Home registration in Kolkata up 167% year-on-year in November 2022

KOLKATA: Some 3,047 residential sales agreements were registered in November 2022, an increase by 167% over 1,140 registrations recorded in November 2021. The count, though, was lower by 55% against the numbers clocked in October 2022.

With the incentive of 2% stamp duty reduction set to end by this month-end, the challenge will be to sustain the sales momentum thereafter. Since the initial stamp duty cut announcement in July 2021, a whopping 72,790 residential properties have been registered in the city in these 17 months.

The preceding 17 months prior to the introduction of rebate saw registration of only 44,736 units. This included the Covid period and the lockdown in 2020 when realty transactions had reduced to a trickle for three months.

Real estate consultancy firm Knight Frank India CMD Shishir Baijal said, “Kolkata is one of the few Indian cities where home buyers still enjoy a stamp duty rebate. Though the privilege is set to expire, we are hopeful the state may consider another extension as now homebuyers’ affordability has been dented due to multiple repo rate revisions in 2022.”

Experts attributed the high annual growth in November to the limited property registrations last year as there was a lack of awareness about the extension of the stamp duty rebate beyond October 31, 2021, a year ago.
Homes in size range of 501-1,000 sqft accounted for maximum share of 51% of total registrations in November 2022. The bigger unit sizes of more than 1,001 sqft comprised 25% share in total pie. Smaller units of up to 500 sqft comprised 24% share of the total. At 221%, there was a relatively higher growth in the 501-1,000 sqft size range category in November 2022.

The south and north zones garnered the highest percentage across different micro-markets for apartments registered in their localities with a 42% and 32% share, respectively.

The company’s senior director (E) Abhijit Das felt investments were required in manufacturing and services that generate additional employment.