The scenario of the real estate in India has witnessed a 360-degree change once the outbreak of the pandemic rocked the nation. Before the outbreak, the once flourishing and roaring real estate business is witnessing a declining trend.
With the rising unemployment levels, growing uncertainty, people are more focused towards saving money rather than shelling out on unexpected purchases at the moment.
To woo buyers, most of the real estate developers have come up with an array of discounts and offers ranging from cash discounts, flexible payment plans, zero charges towards parking fees and the list go on.
In India, people prefer to purchase a house during auspicious times. Ahead of the festivities, the developers in India are offering a slew of offers to lure the customers amidst dull demand for real estate.
The Maharashtra Government recently trimmed down stamp duty on property registration by 3% starting from September 1 until December 31, 2020, and by 2% between January 2021 till March 2021. Though the stamp duty varies from one state to another.
The stamp duty refers to the state levy paid to the registrar and this is a fixed percentage levy which will be charged based on the transaction value or the circle rate (the minimum value of the property in a particular area as per the government fixed rate) whichever is higher.
At the time of purchase, the buyer will have to pay a list of charges like stamp duty charges, registration fees, e-stamping charges, franking charges, and so on. These lists of charges itself will be expensive which the purchaser has to bear apart from footing the bill purchase price of the property.
Most of the sales currently are happening with the ready to move in houses as people are preferring this over the under-construction houses owing to execution risks in the later stages. Hence builders are forced to offer huge discount and offer on the under-construction houses to sell them off as soon as possible. As holding on to these inventories by the developers will no longer be in the good interest of the developers.
Homebuyers on their part should be careful and evaluate the risk associated with the purchases when it comes to an under-construction property. The purchase decision should not be made only on the discount or availing schemes or rolled out offers. Though discounts or offers or freebies should be considered as a welcome add on to purchase a good one, that alone should never let you sway on the property purchase decision.
If the property does not suit or match the preferences of the buyer, then they're in no point in going for such a purchase. Purchase of a property for some people is a once in a lifetime decision and hence it is essential to take into consideration every small and minute aspect before finalizing the deal.