Property prices likely to go up in Bengaluru after revised guidance value
The latest guidance value is likely to increase by 25 to 30 per cent on an average, to the current guidance value.
The Karnataka government on Tuesday said that the new revised ‘guidance value’ of properties will apply starting from October 1. The latest guidance value is likely to increase by 25 to 30 per cent on an average, to the current guidance value. The guidance value is the minimum selling price of a property fixed by the government, depending on the locality and type of structure.
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Speaking to the reporters, Karnataka Revenue Minister Krishna Byre Gowda said, "The registration department should revise the guidance value every year as per the law. However, the guidance value has not been revised for the last five years. It also leads to black money transactions. Non-revision of guidance value has also indirectly allowed black money transactions. Therefore, the new guidance value will be implemented from October 1."
Explaining the revision of the guidance value, the minister said in areas where the market rate and the guidance value are similar, the guidance value has been increased by 10 per cent, and in areas where the market rate is 200 times higher than the guidance value, the revised rate has been increased by 20 per cent to 25 per cent.
If the guidance value is higher than the market rate, the authorities have been directed to reduce the guidance value in such areas, the minister said.
On October 1, as a first step, the revised rate at Bengaluru will be implemented. For the rest, the subcommittee in each district will discuss and implement the new guidance value gradually, Gowda said.
The minister also said that if anyone has objections to the guidance value revision, it can also be submitted. The officials will take note of it and implement the new guidance value, he said.
(With PTI inputs)