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August Property Registrations in Mumbai at 10,550, Rs 790 cr Stamp Duty Collected

Mumbai, August 31, 2023: Mumbai city (area under BMC jurisdiction) in August 2023 is estimated to witness registration of 10,550 properties, contributing to a revenue influx of INR 790 Crores (Cr) for the state government. This showcases a 23% surge in registrations and revenue compared to the preceding year. Of the overall registered properties, residential units constitute 80%, the remaining 20% constitute non-residential assets.

Table: Mumbai property sale registrations and government revenue collection

Period	Registration (Units)	YoY	MoM	Revenue (INR cr)	YoY	MoM
Aug-22	8,552	26%	-25%	644	53%	-22%
Sep-22	8,628	11%	1%	734	39%	14%
Oct-22	8,422	-2%	-2%	724	32%	-1%
Nov-22	8,965	18%	6%	684	24%	-6%
Dec-22	9,367	-3%	4%	835	10%	22%
Jan-23	9,001	10%	-4%	692	45%	-17%
Feb-23	9,684	-7%	8%	1,112	81%	61%
Mar-23	13,151	-21%	36%	1,226	6%	10%
Apr-23	10,514	-10%	-20%	900	22%	-27%
May-23	9,823	0%	-7%	833	15%	-7%
Jun-23	10,319	4%	5%	859	17%	3%
Jul-23	10,221	-10%	-1%	831	0.3%	-3%
Aug-23*	10,550	23%	3%	790	23%	-5%

Source: Maharashtra Govt- Dept. of Registrations and Stamps (IGR); Knight Frank India

*Note: Data for August 2023 is estimated based on per day run rate

Table: Best August in last 10-years (2013-2023)

Month-wise	Sales Registration	YoY change	MoM change	Revenue (INR Cr)	YoY change	MoM change
Aug-13	4,779	NA	-7%	239	NA	-17%
Aug-14	5,031	5%	-4%	297	24%	-6%
Aug-15	5,573	11%	-4%	347	17%	-14%
Aug-16	5,444	-2%	-5%	324	-7%	-5%
Aug-17	4,886	-10%	-20%	348	7%	-5%
Aug-18	6,862	40%	7%	442	27%	0%
Aug-19	5,873	-14%	2%	500	13%	11%
Aug-20	2,642	-55%	-1%	176	-65%	-18%
Aug-21	6,784	157%	-31%	421	139%	-26%
Aug-22	8,552	26%	-25%	644	53%	-22%
Aug-23*	10,550	23%	3%	790	23%	-5%

Source: Maharashtra Govt- Dept. of Registrations and Stamps (IGR); Knight Frank India Research

*Note: Data for August 2023 is estimated based on per day run rate

August 2023 marked a significant milestone for the city, achieving its most successful August month in the past decade in terms of both registration numbers and revenue generated. This indicates the enduring robustness of Mumbai’s residential real estate sector and the unwavering trust of property purchasers, despite the uptick in interest rates and property prices. Such resilience can be attributed to factors like rising income levels and positive attitudes towards homeownership.

Table: Preferred location of Property purchase – August 2023

		Buyers’ location
Preferred Micro market		Central Mumbai	Central Suburbs	South Mumbai	Western Suburbs	Out of city
	Central Mumbai	40%	0%	0%	5%	0%
	Central Suburbs	36%	84%	0%	20%	41%
	South Mumbai	3%	0%	64%	0%	9%
	Western Suburbs	21%	16%	36%	75%	50%
		100%	100%	100%	100%	100%

The Central and Western Suburbs have experienced a surge in launches in response to strong demand. These areas offer excellent value, with modern amenities provided in most new developments. Additionally, these locales are already well-connected or are set to be linked through upcoming metro networks, further enhancing the attractiveness of these properties.

Remarkably, the Central and Western Suburbs have shown a pronounced inclination for buyers to upgrade within their own micro markets. Around 75% of Western suburb buyers and 84% of Central suburb purchasers opt to invest within their familiar micro market. This choice is influenced by the familiarity of the location, along with the availability of products that align with their pricing and feature preferences.

Table: Mumbai property sale registrations and government revenue collection

Jan-Aug2013 – 2023	Registration	YoY	Revenue	YoY
Jan-Aug2013 – 2023	Jan-Aug (Units)	YoY	Jan-Aug (INR cr)	YoY
2013	44,583	NA	2,434	NA
2014	41,533	-7%	2,340	-4%
2015	45,609	10%	2,769	18%
2016	44,099	-3%	2,734	-1%
2017	44,090	0%	3,499	28%
2018	54,939	25%	3,809	9%
2019	46,013	-16%	3,685	-3%
2020	23,225	-50%	1,740	-53%
2021	78,270	237%	3,723	114%
2022	86,653	11%	5,924	59%
2023	83,263	-4%	7,242	22%

During the initial eight months of 2023, the city achieved a remarkable registration count of 83,263 units, resulting in a substantial revenue accumulation of INR 7,242 crore for the state treasury. This achievement stands as the highest within the same timeframe since 2013. This surge in property registrations has notably bolstered the Government of Maharashtra’s financial position. The elevated revenue growth can be attributed to various factors, including the registration of higher-value properties and an augmented stamp duty rate.

Shishir Baijal, Chairman & Managing Director, Knight Frank India, “Mumbai’s residential market continues to remain strong as aspiring homebuyers embrace the trend. Remarkably, the share of registration of properties valued at INR 1 crore and above continue to rise, led by surge in property prices and increasing preference among home buyers for more spacious accommodation. Overall, the housing market of the city continues to show a positive outlook, bolstered by ongoing consumer demand”.

Higher value properties have seen a consistent increase in share.

Table: Ticket size wise split of property sale registrations

Registrations	INR 1 Cr and below	INR 1 Cr and Above
Jan-Aug 20	52%	48%
Jan-Aug 21	47%	53%
Jan-Aug 22	46%	54%
Jan-Aug 23	43%	57%

Registrations	INR 1 Cr and below(Units)	INR 1 Cr and Above(Units)
Jan-Aug 20	12,012	11,213
Jan-Aug 21	36,710	41,560
Jan-Aug 22	40,108	46,545
Jan-Aug 23	35,803	47,460

Over the recent years, there has been a consistent upward trajectory in the percentage of property registrations for properties valued at INR 1 crore and beyond. This proportion has climbed from 48% in 2020 to around 57% in 2023.

The escalation in property prices, coupled with a significant 250 basis point increase in the interest rate during this timeframe, has influenced property registrations below the INR 1 crore threshold. However, registrations for properties valued at 1 crore and above have demonstrated a relatively minimal response to these changes. Consequently, this has resulted in a noticeable positive impact on the share of property registrations for properties priced above one crore, signifying a sustained demand within this higher price segment of the market.

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