Flats In Powai See Huge Rise In Rates As Ready Reckoner Rates For The Region Is Increased By 132%

Owing to high Mumbai property prices the city is considered as one of the most expensive real estate sector in the country when compared to properties in India. Buying a property in Mumbai is a herculean task as real estate Mumbai prices are already touching the roof but this didn't deter the state government to increase the ready reckoner rates by an average 7.9%. The increase in ready reckoner rates means that the stamp duty charges which are calculated on the RR rates basis, would go up.

Increase in RR rates has impacted the Mumbai property prices and developers are unhappy about the situation as the market is already facing a slump. The recovery of the real estate market has been stopped as real estate Mumbai prices will increase significantly in some areas. Let us take an example of Powai. People who were looking to buy flats in Powai are in a state of shock as the RR rates of the area have been increased by 132%. This means people who were looking to buy flats in Powai will now have to pay a significantly high stamp duty as well as registration fees.  Also people who are living in property in Powai will have to pay more property tax as RR rates also determine the recurring property taxes. Developers of property in Powai say that this move will adversely affect the sales of flats in Powai as the cost of construction will go up significantly. Builders of property in Powai are worst affected as several payments to civic authorities are made on the RR basis.

As the cost of construction will increase the Mumbai property prices will also increase. Amongst all properties in India people look to invest in Mumbai but if the real estate Mumbai prices continue to see a significant hike then the investor might think of investing in other properties in India.

Investment in Flats in Mumbai

Although flats in Mumbai are in high demand the financial capital of India faces serious infrastructural problems. The prices of properties in Mumbai for sale has always been dependent on the proximity to the local train station as traveling is a big headache in Mumbai. People who are looking to take a residential property in Mumbai for rent also look at proximity to local station before making a final decision. Property for sale in Mumbai has always been affected by connectivity issues.

Although the scenario of infrastructural problems has improved in suburbs by a margin. Many people seek to buy Malad West flats for sale as with the development of the Western expressway the traffic congestion has reduced. People also prefer to take flats in Malad West as the get dual connectivity advantage of the local train as well as the recently developed Metro. This development has contributed to the growth of demand of Malad West flats for sale as land prices and rentals of flats in Malad West have gone up, since more and more people are preferring to invest in the locality. 

With huge land scarcity, the flats in Mumbai have always witnessed a double digit growth in the realty sector. Inspite of all the infrastructural problems the properties in Mumbai for sale still attract interest of the buyers and investors. Many people choose to invest in  residential property in Mumbai whereas other prefer to buy commercial property for investment purpose. Buying a property for sale in Mumbai is no easy task as Mumbai real estate is one of the most expensive realty sectors in India. And of course commercial property here is much more expensive than residential property in Mumbai. Still one has to look at his pocket and the locality to make a same property for sale in Mumbai investment decision.