Reduction in stamp duty in India’s most livable cityMarch 23, 2021 . Real-Estate Industry . 10 min read
Another reason to rejoice and own a home in India’s most livable city i.e. Bangalore is that the homebuyers will now get a discount on stamp duty during 2021-22. The government of Karnataka has reduced the stamp duty from 5% to 3% for affordable segment apartments that are priced between Rs 35 – 45 lakh. This cut in stamp duty is valid for a period of one year. The State government is looking to boost affordable housing sales in Karnataka where Bangalore is the largest real estate market.
Bangalore, undoubtedly, offers best-in-class civic amenities to residents and is also the most flourishing IT hub in the country. The weather of Bangalore is also a prominent reason for people to make this city their abode. Working professionals, who come to Bangalore, can now avail this opportunity as most of the market scenario favors the buyers such as low home loan interest rates, availability of properties, offers by the developers, and now reduction in the stamp duty.
Impact on Bangalore’s affordable housing sector
Experts believe that move will encourage homebuyers to own a home in India’s most livable city, especially who were willing to delay their decision to buy a house due to uncertainty infused by the pandemic. The reduction of stamp duty in Karnataka is also expected to follow the trend in Maharashtra where sales picked up after cut in Stamp duty. The announcement will also improve the sentiments in housing sector of the State. The state stamps and registrations department of Karnataka had collected Rs 9,014-crore from stamps and registrations till February from across the state as against the annual target of Rs 12,655 crore for the upcoming fiscal (2021-22).
As per the estimates by Anarock Research, the city of Bangalore alone has about 59,350 unsold inventories in affordable segment, out of which 24% are priced below Rs 45 lakhs. The current incentive by the State government will help developers to clear the unsold housing stock.
HomeCapital helps young working professionals who are willing to own a house and may not have enough savings to pay the down payment. Our home down payment assistance platform offers an interest-free unsecured loan of up to 50% of the down payment amount to such individuals. The borrowed amount can be repaid in 12 easy EMIs. So if you are planning to purchase your first house, this is the most favorable time. Several options are available before buyers to choose from ready-to-move-in and under-construction segment.
Affordable segment projects available in Bangalore
There are some good housing projects available in Bangalore under affordable price segment of Rs 35-45 lakhs.
- Godrej Nurture – located in Electronic city, Bangalore – offers 1,2, and 3 BHK apartments and is surrounded by greenery for fresh air. The project is spread over an area of 22.8 Acres.
- Provident Park Square – is situated on Kanakapura Road in Bangalore. The 20-acre project offers 1, 2, and 3 BHK apartments. Provident Park One is the 5th phase of the Provident Park Square project, which is at a 5-minute walking distance from the upcoming metro station and offers similar unit types.
- Shriram YUVA is a newly launched project in Budigere Cross located just off Whitefield, Bangalore. The project covered by beautiful landscapes and has more than 78% open spaces. The project is spread over 11 acres with 9 towers.
- Shriram Codename Dil Chahta Hai by the Shriram Group in Attibele, Hosur Road, Bangalore. The project has 20 blocks in 19 acres and offers only 2 BHK units, under the most affordable price segment.
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