Kerala, known for its lush green landscapes, pristine backwaters, and rich cultural heritage, is a sought-after destination for real estate investments. Whether you’re a property owner, buyer, or investor, knowing the fair value of land in Kerala is crucial for making informed decisions. In this article, we’ll guide you on how to check the fair value of land in Kerala and provide valuable insights into the state’s real estate market.
Buying your own home can be a daunting task for many. There are generally a number of things to consider when buying land. If you buy a piece of land without looking into it, there are a lot of pros and cons. Ordinary people usually approach any broker to buy land. But those who are considering land acquisition through brokers need to know one more thing. That is, sometimes brokers will try to impose land on you at a fair price.
To avoid any speculation over the prices, the government of Kerala fixes a fair value for different categories of land based on the registration charges and stamp duty that are to be paid for the various property transactions. The fair value of the plot is also applicable in houses and flats, where there are no additional fees for construction after adjustment against depreciation.
The fair value of land shown in this site is the enhanced fair value as per Gazette notification SRO No.305/2022 dated 30/03/2022. In other words this site includes the enhanced fair value as per the Gazette notifications published till 30/03/2022.
Factors affecting the Fair Market Value of a property
Location
The location of the property is a major determinant of its value. If the property is situated in a prime area, it obtains the first estimate. Excellent location refers to the heart of the city or an area with upscale buildings and residential areas, including sprawling apartments, for example, MG Road in Bangalore and CP in Delhi. On the contrary, properties located in remote areas or outskirts are estimated at a lower value.
The site
The dimensions of the property play a significant role in its value evaluation, be it a plot, flat or independent villa. A bigger parcel of land will retain more substantial value compared to a smaller one.
Demand and supply
The demand-supply dynamics of the property, too, impact its fair value. Higher demand unmet by insufficient supply is bound to surge the fair value, whereas oversupply hinders capital appreciation. Various other factors, such as easy access to home loans, an increase in disposable income and the rural to urban migration drive demand for real estate. Hence, economic conditions trigger changes in the fair value of the property.
Difference between fair value and market value
The state government authorities decide the fair value of land or property. On the contrary, the market value of land in Kerala is determined by the marketplace that is based on the supply and demand scenario. Usually, the fair value of land is being considered for the deeds registration and stamp duty in cases the decided transaction value of land is lower than the fair value of the land. So, the fair value or consideration amount is used to calculate the registration charges and stamp duty charges in Kerala. The one that is higher is taken into consideration.
How to check Fair value of land Kerala?
For checking the fair value of land, you require to follow the procedure step by step as discussed below:
Step 1: Firstly, you should visit the below website and then fill in all the required information that is asked for.
Step 2: You need to select from the dropdown list the district, Taluk & Village. These selections are mandatory to proceed.
Step 3: Select Desam, block number, land types, survey number, as well as the other requisite information. However, these are not the mandatory fields to be filled up.
Step 4: You are required to click on the tab ‘View Fair Value’ & then you would be redirected to an altogether new page where you would be able to access the displayed results on your device’s screen.
There are several methods to check the fair value of land in Kerala:
1. Guideline Value: The Kerala Government publishes guideline values for land, which serve as a benchmark for determining the fair value of properties. You can check the guideline value of your property on the Kerala Government’s website.
2. Market Value: Research the market value of similar properties in your area to determine the fair value of your land. You can consult with local real estate agents, property owners, or online real estate platforms to gather data.
3. Valuation Report: Hire a certified valuer or a real estate expert to prepare a valuation report for your property. This report will provide an estimated fair value of your land based on various factors, including location, size, and zoning regulations.
4. Online Tools: Utilize online tools, such as property valuation calculators or real estate websites, to estimate the fair value of your land.
Several factors influence the fair value of land in Kerala, including:
1. Location: Proximity to cities, towns, and infrastructure development projects can significantly impact the fair value of land.
2. Zoning Regulations: Zoning laws and regulations can affect the usage and development potential of a property, influencing its fair value.
3. Size and Shape: The size and shape of a property can impact its fair value, with larger and more regular-shaped plots typically commanding higher prices.
4. Infrastructure Development: Access to basic amenities, such as roads, water, and electricity, can increase the fair value of land.
5. Environmental Factors: Environmental factors, such as proximity to water bodies, forests, or other natural features, can impact the fair value of land.