“Ready Reckoner Rates to be rationalized” – Hon’ble CM Shri Devendra Fadnavis.

Hon’ble Chief Minister Shri Devendra Fadnavis announced on September 4, 2017, that the Government would intervene in rationalizing the ready Reckoner rates to check the superficial hike in property prices in cities like Mumbai and Pune. The government would amend the existing Act to check the steep hike in Ready Reckoner rates, he added.

The CM was speaking at the Real Estate Conclave organized by Marathi newspaper Loksatta of The Indian Express Group in Mumbai. The topic of discussion was ‘Maharashtra Real Estate Regulatory Authority (MahaRERA) and Real Estate’.

A Strong presence was displayed by CREDAI-MCHI members with the presence of  Mr Mayur Shah, President, Mr Nayan Shah, President, Elect, Mr Boman Irani, Mr Deepak Goradia, Vice-Presidents, Mr Domnic Romell, Secretary, Mr Mukesh Patel, Jt. Treasurer, Mr Shailesh Puranik and Mr Parag Munot, Managing Committee Members. In an exclusive conversation with CREDAI – MCHI members, Shri Fadnavis noted, “My perception about developers’ fraternity has changed considerably who are involved in the nation building process and I appreciate the way CREDAI – MCHI has contributed towards EODB in the state in particular.”   Indeed it was a proud moment for the team! The hard work put in by our members has been keenly observed by highest authority himself – Hon’ble Chief Minister of Maharashtra.

Addressing the Conclave, Hon’ble CM said, “The Government would bring a new comprehensive policy to make housing affordable for one and all across Maharashtra.”

To facilitate redevelopment of old dilapidated buildings, the Chief Minister said, “If 51 per cent of the residents give consent for its redevelopment, it would be held valid. This will pave the way for evacuating the remaining 49 per cent residents and begin with the redevelopment of the old structures.” Earlier, redevelopment projects mandated consent of 70 per cent residents.

Hon’ble CM also shared that Mumbai’s Development Plan (DP) would be unveiled and executed within a year and the draft plan was being studied for holistic development of the city and its people.

Conceding that affordable housing had always been a topic of debate, CM said, “In cities like Mumbai and Pune, the increased ready Reckoner rates and higher stamp duties often lead to a steep escalation in prices of houses. The Municipal Corporations’ increased premium coupled with Goods and Services Tax often led to a cumulative hike in the overall property prices making housing unaffordable at times.”

Acknowledging the need for affordable housing, he added, “At present, the Act does not allow governments to intervene in determining the ready Reckoner rates for houses/properties. As a result, it has its limitations. The government will bring amendments to the Act.”

There were complaints that premium/tax within the Mumbai Corporation limits often led to higher costs, with developers passing the financial burden on the buyers.

“All these details and hidden costs which often have to be borne by the buyers are being meticulously studied and would be addressed in the new policies, which would be ready within next three months,” he assured.