Guidance Value to Rise in North and East Bangalore

Published on June 10, 2013, 08:20 PM IST
Guidance Value Bangalore
The stamps and registration department is drafting a revision in guidance values of properties which could increase by up to 75%-80% in northern and eastern parts of Bangalore. Highly placed sources in the department said that the draft of the revision will be submitted to the government in August. "The revised values are likely to be implemented from October 2013 after the cabinet gives its nod," said an officer.

As per the ongoing guidance value revision, areas likely to see a steeper hike include Hebbal, Yelahanka and neighbouring villages, Arkavathy Layout, Kempegowda Layout, Manyata Tech Park, Whitefield and surrounding villages.

A team of officials from the stamps and registration department went to Pune recently to study the Maharastra government's model of evaluation of property prices. "The trip helped us understand the real estate trends. The hike this time is based on transaction trends we've seen in the past two years. Parts of Bangalore where there not many transactions are taking place would not see much difference in guidance value," said sources.

This time, there may not be an increase in guidance value of properties in central business district areas like MG Road, Brigade Road and Residency Road where sub-registrars haven't witnessed many transactions.

What is Guidance Value..?

Guideline value, as the name suggests is a yardstick value for the registrar to identify on prima facie if someone is registering a land below the market price.
Generally the guideline value is the last transacted value at the registrar’s office for that survey number/location.
The guideline value doesn’t change with each higher transaction. Considering that price may fluctuate due to varying demands. The list is only revised periodically. One can register above the guideline value if they want and have to pay the stamp duty accordingly on the registered value.
Generally the market price is always more than the guideline value.