Please call our toll free customer helpline 1800 102 1003 if you have any queries or face any issue on our website. We regret any inconvenience caused.


Fullerton India Home Finance Co. Ltd. is now SMFG India Home Finance Co. Ltd.

Thank you!
Our representative will contact you shortly
Error occurred while submitting data. Please try again after some time.
Fill in the details below

We will call you back as soon as possible

Ready Reckoner Rate - What Does It Mean and How to Calculate It?

Sep 21, 2023
Ready Reckoner Rate - What Does It Mean and How to Calculate It?

It is a healthy practice to be well aware of all the technical and legal details surrounding the property you’re investing in. This makes the process much easier and more transparent for them.

Ready Reckoner Rate is one such concept in the world of real estate, about which one should have a brief idea. In this article, you will learn the ready reckoner rate meaning in detail. Some of the critical concepts covered will be ready reckoner rate calculation and reckoner rate in Mumbai, to name a few.

What is Ready Reckoner Rate?

The ready reckoner rate, as it is called in Mumbai, is a minimum amount below which the property should not be sold. The authorities determine the rate, which varies from locality to locality.

Reckoner rates are also called Circle Rates in Delhi. This rate basically acts as a benchmark below which no property can be sold and the minimum amount on which the government charges the stamp duty and registration fees. The state government revises the ready reckoner rate in Mumbai every year at the end of March. You can check Mumbai's current IGR ready reckoner rate on the IGR Maharashtra website.

Importance Of Ready Reckoner Rates

Knowing the reckoner rates is necessary for property buyers. It helps buyers make informed decisions as they get an idea regarding the minimum price of the property and the bandwidth they can consider for the actual property cost. This also helps while reselling the property as well.

As the property's market price increases with time, knowing the ready reckoner rate ensures that the homeowner does not suffer a loss while reselling it and can receive a fair amount for the same.

Difference Between Ready Reckoner Rate And Market Rate

Ready reckoner, meaning the rates determined by the authorities or government, is that below which no property transaction is legally allowed to take place. On the other hand, the market rate is the actual rate at which the transaction between the buyers and sellers takes place.

How To Calculate Ready Reckoner Rate?

The steps given below act as a ready reckoner rate calculator are provided as follows-

Step 1:- Property's build-up area is calculated by considering all the factors, such as amenities, plot area, etc. If another value of 1.2 times the carpet area is mentioned, the one with the higher value will be considered.

Step 2:- The property's location should be selected, after which the property's value should be calculated using the following formulas.

Step 3:-  For residential apartments in housing societies, it will be a total of:-

- Property built-up area (sq. mt) * ready reckoner rate per square meter
- Open car parking slots * 40% of ready reckoner rate per unit  area
- Sold car parking slots * 25% of the ready reckoner rate per unit area

You can easily check the rate online through the website of Ready Reckoner IGR.

Factors Affecting Ready Reckoner Rates

The authorities set reckoner rates. Some of the factors which affect the reckoner rates are:-

  • Availability of Amenities
  • Type of the property (Residential or commercial)
  • Location of the property
  • Life of the property


Real estate property is an asset and a long-term investment. To avail of maximum benefits of appreciation, it is necessary to take all the precautions and give proper attention to the minute details as well. There are many factors to be considered while buying a home loan, such as the locality of the property, the market value of the property, and interest on the home loan.

If you plan to buy a house, you can check out the SMFG Grihashakti home loan options. It provides a quick and instant home loan approval process. The interest rate for home loans is 9.5%* per annum for salaried individuals and 10.5%* per annum for self-employed people. Check out your EMI through our housing loan EMI calculator and apply now!


What is the meaning of the Ready Reckoner?

A ready reckoner is the minimum rate below which the property should not be sold.

What are the different types of ready reckoners?

The ready reckoner rate or ASR can be divided into 3 types: Urban Area, Influence Area, and Rural Area.

Disclaimer: *Please note that this article is for your knowledge only. Loans are disbursed at the sole discretion of SMFG Grihashakti. Final approval, loan terms, disbursal process, foreclosure charges and foreclosure process will be subject to SMFG Grihashakti’s policy at the time of loan application. If you wish to know more about our products and services, please contact us.

SMFG India Home Finance Co. Ltd. (Formerly Fullerton India Home Finance Co. Ltd.)
CIN number: U65922TN2010PLC076972

All rights reserved © - SMFG Grihashakti

Follow us LinkedIn facebook Instagram instagram Youtube