Frequently Asked Questions
Stamp duty and registration charges are calculated on the higher of the Circle Rate or the actual agreement value. So, if the Circle Rate is higher than the agreement value, you still pay duties based on the Circle Rate.
Buying such a property means you’ll pay higher stamp duty than the actual price, and it might indicate low demand or underlying issues in that area. It requires careful consideration and due diligence, as it could lead to legal complications or penalties for undervaluation.
Yes, buyers often pay more than the Circle Rate, as the market value is typically higher. The actual transaction value (agreement value) can be much higher than the Circle Rate, and stamp duty will be calculated on this higher transaction value if it exceeds the Circle Rate.
Circle Rates are primarily set for specific areas and property types, and may not explicitly account for the age of the building in the base rate. However, some complex calculations might consider depreciation due to age. Market value, conversely, is heavily influenced by a property’s age and condition.
“Ready Reckoner Rate” is the term for Circle Rate in Maharashtra. It is the minimum rate at which property transactions can be registered in the state and is used for calculating stamp duty and registration charges.
This tool can help give you a rough estimate by factoring in the Circle Rate and a premium percentage. However, for a precise resale value, consider factors like property condition, recent sales in your locality, and consulting a local real estate agent, as market value is influenced by many dynamic factors beyond just the circle rate.
