Confederation of Real Estate Developers’ Associations of India (CREDAI TS & AP) and Telangana Real Estate Developers’ Association (TREDA) jointly appealed to the government on Thursday to defer the revision of market values till a proper study is made into the recent increase in costs, changes in economy in general, affordability and the likely impact of the Union Budget.
In a statement to the media, the associations also requested the government to revert the stamp duty, nala conversion rates and local body charges to the previous levels. It was pointed out that the market rates were revised just seven months ago by 30-100%, stamp duty by 3.75%, and nala charges by 50-67%.
There are more than three lakh properties released recently from the prohibitory list and many are are yet to be released while lakhs of registration transactions are pending. The ongoing COVID pandemic wave too has put a halt to many activities as citizens are shying away from visiting public places especially registration offices.
The associations pointed out that the industry and the government are yet to work out a mechanism to deal with menace of pre-sales, undivided share sales and 100% payment sales, which have affected the market and prices. Building materials like cement and steel prices in the meantime too have gone up significantly despite COVID, they added.
Meanwhile, BJP senior leader Gudur Narayana Reddy said that any further increase in market rates would only put house sites out of the reach of the common man and poor people. “The government is using every ‘backdoor’ method to increase its revenue and also inflate the forthcoming budget to show everything is well after encouraging rampant sale of liquor,” he observed.
The government should not only rethink rising the prices but should also consider bringing back the Urban Land Ceiling Act to control the prices as it has only helped real estate mafia, he added.
