The Maharashtra Housing and Area Development Authority (MHADA) has announced a significant price reduction of 10 to 25 per cent on 370 houses available through its Mumbai Board Lottery.
Of the total 2,030, these 370 apartments are acquired through redevelopment projects under DCR 33(5), 33(7), and 58.
Of the 370 homes, 226 are classified for the economically weaker section and low-income group applicants. There will be 118 homes under the middle-income group category while the 24 high-income group units.
MHADA, Maharashtra’s nodal agency for the supply of affordable housing, conducts lotteries for housing stock through its regional boards, such as for Mumbai, Konkan, Pune, and others.
The application process for the ongoing lottery in the Mumbai board was scheduled to close on September 4. However, MHADA has decided to extend the registration deadline to September 19.
It is pertinent to note that MHADA has taken such a decision as they have received only 30,000 applications so far for a stock of 2000 houses. In 2023, MHADA received more than 1 lakh applications.
Detailed reductions are as follows:
- 25% cut for the Economically Weaker Section (EWS)
- 20% for the Low-Income Group (LIG)
- 15% for the Middle-Income Group (MIG)
- 10% for the High-Income Group (HIG).
This is the first time these surplus homes, located in prime areas of South Bombay such as Tardeo, Worli, and Mumbai Central, are being offered in the Mumbai lottery. Most units in the higher income group (HIG) are being offered in the range of Rs 1 crore and Rs 6 crore plus.
Despite the high price, the Tardeo flat received 132 applications on the first day of the lottery, with 246 total applications received.
The costliest apartment in the lottery, located in Tardeo, earlier priced at more than Rs 7.5 crore, will now be priced at Rs 6.8 crore. Meanwhile a unit in Vikhroli, earlier priced at around Rs 38 lakh, will now be available at around Rs 29 lakh. A 982 sq ft flat in Powai priced at Rs 1.79 crore.
With the price reduction, MHADA is passing on a benefit of around Rs 100 crore to homebuyers.