Pay less for your dream home now

Good news for those planning to buy a home in Delhi. The Delhi government on Friday decided to reduce stamp duty on all property purchases.

The new rates have been set at an average of 5 per cent — 6 per cent for men, down from 8, and 4 per cent for women, down from 6.

Simply calculated, under the new rates, if you are a man and have bought a property with a circle rate of Rs 50 lakh, you will pay Rs 3 lakh as stamp duty, compared to Rs 4 lakh, which you pay at present. Women will have to pay only Rs 2 lakh for the same property.

The notification of the new rates is likely to take a month, sources said. “The proposal will be put before the Delhi cabinet. It has to be passed by the assembly, and get the Lieutenant Governor’s nod. It will then be notified,” Delhi Finance Minister AK Walia said.

The state government and civic bodies — MCD and NDMC — will share the stamp duty at 3 per cent (for men) and 2 per cent (for women) each. Delhi Revenue Minister Raj Kumar Chauhan said the government would still gain, since circle rates are being hiked.

The measure is part of the Centre’s “urban reforms” initiative to let the state government avail funds under the Jawaharlal Nehru National Urban Renewal Mission to boost infrastructure.

The reforms will bring transparency into the real estate market and simplify the property tax structure.