Mumbai recorded historic registrations of apartment sale deeds in December, with 18,854 units getting registered till Wednesday, as per data procured by Knight Frank India. Sales peaked in the last days of the month, with 3,059 units being registered between December 28 and 30. Registrations rose sharply as stamp duty is set to increase by 1% starting January 1, 2021.
The daily average units registered in December was 585 till December 25. The figure nearly doubled to 1,019 units in the last week between December 27 and 30. The total revenue realised by the State exchequer in 2020 from home registration was estimated at ₹3,107 crore, the consulting firm said. “Of the total revenue, nearly 43% (₹1,350 crore) was realised in the period between September 1 and December 30, 2020. This can be seen as a clear indication of the strong impact the cut in stamp duty rates had on the revenues. The reduction in stamp duty has created beelines for sales and registration of homes, with Mumbai witnessing the best sales periods in history,” Knight Frank India said.
Steady rise in sales
Since the announcement of the reduction of 300 basis points starting September 1, 2020, homes sales have continuously risen month on month. Between the period September 1 and December 30, Mumbai recorded registrations of 41,681 units, with numbers growing incrementally month on month, it said.
In December 2020, the figure grew two times over the same period last year. While December 2019 recorded registrations of 6,433 units, December 2020 saw 18,854 units being registered.
Shishir Baijal, CMD, Knight Frank India, said, “The reduction in stamp duty has led to a significant surge in sales of homes in Maharashtra, particularly in Mumbai, comforting the long-beleaguered real estate sector of this region.”
A combination of lowest home loan rates, reduced prices, rebates and offers made by developers, and increased household saving rates, have provided the right growth environment for the residential segment to grow, he said.
