KOLKATA: The third wave and movement restrictions that were enforced to contain the spread of the virus resulted in a 40% dip in property registration in January 2022 against the number of sales deeds registered a month ago in December 2021.
However, with Covid cases on the wane and government easing restrictions and announcing an extension of the stamp duty and circle rate relief by two months, developers are confident of overcoming the slow start and recording at least a 25% growth in February and March 2022 against the corresponding period last year.
Last month, 2,391 sales deeds were registered in the office of the Directorate of Registrations & Stamps Revenue. That is a 33% slide from 3,553 deeds registered in January 2021 and 40% dip from 3,968 deeds registered in December 2021.
Developers body Confederation of Real Estate Developers’ Association of India (Credai) and property consultants like Knight Frank attributed the slump to the sharp rise in Covid cases in January and restrictions announced by the government to rein in the virus. “Had the incentives on stamp duty and circle rate not been there, the numbers could have been lower still. But the bump the industry experienced in January is over with Covid numbers down. We have already told our members to ensure maximum sales and registrations in February and March,” said Credai Bengal president Nandu Belani.
Sushil Mohta, president of Credai Bengal, was confident that registrations would bring more funds to coffers in February and March 2022 than it had in the corresponding months in 2021. “Expect at least 25% growth in revenue,” he said.
Knight Frank CMD Shishir Baijal remarked that the 2% stamp duty rebate has been the key support measure to provide stimulus to the city’s residential real estate market for nearly six months.
Mid-size homes of 501-1,000 sqft accounted for 46% of units registered in January 2022, down from 48% the previous January. The pie of large-size homes of above 1,001 sqft also dipped from 28% to 27%. It was the small-size homes of 500 sqft and below that saw the share go up from 24% to 27%.
Yet, registration of small-size homes fell 25% from 866 in January 2021 to 647 in January 2022. In mid-size category, the fall was the highest at 36% from 1,689 deeds registered in January 2021 to 1,088 a year later. In large-size category, it was a 34% drop from 998 registrations to 656 registrations.
