Consistent growth in sales during stamp duty cut period: Anarock
Real Estate

Consistent growth in sales during stamp duty cut period: Anarock

The second Covid-19 wave coupled with the expiry of the stamp duty cut period will impact the monthly growth momentum of Mumbai's housing sector. During the period of stamp duty cuts, there was consistent m-o-m (month-on-month) growth in sales.

A new data by Anarock property consultants states that, as per data by Inspector General of Registration (IGR), Maharashtra, the stamp duty cut period between September 2020 to March 2021 saw as many as 80,718 properties registered in Mumbai alone—a growth of 114% against the same period last year (September 2019 to March 2020).

Prashant Thakur, Director and Head—Research, Anarock Property Consultants highlighted that despite the stamp duty cuts in this period, the state government collected almost the same volume of registrations revenue as it did last year in the same period. The total revenue collected stood at Rs 2,914 crore between September 2020 to March 2021 period, while it was Rs 2,958 crore in the corresponding period a year ago.

In short, the increased sales volumes aided by the stamp duty cut helped the government avoid severe revenue loss. Ever since the expiry of the stamp duty cut period from April1 onwards, there has been a marked drop in property registration numbers. Besides the expiry of the stamp duty cut period, the second Covid-19 wave and ensuing restrictions aimed at curtailing the city’s caseload have contributed towards the declining numbers.

Clearly, the stamp duty cut significantly stimulated housing demand in the city. According to Anarock, the government would do well to seriously consider extending it to keep the property sales momentum—and registrations revenue—going. It is an apt time to consider such a move as the second wave has proved to be far more serious than the first one.

Overall, the housing sector is better equipped this time around as more developers have developed digital marketing capabilities and the government has allowed construction activities to continue.

However, the April-June quarter will certainly be impacted by the rapid spread of the virus. Already, restrictions on interstate movement and the call to steel manufacturers and fabricators to allocate their oxygen supplies to the hospitals have put pressure on the supply chain.

Amid these challenges, the stamp duty cut period showcased that housing demand in the financial capital is very healthy. Industry bodies are campaigning with the state government to ensure that this demand is harnessed to everyone's benefit.

The second Covid-19 wave coupled with the expiry of the stamp duty cut period will impact the monthly growth momentum of Mumbai's housing sector. During the period of stamp duty cuts, there was consistent m-o-m (month-on-month) growth in sales. A new data by Anarock property consultants states that, as per data by Inspector General of Registration (IGR), Maharashtra, the stamp duty cut period between September 2020 to March 2021 saw as many as 80,718 properties registered in Mumbai alone—a growth of 114% against the same period last year (September 2019 to March 2020). Prashant Thakur, Director and Head—Research, Anarock Property Consultants highlighted that despite the stamp duty cuts in this period, the state government collected almost the same volume of registrations revenue as it did last year in the same period. The total revenue collected stood at Rs 2,914 crore between September 2020 to March 2021 period, while it was Rs 2,958 crore in the corresponding period a year ago. In short, the increased sales volumes aided by the stamp duty cut helped the government avoid severe revenue loss. Ever since the expiry of the stamp duty cut period from April1 onwards, there has been a marked drop in property registration numbers. Besides the expiry of the stamp duty cut period, the second Covid-19 wave and ensuing restrictions aimed at curtailing the city’s caseload have contributed towards the declining numbers. Clearly, the stamp duty cut significantly stimulated housing demand in the city. According to Anarock, the government would do well to seriously consider extending it to keep the property sales momentum—and registrations revenue—going. It is an apt time to consider such a move as the second wave has proved to be far more serious than the first one. Overall, the housing sector is better equipped this time around as more developers have developed digital marketing capabilities and the government has allowed construction activities to continue. However, the April-June quarter will certainly be impacted by the rapid spread of the virus. Already, restrictions on interstate movement and the call to steel manufacturers and fabricators to allocate their oxygen supplies to the hospitals have put pressure on the supply chain. Amid these challenges, the stamp duty cut period showcased that housing demand in the financial capital is very healthy. Industry bodies are campaigning with the state government to ensure that this demand is harnessed to everyone's benefit.

Next Story
Infrastructure Energy

KEC Secures Rs 10, 380 Mn Substation Order in Saudi Arabia

KEC International Ltd., a global infrastructure EPC major, and an RPG Group company, has secured a new order worth Rs 10,380 million for the Design, Supply and Installation of a 380 kV GIS Substation in Saudi Arabia.Vimal Kejriwal, MD & CEO, KEC International Ltd., commented, “We are delighted with the successive order wins in our T&D business. In a landmark achievement, we have secured our largest ever substation order. This prestigious order in the Middle East has widened our portfolio and strengthened our presence in the region. With this strategic win, our year-to-date or..

Next Story
Infrastructure Urban

Central Bank of India executes first fully digital SCF deal on PSB Xchange

In a major advancement for India’s banking sector, Central Bank of India (CBI) has successfully completed the country’s first fully digital supply chain finance (SCF) transaction on PSB Xchange—a unified multi-lender platform launched by PSB Alliance. PSB Xchange is designed to connect public and private sector banks, NBFCs, and fintechs with corporates and their channel partners to facilitate supply chain finance and small business loans. The transaction marks the first time a fintech-originated corporate lead has been seamlessly processed through the PSB Xchange ecosystem. The lead fl..

Next Story
Infrastructure Energy

Atlanta Electricals secures Rs 1,835 Mn transformer order from BNC Power

Atlanta Electricals Limited (“Atlanta”) has secured an order worth Rs 1,835 million from BNC Power Projects Ltd for the supply of extra high voltage (EHV) transformers and a bus reactor for its Pugal site. The contract includes a mix of 315 MVA, 400 KV and 100 MVA, 132 KV transformers along with a 400 KV bus reactor. The project scope encompasses design, manufacturing, testing, and supply to the project site. Deliveries will be sequenced following engineering and drawing approvals, offering multi-quarter execution visibility and ensuring a steady production run-rate. The order will be ex..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Talk to us?