3,000 housing societies in Mumbai to be affected by hike in transfer fee | mumbai news | Hindustan Times
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3,000 housing societies in Mumbai to be affected by hike in transfer fee

Mumbai city news: The societies could also face problems if they want to revamp the buildings in them because they will not get permission for construction until the dues are paid.

mumbai Updated: Jul 15, 2017 00:28 IST
Naresh Kamath
Naresh Kamath
Hindustan Times
mumbai,mumbai city news,housing societies in mumbai
Representatives from Maharashtra Societies Welfare Association (MSWA), which represents the housing societies, said that such hikes were unjustified.(HT)

Approximately 3,000 housing societies on Collectors Land in Mumbai will be affected by the hike in transfer fee on the sale of their apartments.

The societies could also face problems if they want to revamp the buildings in them because they will not get permission for construction until the dues are paid.

Representatives from Maharashtra Societies Welfare Association (MSWA), which represents the housing societies, said that such hikes were unjustified. “This will come as a big blow to the residents. Anything charged on basis of square foott or ready reckoner attracts huge costs,” said Ramesh Prabhu, chairman, MSWA. “This will really dampen the redevelopment process as residents will have to shell out lakhs to clear the pending dues,” he added.

The state government has changed the transfer fee slabs, according to which, anyone who sells a flat in the island city with permission within five years of construction will have to pay Rs 1,000 per square feet. In case of a special catefgory (judges, bureaucrats and others), the charge will be Rs 2,000 per square feet. For people who do not have a permission, the charges will double.

Residents who bought these apartments without paying the transfer fee will now have to pay a lot more to regularise their sale.

Builders felt that this will ultimately have an effect on project costs. “A builder will get approval only after securing a no objection certificate from the collector. This adds to the project cost and ultimately the selling price,” said Bhavesh Sanghrajka, managing director, Shraddha Lifescapes.