The Tamil Nadu Registration department will hold a public consultation on July 27 at Kalaivanar Arangam. This comes in the wake of the government hiking the charges for 20 services of the department including registration of power of attorney and construction agreement.
According to officials from the registration department all real estate development firms have been invited to attend the session and share their grievances.
After the registration department announced the hike, effective from July 10, revising the stamp duty from a flat 10,000 to 1% of the market value of the property and increasing registration charges for construction agreements from 1% to 3 % , there was severe resentment among the developers.
Builders claim that there has been a drop in apartment bookings after the Tamil Nadu government increased the stamp duty and registration fees for different services offered by the registration department. Affordable housing destinations like Avadi, Ambattur, and Tambaram, are the worst hit, they said.
K K Thirumalai, president, Flat Promoters Association-Ambattur and Avadi, said houses in the range of 60 lakh are the most preferred ones in areas such as Avadi and Ambattur.
“After Covid, real estate started booming. This hike will severely impact our customers,” he said. Banks areunwilling to provide the additional expenditure incurred due to the fee hike to first time home buyers whose loans have already been sanctioned, A N Balaji, chairman, Builders Association of India said.