Looking to buy a property in real estate in Vijayawada well then there is some bad news for you. The state government has decided to increase the registration value. This means all immovable properties including residential properties in Vijayawada will become much costlier to buy as the registration charges are going to rise significantly. The hike will be around 20-30 %, which means proportionate increase will be seen in the registration fee of properties bought in real estate in Vijayawada.
The stamps and registration department in compliance with norms scheduled to modify the registration value of all the immovable properties w. e. f.
August 1. Recently the property portals saw hike in demand of flats on rent in Vijayawada as the government employees of Andhra Pradesh have shifted their base.
Currently many people who were living in flats on rent after shifting their base from Hyderabad were planning to buy residential properties in Vijayawada. The property portals were witnessing that more people were looking to buy a flats rather than taking flats on rent in Vijayawada. But this move could discourage many buyers from investing in residential properties in Vijayawada and look for alternative investment destinations. Many people are arguing that increasing the registration value will also increase the market value of properties in real estate in Vijayawada.
Real estate builders of real estate Vijayawada are complaining that the existing registration fee of 7.5% of registration value is the highest across the country and this will seriously affect the buyer’s decision who might want to invest in cheaper locations. Paying such a high registration fee is going to hurt pockets of end-user as well as investor who are already staying away from the market. This will adversely affect the sales volume and movement of properties which will cause a cash crunch situation for the builders.
People are upset about the fact that already the real estate market is going through a tough phase and this latest news is only going to further discourage the genuine buyer to stay away from the market. They were expecting some help from the government but unlike their expectation this decision was taken and this has come as a rude shock to many. Although people had anticipated what was about to come but they were unprepared for the shock.
Experts on property portals predict that this is going to affect the sales volume of residential properties in Vijayawada.