Here is everything you need to know about Thane’s stamp duty and registration charges and the need to pay without fail.
Buying a property involves a lot of paperwork, legal processes, and monetary transactions. Having your property registered is a must to secure your property and get rid of any legal disputes. Section 3 of the Indian Stamp Act indicates that buyers must pay stamp duty and registration charges to complete the process. However, these charges have a set of which is defined by the Department of Stamp Duty and Registration.
And the project/building is located in that specific state. Stamp duty and registration charges in Thane are those charges which cannot be missed out. And has to be paid by the property buyers when registering a property in Thane. For this, the Department of Stamp Duty and Registration of Maharashtra defines the percentage of these charges for different types of buyers.
Stamp Duty and Registration Charges in Thane Calculation
The charges for the same in Thane are calculated based on the property rate. Or it can also be calculated based on the circle rate, whichever is higher. Circle rates in Thane are also termed Ready Reckoner Rates. These rates are usually calculated based on the minimum value fixed by the Department of Registrations and Stamps of Maharashtra for a specific land parcel. Let us move ahead by taking an example of the matter.
You bought land which ranges in size 1,000 sq. ft. Now, the ready reckoner rate of this process is around Rs.5,000 per sq. ft. This is clear that the value of this property will be around Rs.50,00,000.
Now, you have to consider the stamp duty of the property. For which the stamp duty in Thane is 7%, you need to pay 7 per cent of the total property value. When calculating this, you are bound to pay around Rs.3,50,000 as stamp duty in Thane.
4 Critical Factors Affecting Stamp Duty and Registration Charges in Thane
Stamp duty and registration charges are determined by the state government and can vary based on several factors. What do those factors contribute to the value of these chargers? Here is the list:
1: Property Value
Thane’s stamp duty and registration charges depend on your property’s value. Generally, the higher the value of your property, you can expect the higher value of these charges. Accordingly, you need to make up your mind to pay the charges.
2: Property Type
These charges might differ based on the type of property being purchased or transferred. For example, if you owe a residential property, the charges for this will vary from commercial properties. The charges for agricultural lands will also vary based on the type of property you buy.
Your location matters the most in calculating the charges of your stamp duty and registration. Properties located in a prime address, where the pricing of the properties is high, will attract high charges. Similarly, basic properties with affordable pricing will expect low charges.
4: Age of Property
Just like age defines a property’s worth, it also represents the charges of your stamp duty and registration. For example, if a property is more than 25 years old, it is expected to draw lower charges. Compared to the new properties, freshly built ones attract higher charges.
3 Reasons Why stamp duty and registration of Property is Essential
Stamp duty and property registration is crucial tasks that must be followed. Through this, the property and your ownership get legal recognition to the ownership of a property and help maintain a record of all property transactions.
1: Revenue for the Government
Stamp duty and registration charges go directly to the government, which uses them for valuable needs. This acts as a significant source of revenue for the government. With the help of these charges collected, you will find the government using them for various developmental and social projects.
Registering a property in your name allows you to take a home loan from the bank or any other financial institution. The bank or financial institution requires proof of registered property documents as evidence of ownership. Once they are assured that the property is in your name, they will give you the loan.
3: Legal Recognition
Stamp duty and property registration provide legal recognition of the ownership of a property. Once a property is registered in the buyer’s name, it turns out to be their legal asset so that they can enjoy all the associated rights.
As an owner of the property, you must know that the Stamp Duty and Registration Charges in Thane are subject to change. It can fluctuate from time to time, and it depends on the government’s policies. It is best to consult a government website for authentic information about the charges. The stamp duty and registration in the Thane are unmissable, and you must pay it to make your entire transaction smooth and error-free.
Does the gender of the buyer matters in calculating registration charges in Maharastra?
Yes, specific states and locations have different property charges for other Gender. In Maharashtra, the female must be less charged than the male when buying a property.
What is the use of property registration and stamping in Thane?
With the help of Property registration, the owners in Thane have solid legal evidence of property ownership. With the help of registration and stamp duty, the owner gets the property title which acts as proof.
Will registration of property prevent fraud?
With property registration's help, owners are far from all the fraud and disputes related to property ownership. This is a form of the legal record of the property and all sorts of related transactions. It also acts as proof of ownership in case of any disputes.
What is the charge of Stamp Duty in Pune?
The current stamp duty is 6% with 1% local body tax in Thane.