Mysuru real estate: ₹1,000 crore worth of property transactions stuck amid e-Khata system issues

Nearly 1,000 crore worth of property registrations in Mysuru have remained pending for over two-and-a-half months due to technical glitches in the state’s mandatory e-Khata system, Harish Shenoy, president of CREDAI Mysuru, told Hindustan Times Real Estate.

He said the prolonged disruption has virtually stalled legitimate property sales and mortgage transactions, leaving developers and homebuyers stuck in administrative uncertainty.

E-Khata transition triggers bottlenecks

CREDAI Mysuru said the mandatory shift to the digital e-Khata system has led to widespread delays due to technical glitches and a lack of synchronised land records data. The body said legitimate property sales and mortgage processes are being blocked, affecting both the primary and resale markets.

“We demand an immediate resolution of technical bugs and a fixed time frame for E-Khata issuance. Until the digital system is 100% stable, manual or hybrid registration options should be permitted to prevent economic stagnation,” Nagaraj Bairy, secretary, CREDAI Mysuru, said.

E-khata is an electronic version of the traditional khata certificate, introduced by Bengaluru’s municipal body in October 2024. This digital record is available online, where property owners can apply for, download, and verify their khata without visiting the municipal office. The system was introduced to replace manual khata certificates (legal land ownership documents) issued by the city’s former municipal body, Bruhat Bengaluru Mahanagara Palike (BBMP), with the promise of quick, online issuance within 48 hours. For homebuyers, it was expected to bring clarity to ownership records, reduce fraud, and streamline property transactions. For developers, especially those handling large projects, digitisation was meant to cut paperwork and speed up registrations.

Central Valuation Certificate norms and General Power of Attorney rules add to concerns

Apart from e-Khata issues, CREDAI Mysuru flagged the arbitrary application of Central Valuation Certificate (CVC) requirements to established, older layouts. According to the builder’s body, the mandate was originally intended for new layouts, but its extension to existing developments has increased red tape and delays.

“The government must exempt established layouts from the CVC mandate. Registrations in these areas should continue based on standard Sub-Registrar guidance values and adjacent layout reports to eliminate delays and corruption risks,” the body said in a statement.

The body has also sought withdrawal of the recent order requiring a fresh life certificate for every transaction executed under a registered General Power of Attorney (GPA). It termed the rule ‘impractical’, particularly for senior citizens and non-resident Indians, arguing that a legally registered GPA should be sufficient without repeated verification of the principal’s life status.

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