Get your dream home at lower price! Centre asks states to lower stamp duty for affordable housing

New Delhi: Union Government has written to the states asking them to reduce stamp duty on registration of houses for poor as it aims to push affordable housing projects across the country.

"I have just written to all the Chief Ministers with regard to the need to reduce stamp duty. The stamp duty was originally collected to maintain the registers, now it has become a source of revenue. Charging this on affordable housing people will be a burden," Urban Development Minister Venkaiah Naidu said.

The government has selected as many as 2,508 cities in 26 states under the 'Pradhan Mantri Awas Yojana' for providing affordable houses to the urban poor.

With stamp duty of up to 10 percent in certain states, the registration charge burden on home buyers increases, he said.

"I have explained all these and written to Chief Ministers. Some of them are also responding positively," Naidu said at the Assocham's 'Finance for Housing for All' event here today.

Government, he said, wants to come out with more measures to promote the housing sector. Also, modernisation and digitisation of land record will go a long way, he said.

Naidu said Prime Minister Narendra Modi has given his ministry a vision that all permissions should go through a single window so as to end person to person contact.

"My personal feeling is all permissions together should be disposed of within 60 days. The idea is to have online applications and permissions. I have started this in Delhi and Delhi government has also accepted it. I have also started in Mumbai," he said.

Naidu said the Centre is now asking all cities and corporations to go online to ensure transparency and accountability. This will do away with corruption, delay, harassment and unnecessary escalation of cost, which the consumers have to bear.

In his speech, Naidu called upon all stakeholders to join the Prime Minister in his drive to eradicate corruption. "I call upon all stakeholders to join Modi. Modi is not Narendra Modi, Modi means 'Making Of Developed India'".

Naidu further said the government will soon bring rules on the 'The Real Estate (Regulation and Development) Bill', which was passed by Parliament in March.

"Once the states also finalise it, the regulators will be appointed and that will take care of the problems of the housing sector," he said, adding this will help meet the Housing for all goal of the government.