Stamp Duty and Registration: The Basics

When you buy property in India, you pay stamp duty to the state government and a registration fee to record the sale officially. These are paid on top of the flat or plot price and are set by each state.

How it is calculated

Stamp duty is a percentage of the higher of the agreement value and the government's ready reckoner / circle rate for that area. Rates commonly fall in the 5–7% range, with extra cesses in some cities and concessions for women buyers in several states. Registration fees are typically around 1% of the value, sometimes with a cap.

Where to check the exact rate

Check your state's registration department website (for example IGR Maharashtra, or the Delhi and UP e-Registration portals) for the current rate and ready reckoner values. Rates change, so check at the time of your purchase.

Tips

• Add stamp duty and registration to your budget from day one, because banks usually don't finance them.
• Registering jointly with a woman co-owner can reduce stamp duty in some states.
• Keep the registered document safe. You need it for loans, resale and mutation.