Here’s a double blow for all prospective house buyers in the city. First, the 2010 ready reckoner for the realty sector upped the prices of homes by hiking the stamp duty rates by 10-20% in Mumbai. And now buyers will also have to pay higher property tax to the Brihanmumbai Municipal Corporation (BMC).
The civic body has already decided to levy property tax on capital value system taking into rates notified in the ready reckoner.
Buyers definitely have a reason to feel concerned as the 2010 ready reckoner released by the state government, on Friday, showed a 5% increase in property rates between Goregaon and
Dahisar.
The hike in rates is seen as an attempt by the BMC to boost affordable housing. The average rates in this area have now shot up to Rs3,000-Rs5,000 per square feet as against Rs2,500-Rs4,000 per square feet in 2009.
The property rates were increased by 14% - the highest - between Kurla and Mulund, which is an area that saw large development in 2009. The property rates in the this area are now pegged at Rs3,600-Rs7,000 per square feet as against Rs3,000-Rs6,000 per square feet last year. The second highest hike was between Colaba and Sion, which was 11%.
“The average property rates may be low but property buyers will be hit hard as they will have to shell out higher property tax, which will be based on capital value system. The tax will be calculated by taking into consideration the rates notified in the 2010 ready reckoner,” Rajesh Mehta of Raha Realtors Pvt Ltd said.
Comments