In March 2022, the Maharashtra government passed a bill in the state assembly under which there is a stamp duty waiver on properties on resale. This rule applies to properties resold within one year to three years of purchase. As per the revised rule, stamp duty in Maharashtra will now be paid only on the difference in the buying and selling prices of a property.
What is stamp duty and why does it matter? Simply put, it is a percentage of your property’s market value, and the Central Government decides the number for each state. So, the stamp duty rates in Maharashtra will vary depending upon where you want to buy a house. Stamp duty or property registration charges apply to both residential and commercial real estate, including freehold and leasehold properties.
Here is all you need to know about stamp duty in Maharashtra.
Stamp duty and registration charges in Maharashtra, 2021
Know that the stamp duty and registration charges for any state are different, and for different cities within that state. Further, the state of Maharashtra levies fewer stamp duty charges for women homeowners.
Needless to say, more developed and affordable municipalities attract higher stamp and duty charges. So, if you’re considering buying a property, be sure to factor in this cost when applying for a home loan.
Here is a breakdown of stamp duty and registration charges in some of the major cities within Maharashtra.
Stamp duty and registration charges in Maharashtra 2022
Here is a table summarising stamp duty and registration charges in Maharashtra in 2022 in different cities like Mumbai, Thane, Pune, Nagpur, Navi Mumbai, and Pimpri Chinchwad.
|City||Stamp duty and registration charges (from 1st January to 31st January 2021)||Stamp duty and registration charges (1st April 2021 onwards)||Stamp duty and registration charges (1st April 2022 onwards)|
Stamp duty and registration charges in Maharashtra also vary according to the gender of the homeowner. Here are the stamp duty charges in different areas in Mumbai for men and women:
|Areas in Mumbai||Stamp duty in Mumbai for men||Stamp duty in Mumbai for women||Registration charges|
|Within the municipal limits of any urban area||6% of property’s market value||5% of property’s market value||1 % of the property value|
|Within the limits of any municipal council/ panchayat/ cantonment of any area within MMRDA||4% of property’s market value||3% of property’s market value||1 % of the property value|
|Within the limits of any gram panchayat||3% of property’s market value||2% of property’s market value||1 % of the property value|
From 2022 onwards, property buyers would have to pay 1% metro cess as transport surcharge in addition to the ongoing stamp duty in Maharashtra.
Conveyance deed stamp duty in Maharashtra
|S no.||Conveyance Deed||Stamp Duty Charges|
|1.||Lease deed||5% of the property’s market value|
|2.||Gift deed||3% of the property’s market value|
|3.||Gift deed for residential or agricultural property passed on to individual’s family members||Rs. 200|
|4.||Power of attorney||Maharashtra stamp duty rates are 3% for a property situated in gram panchayat areas and 5% for those located in municipal areas.|
What are the factors that affect stamp duty and registration charges?
Registration charges and stamp duty in Maharashtra don’t remain constant for all citizens. These figures vary slightly based on the following factors:
- Gender of the buyer
- Age of the buyer
- Type of the property
- Age of the property
Let us now explore each factor that affects stamp duty in Maharashtra, one by one.
#1 Gender of the buyer
Relevant authorities have consistently encouraged women to buy property in their name. Even the state of Maharashtra provides a concession on stamp duty and registration charges for female home buyers. For example, the stamp duty and charges for women buyers in Mumbai in March 2022 were 2%, which was 1% lower than the previous Maharashtra stamp duty rates (listed in the table above.)
#2 Age of the buyer
Concessions in stamp duty and registration charges are also provided to senior citizens buying a house in Maharashtra. Therefore, if you’re a senior citizen, now might be the best time to purchase a house. Not only are you entitled to a reduction in stamp duty and registration charges, but you can take advantage of the reduced home loan interest rates.
#3 Type of the property
A residential property attracts a lower stamp duty and charges than a commercial property. So, if you’re buying a house in Maharashtra, know that you’re paying less than a businessperson, opening their outfit within the state.
#4 Age of the property
Typically, older properties that make up the second home market for many Indians attract lower stamp duty and registration charges. Properties in highly-developed or up-and-coming areas with new construction attract much higher charges.
If you are an aspiring homeowner or property owner in Maharashtra, keep the following points in mind about stamp duty charges in Maharashtra.
- Stamp duty is a percentage of the market value of your property (whether commercial or residential).
- Paying stamp duty is mandatory and not doing so will attract a fine.
- Remember that the stamp duty rates in Maharashtra will vary depending upon the location where you want to buy a house or a commercial building.
- Four factors determine your stamp duty charges: Your gender, your age, type of property, and the age of your property.
- Women property buyers pay smaller stamp duty compared to men.
A Word of Advice
Maharashtra’s stamp duty rates have now been reduced to make purchasing a house more affordable for citizens. Before you purchase a house, make sure you calculate your stamp duty charges in advance using a stamp duty calculator.
Are you thinking of purchasing a new residential property in Maharashtra? Well, then find the funds you need at Tata Capital. As one of India’s most trusted lending institutions, we offer housing finance at affordable interest rates and speedy processing. What’s more, you can plan your repayment by calculating your potential EMIs using our home loan EMI calculator.