On the other hand, the “flat cost” is the contractual value plus the additional costs imposed on the buyer. This is sometimes the [Valid/Legal] fee for additional amenities, additional improvements that cannot be brought into compliance. However, often, the owners look for black money and ask for additional cash costs. It is advisable not to conduct such transactions, as they are illegal and pose a risk. In case the rights rights right right on the land next to the apartment given on the floor/stilts with the apartment, for gardening, parking, etc. then 40% of the pre-finished billing value multiplied by the surface and included in the valuation of the property. We have 57,793.05/- per square meter of value for Flat Agreement Value expressed in lay can be declared as the value on which two parties have decided to execute the transaction of the property. The value of the contract is the value indicated in the sale agreement or on which the loan amount is agreed. The registration tax and stamp duty are collected according to the value of the contract, and for the sale of the property, the difference between the sale price and the contract price is the profit for the owner. The value of the contract is the practical amount you have to pay to buy the property. The contractual value is derived from the collector`s annual guidelines.
This is the minimum amount on which the deed of sale must be exported and stamp duty applies according to that value. The value of the contract is also important in another way when the value of the contract determines the asset in the client`s accounts and the value of the contract is one of the most important factors in calculating the amount of the loan in home loans. Banks/NBFC have different eligibility criteria to take into account the value of the contract. For example, few banks consider 90% of the contract value as the maximum amount of credit that can be offered to the customer in the event of a home loan. In the case of Loan Against Real Estate, contract value does not play an important role. When the valuation of real estate over 02 years is established, the respective percentage of the pre-regulatory billing value must be deducted. To determine the age of the property, the certificate of occupancy or certificate of completion issued by the relevant government is verified. If these certificates are not available, other information, such as the date of electrical connection, etc., can be accessed. Age-appropriate depreciation rates are: “It is expected that, under the HFA, several lakhs will be built by additional houses with direct or indirect central subsidies. These houses will generate huge “incremental” tax revenues for states, which go beyond the normal growth in stamp duty and registration fees revenues, which are determined by economic activity. States can share some of this additional tax revenue with buyers of low-value homes by reducing or eliminating their stamp duty and registration fees.
Lower prices could encourage more people to look for affordable homes. In addition to an increase in the housing stock, lower prices are a must if HFA is to succeed,” says the study entitled “A Revenue Neutral Approach to Lower Stamp Duty and Registration Charges for Affordable Housing “. With a steady increase over the years, real estate values have increased exponentially in India`s main residential markets, making purchases quite prohibitive for ordinary humans. However, house prices are not the only thing homebuyers need to worry about. The various other transaction-related expenses, including taxes and gutters, significantly increase the cost of buying a home. Given that stamp duty and registration fees are at the top of this list, it is important to be fully aware of these two obligations. We discuss registration fees and stamp duty and the definition, process and nudity of stamp duty and registration fees for real estate purchases in India.