Karnataka Doubles Property Registration Fee from August 31; Real Estate, Property Owners Hit Hard
Bengaluru, August 30, 2025: In a major decision impacting property buyers, owners, and the real estate sector, the Karnataka Government has announced a revision of property registration fees, doubling it from 1% to 2%, effective August 31, 2025.
According to the Department of Stamps and Registration, Karnataka has had one of the lowest stamp duty and registration charges in South India when compared to neighboring states. Currently, buyers in Karnataka pay 6.6%–6.65% on immovable property transactions (including 5% stamp duty, 1% registration fee, and cess). With the hike, property buyers will now pay 7.6% in total charges, bringing Karnataka closer to Tamil Nadu (9%), Kerala (10%), Andhra Pradesh (7.5%), and Telangana (7.5%).
Why the Fee Hike?
Officials stated that the revision was aimed at rationalising rates, strengthening administrative processes, and improving service delivery in property registrations.
Deputy Secretary (Revenue Department – Registration), S.R. Shivashankar, notified the amendment under the Registration Act, 1908, making the revised rates legally binding from August 31, 2025.
Guidelines for Applicants
- Applicants with prior appointments/fees paid: Those who have already paid the earlier 1% fee must pay the differential amount via the official Kaveri Online Services Portal before registration. SMS alerts with instructions will be sent to registered mobile numbers.
- Applications under verification: For documents already submitted and under scrutiny, the registration fee will be recalculated at 2%, and applicants will need to pay the revised fee before their registration is completed.
The department has urged citizens to follow the updated procedure strictly to avoid delays, while detailed step-by-step instructions will be available on the official portal.
Public Reaction: ‘Double Shock for Property Buyers’
The sudden hike has drawn sharp criticism from property owners and homebuyers already reeling under high inflation, rising construction costs, and real estate slowdown. Many buyers who had planned registrations before September are now rushing to sub-registrar offices to save on costs.
“With the fee doubling overnight, buyers will now need to pay ₹2,000 instead of ₹1,000 per lakh of property value. This is a big blow for middle-class families and will impact real estate transactions,” said an industry analyst.
The move is also expected to affect GPA and JDA registrations significantly, as well as delay projects dependent on bulk property transactions.
Meanwhile, technical glitches in the Kaveri registration software have already caused long queues at sub-registrar offices, with citizens complaining of server downtime and inconvenience.
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