Property guidance value for Bangalore City to be revised

roperty guidance value for Bangalore City to be revised
Deccan Herald

After the September revision of property guidance values in Bangalore Rural District, it’s Bangalore City’s turn to brace for the revision...

After the September revision of property guidance values in Bangalore Rural District, it’s Bangalore City’s turn to brace for the revision.

According to sources in the Stamps and Registration Department, the Central Valuation Committee is working on the draft guidance values, as a blueprint for the revision. The draft, they said, is expected to be completed by the end of this year or early next year.

The immediate impact of increased guidance values will be an increase in stamp duty and registration fees.


“It’s very early to predict the kind of increase or decrease in the values now. Further, speculative figures can lead to virtual booms in the market,” reasoned a senior official in the department. Other sources maintained that the minimum average increase in guidance values could be in the range of 35-40 per cent.

According to another senior official in the department, 60 per cent of the initial draft has been completed.

“We are still in the process of compiling details on existing market prices and other parameters. We’ve called for a Sub-Registrars’ meeting tomorrow (Saturday), wherein these aspects will be discussed. The idea is to complete the draft by January,” he told Deccan Herald on Friday.

Market rates

Persisting with last year’s methodology, the department is expected to peg the revision to existing market rates, and not last year’s revised slabs.

“We are keeping a tab on the rates that builders and developers offer on apartments. Such trends in the market will also be incorporated in the draft,” the official said.

According to the department procedure, objections are called for after the CVC publishes the draft guidance values, following which the final guidance values are released.

Meanwhile, realty brokers in the City have already shifted to speculation mode and are pushing clients to go in for immediate registration to avoid paying more on registering properties.

Purchasers have to pay 10 per cent of the area guidance value as stamp duty and registration fee.

“It really depends on the area. Localities which are already high in the price range will see substantial increase in guidance values,” another source in the department said.

The last guidance value revision was initiated in Bangalore City in October 2005, that saw an increase from 40 per cent to even 100 per cent.

Guidance values for Bangalore Rural District were revised in September this year, wherein commercial land saw the jump as high as 100 per cent.

The values of residential land in six taluks — Kanakapura, Hoskote, Devanahalli, Doddaballapur, Nelamangala and Ramanagaram — were also hiked by 50 per cent.