasnagar and 0.12 in Bhiwandi-Nizampur.

Niranjan Hiranandani, President, National Council for Real Estate Development and Associated Chambers of Commerce and Industry, said HDFC President Deepak Parekh suggested a reduction in residential prices. Minister of Transport Nitin Gadkari and Minister of Railways Piyush Goyal. “It is surprising that the state government has chosen instead to improve the value of the smart calculator. Income tax provisions mean that a developer cannot sell at a price lower than the initial calculation rate, as it results in a tax burden for both the buyer and the seller. In this situation, the expectation was that the state government would reduce the value, instead, it has chosen to increase it, ”he said.

Amol Modak, who works as a land appraiser, said that if the government’s intention was to streamline appraisal fees and give real estate a boost, then the 0.6 percent reduction is negligible. “The government lowered the stamp tax to boost demand, but it was a substantial 3 percent cut. From a home buyer’s point of view, the calculating rate cut is too small to have a substantial impact on flat prices, ”he said.