Cell to monitor property prices on the cards

It will help assessment of property values more realistically.

The Karnataka government has decided to set up a separate cell to monitor property prices across the State.

It will also suggest revision of guidance value on a scientific basis is on cards with the Department of Stamps and Registration seeking the Government nod.

The cell with property valuers, town planners, engineers and statistical officers will be created shortly, and it will monitor price variations in the market.

Currently,  the guidance value was being fixed unscientifically and always remained on the lower side of the market value. “It is the clinching factor for the Government to raise revenue and should not be based on whims and fancies” an official said.

Currently, the guidance value is revised after seeking reports from sub-registrars. A central valuation committee (CVC) headed by the IGR and comprising members from the public, studies the reports, announces the values and calls for objections before the final notification is issued.

The proposed cell will assist the sub-registrar and will give its suggestions to the CVC, following which the guidance value will be revised. Members of the cell will also scout realty and property exhibition to understand the market, the official said.

The cell will enable the department to revise the guidance value annually as mandated by the Karnataka Stamps Act.

Incidentally, guidance value of the properties in Bangalore was revised after more than four years.

The proposal will be submitted to the Finance Department for approval as it involves creation of new posts.