Ahmedabad real estate www.dhyaanarealty.com 9879114454: June wipes away those jantri blues Monthly Figures Show More Realty Deals Struck Than Last Year

June wipes away those jantri blues

Monthly Figures Show More Realty Deals Struck Than Last Year

Rajiv Shah | TNN

Gandhinagar: Contrary to the apprehension that the real estate market is slowing down, latest figures with the Registrar of Stamp Duty suggest that while the increased jantri rates did adversely impact the market in the first two months of April and May, realty deals have started hitting new highs in the third month of the financial year. In June 2011, as many as 90,884 real estate properties were sold or purchased — up from 85,431 deals in June 2010.
    No doubt, the deals initially slumped in April after the sudden rise in jantri — government assessment of the value of real estate property with effect from April 1, 2011. The jantri rates were increased steeply between 300 and 400 per cent in the developed areas of Gujarat, leading to a sharp fall in the deals in April as also the amount collected as stamp duty — six per cent of the jantri.
    The number of deals in April 2011 was merely 33,160, almost one-third of the April 2010 figure of 90,954. However, the revival began in May as the gap was bridged, soon after the reduction in jantri by 50 per cent by the government, under pressure from developers. In May 2011, 74,975 deals took place, as against 80,209 deals in the same period in 2010.
    But realty seems to have stepped up one gear in June this year as deals are being struck at a frenetic pace. Kutch is leading the pack of districts where there has been maximum percentage increase in realty deals as the region is witnessing some astounding growth along its coastline.This is followed by Surat, Jamnagar and Vadodara which have shown positive growth, while the Ahmedabad numbers still fall behind the 2010 benchmark.
    But in terms of sheer number of deals, it is Rajkot which leads the pack, despite a fall in percentage from last year. Surat and Ahmedabad come next with more than 10,000 deals in a month.
    Stamp duty registrar Lochan Sehra says, “Latest trends clearly suggest buoyancy. We expect lot more deals in monsoon this year than last season. And, we believe, there would be a 40 per cent rise in stamp duty collection in 2011-12.” This would mean that even Ahmedabad, which may have struck less deals than 2010, would be adding much more to the government coffers now.