Property registration overtakes new ready reckoner rates in Maharashtra, Real Estate News, ET Real Estate

Pune: A few days before the new ready reckoner (RR) rate was announced, the number of properties registered was almost double the normal number of daily registrations. Property registration officials said citizens are getting their property registered at the last minute to avoid the new RR rates that will be applicable from April 1.

On Tuesday, 18,538 properties were registered across the state, while 20,009 were registered on Wednesday, showed data shared by the department. Generally, the daily property registration numbers are in the range of 8,000-9,000.

“It is a common practice in the last week of March. Registration offices are usually crowded during this time,” said an official.

Meanwhile, high value property registration has helped the state cross the revenue collection target of Rs 40,000 crore for this financial year. Till Wednesday, Rs 41,965.2 crore had been collected as revenue. Officials said the collection is expected to cross the Rs 42,000-crore mark by March 31.

He said only a few key offices were open on Thursday as it was a public holiday, but the number of registrations is expected to be the highest on Friday.
State CREDAI President sunil farde told TOI that citizens are expecting a hike in RR rates. Hence, in the last two-three days, there has been a rush among home buyers to get their properties registered ahead of the RR announcement. “Though we have requested the state government to keep the RR rates unchanged, we are not sure that our request will be accepted,” he said.

Over the past eight years, the Annual Statement of Rates (ASR, which is another term for RR rates) has residential Properties have gone up, but this does not reflect the true state of the market, as told by CREDAI to the state government. “Prices are more or less stable, ASR has been revised by more than 50% in eight years. It is necessary to rein in this inflationary rise every year,” the letter said.

The developer’s body said that if the ASR is lower than the market rate, the developer will be able to freely sell the residential units at discounted rates in case of liquidity crunch or where group bookings are available or buyers are willing to pay more upfront. Will be “This flexibility has been reduced due to the current ASR, where rates are almost at par or above market rates,” said a developer with CREDAI.

Saumini Mohit, who plans to invest in property, is wary of the hike. “The state government should intervene and not increase the rates,” he said.