Registration of residential properties in the Mumbai municipal area fell 26 percent on an annual basis to 7,732 units due to restrictions on movements to curb the spread of the coronavirus pandemic, according to Knight Frank India.

Mumbai city (MCGM region) saw total property sale registrations of 7,732 units in January 2022 as against 10,412 units in the same month last year.

"This is owing to the challenges faced in the initial part of the month on account of the third wave of COVID, that reduced movement," the consultant said in a statement.

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The government's revenue from property registrations was recorded at Rs 453 crore in January 2022.

"While the registrations were lower by 26 percent on a year-on-year comparison over January 2021, revenues have increased by 48 percent in the same comparison. Last year, the same period had a lower stamp duty rate window (3 percent) and was not as severely inflicted by COVID," Knight Frank said.

The consultant further said January 2022 registration volume is higher than all pre-COVID January months. Shishir Baijal, chairman & managing director, Knight Frank India said: "Albeit in a limited way, cautiousness on account of the third wave has influenced sentiments which is reflected in January registrations."

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"However, as previously experienced, we see this slowdown as a temporary blip and the market will gain momentum as the rate of infection declines," he added.

Over the next fortnight, Baijal said the Union Budget and the Monetary Policy actions will be crucial in catalysing the latent demand. Knight Frank's data about the registration of housing properties pertains to both primary and secondary (re-sale) markets.

Earlier this month, a report suggested that registration of homes in Mumbai Metropolitan Region (MMR) rose 53 percent last year to 2.42 lakh units, driven by stamp duty reduction by the Maharashtra government and low-interest rate on home loans. The report was prepared by industry body CREDAI-MCHI, real estate consultant Colliers India and data analytics firm CRE Matrix.

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Registration of residential properties stood at 2,42,061 units during 2021 calendar year as against 1,58,327 units in 2020 and 2,01,613 units in 2019. CRE Matrix CEO Abhishek Kiran Gupta said the value of property registered stood at Rs 1.9 lakh crore last year, Rs 1.12 lakh crore in 2020 and Rs 1.29 lakh crore in 2019.

(Edited by : Jomy Jos Pullokaran)