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The Maharashtra Cabinet has approved a proposal to cut the premium by 50 percent to promote the real estate sector.

Mumbai. The Maharashtra government made a big decision on the real estate sector on Wednesday. To give a boost to the real estate sector, the Maharashtra government approved a 50 per cent reduction in real estate premiums on construction in real estate projects. The new rules will apply to new projects already released and upcoming. The limit of this deduction has been kept on 31 December 2021.

Customers will have less burden to buy property
However, the Uddhav government has made it clear that the benefit of this rebate should be given to the customers at the time of stamp duty. This step will reduce the burden of buying property on the customers. Earlier, it was also decided to reduce the stamp duty in the state from 5 percent to 2 percent by 31 December 2020. Due to which there has been an increase in property registration. With this decision of the government, there was a big jump in the sale of properties in Mumbai and other major cities.

Customers will get relief during stamp dutyThis decision of the government will especially benefit the customers who take the building and flats to be built in metros like Mumbai, Thane, Pune and Navi Mumbai as the government’s steps will provide relief to the builders at the time of stamp duty. Earlier, the metropolitan municipalities had demanded from the government that due to Corona epidemic, there has been a significant reduction in the revenue of the metropolitan municipalities, so if the builders are given exemption in premium, then more and more building projects will be registered which will benefit the metropolitan Will be possible in their income.

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Homes can be cheap up to 15 percent
In fact, in Maharashtra, especially in the financial capital of the country, Mumbai has to pay about 30 percent of the total cost of the project in the form of premium and cess. Due to the cost of expensive land, premium and cess, the cost of the total project increases considerably and the common man has to pay more at the time of buying the house. Now with this decision of Thackeray government, it is expected that up to 15 percent of the price of houses in Maharashtra will be cheap.

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Metropolitan municipalities had requested the government
According to the government, while waiving the premium, the builders will also have to decide whether to give a benefit transfer at the time of stamp duty of the customers. In fact, there was a demand from the metropolitan municipalities that due to Kovid-19 there has been a significant decrease in the revenue of the metropolitan municipalities, so if the builders are given exemption in premium, more and more building projects will be registered. The Municipal Corporation will benefit from this in their income. Therefore, the municipality wrote a letter to the state government requesting a reduction in premium.