MUMBAI: With the ready reckoner rates (also known as the annual statement rates) set to increase by up to 10%, the registration of properties across the state saw a significant rise. This resulted in a notable upswing in the state’s revenue from stamp duty and registration—more than 18% over the last year’s collection or ₹58,000 crore, surpassing the set target of ₹55,000 crore.
According to the figures accumulated by the office of inspector-general of registration until March 29, the state government mopped up ₹56,770 crore from the registration of 2.91 million properties. The revenue collection crossed ₹58,000 crore by Sunday, and an additional ₹1,500 crore-plus is expected to be added on March 31, the last day of the financial year.
The ready reckoner rate rise is expected to be between 2% and 10% for the financial year 2025-26, beginning on April 1. “The highest rise could be in some parts of Mumbai and the Mumbai Metropolitan Region,” said an official from the revenue department. “Most of the properties in these regions are over ₹1 crore and a rise of 5% to 8% will translate into a burden of up to ₹10 lakh, with a similar reflection in income-tax and GST. Home buyers and developers thus prefer registering properties with the old ready reckoner rates to beat the additional burden.”
The official added that by executing the property deals before March 31, the buyers had the facility of availing of the old ready reckoner rates even though they would actually register the property in the next four months. “This also resulted in a rush by buyers to grab the old rates,” he said.
The revision in the ready reckoner rates, which is taking place after three years this time, is based on the rates at which properties are sold over the last year. Ready reckoner rates are the government’s estimate of what property prices should be although the actual market rates are far higher.
The enthusiasm to avail of the old rates has helped the cash-strapped state government in its revenue generation. The revenue from the stamp duty and registration is expected to cross ₹59,000 crore from ₹50,012 crore in FY 2023-24, and the number of documents registered is expected to cross 2.95 million from 2.79 million last year. This increase of over 18% in revenue is a record high,” said the official.
According to another officer from the revenue department, the response from home buyers was very good. “Apart from the proposed hike in the ready reckoner rates, the two back-to-back festivals of Gudi Padva and Eid helped the rise in registration,” he said.
Raajesh Prajapati, the PR committee chairman of Credai-MCHI, the apex body of builders, said that the response in MMR and Navi Mumbai was huge over the last few days. “Sales have gone up in Navi Mumbai on account of the airport opening by May,” he said. “The expected rise in the ready reckoner rates leads to a rise in the cost of construction owing to the additional expense of fungible FSI, premium FSI and approval cost, which are all related to the ready reckoner.” Prajapati, however, added that the high cost was unlikely to affect sales as it coincided with the ‘shifting season’ of April and May when the demand for flats is high.
