The registration of residential properties in Mumbai during November rose 67% year-on-year to 9,301 units on higher festive demand and reduction in stamp duty by the Maharashtra government, according to Knight Frank.
“At 9,301 units registered in November 2020, the residential sector of Mumbai recorded the highest-ever registrations in the month of November in the past nine years,” Knight Frank India said in a statement.
The registrations in November 2020 jumped 17% month-on-month and 67% year-on-year.
Knight Frank India CMD Shishir Baijal said, “Limited period stamp duty cut continues to remain the biggest catalyst for residential sales in Mumbai. The sales were also augmented by the festive period, lowest-ever home loan rates and incentives extended by developers.”
The proactive step by the Maharashtra government has instilled confidence in the housing sector, he added.
The stamp duty cut of 300 basis points continues to propel residential sales in Mumbai. Most developers have offered to absorb the remaining 200, the consultant said.
Kalpataru Managing Director Parag Munot said, “Customer confidence has staged a comeback on the back of interest rate softening, schemes and strong policy support for the homebuyer.”
With average saving in the range of 8-10% for the homebuyer, prices are at a historic low, making this the best time to invest in real estate, Munot said.
Realtors body Naredco’s Maharashtra chapter had last month said its member will bear the stamp duty on housing sales till December-end on behalf of home buyers to boost sales.
As per the Knight Frank report, registration of housing properties in Mumbai during April was nil because of lockdown to curb the spread of Covid-19.
However, the number improved from May onwards. The registration of housing properties in May stood at 207 units, June 1,839 units, July 2,662 units, August 2,642 units, September 5,597 units, and October 7,929 units.
NAREDCO Maharashtra President Ashok Mohanani said, “Showing signs of revival, property sales across Mumbai Metropolitan Region have improved in the second quarter of 2020 and took place in the third quarter, especially during the festive season.”
He added that some measures like lower property rates, reduction in stamp duty by the state government, and reduction in home loan rates have been influential in easing the rising course of real estate sales this year.
Also, the initiative taken by NAREDCO Maharashtra to announce the zero-stamp duty in support of the reduction in stamp duty till Oct. 31 pushed Mumbai’s residential realty sales by 300% from August 2020 to October 2020, he said.