Maharashtra Budget 2024 allocates ₹7425 crore for construction of 35 lakh affordable homes

Maharashtra government’s Interim Budget for 2024-2025 has set a target to construct 35 lakh affordable homes in the next five years through various housing schemes, including Pradhan Mantri Awas Yojana (PMAY), for which it has allocated ₹7425 crore.

Presenting the Interim Budget, finance minister Ajit Pawar, announced that concessions given to women homebuyers for purchasing property will continue. The Maharashtra government gives a 1% stamp duty concession in case the property is bought in the name of a woman buyer.

The Maharashtra government has also proposed digitalising the process of applying for stamp duty online. It has proposed relaxing penalties for those who have been found to have paid insufficient stamp duty.

The state is expected to go to the polls around October 2024.

Affordable Housing schemes in Maharashtra govt's interim Budget 2024-25

Presenting the Budget Maharashtra finance minister Ajit Pawar said a total of 35,40,491 houses will be constructed in the next five years through Pradhan Mantri Awas Yojana, Ramai Awas Yojana, Shabri, Pardhi and Adim Awas Yojana, Modi Awas Yojana, Yashwantrao Chavan Mukt Vasahat Yojana, Punyashlok Ahilya Devi Holkar Gharkul Yojana.

A provision of Rs.7,425 crores has been made for various housing schemes in 2024-25, Pawar said in his Budget speech.

Also Read: Real estate sector hopes for continued govt support for affordable housing, increase in corpus for SWAMIH Fund in Budget

Stamp duty benefits announced in the Maharashtra interim budget 2024-25

Ajit Pawar in his Budget speech said that several schemes and concessions given to women in the state will continue. This also included stamp duty concessions given to women homebuyers.

The current stamp duty slab in Maharashtra is between 5% to 7% in different cities. However, women homebuyers get to pay 1% less on the applicable stamp duty. But the caveat is that the property has to be purchased under the name of a woman buyer. If a property is purchased under the names of both the female and the male homebuyers, the stamp duty benefit is not applicable.

Also Read: Maharashtra Budget 2024-25: Farmer, woman, youth; Pawar picks populism ahead of polls

Pawar also said that if it is found (that the buyers) have paid less stamp duty on the registered documents, the penalty levied on the difference in stamp duty amount from the date of execution of the document will be reduced from 2% to 1% per month.

"Application for stamp duty refund will be made online. The time limit for application will be increased from six months to one year from the date of stamp purchase," Pawar said.

Also Read: Election 2024 result impact: Maharashtra's real estate market may go into a wait and watch mode ahead of assembly polls

Proposal for Metro lines

Metro lines spanning 499 km have been sanctioned for Mumbai, Pune and Nagpur. Currently, 127 km are operational with an additional 37 km expected to become functional within the current financial year.

This is what Mumbai developers have to say about the Interim Budget

“We commend the Maharashtra government's commitment to addressing the housing needs of the state, as evidenced by the ambitious target of constructing over 35 lakh houses over the next five years," said Prashant Sharma, president, NAREDCO Maharashtra.

The allocation in the 2024-25 Budget towards various housing schemes, including the PM-Awas Yojana, is a significant step towards ensuring affordable housing for all, he said, adding that the initiative will not only provide shelter to millions but also stimulate economic growth by creating numerous job opportunities in the construction sector.

Also read: 5 orders passed by MahaRERA to safeguard homebuyers’ interests in Maharashtra

The continuation of the 1% stamp duty concession for women homebuyers is a laudable decision. This concession empowers women and encourages their participation in property ownership, promoting gender equality and financial independence. These measures will ultimately contribute to the state's progress and prosperity, he added.