Tamil Nadu Registration Department’s clarification circular on guideline value fixation and property registrations.
We
welcome the Tamil Nadu Registration Department’s clarification circular on
guideline value fixation and property registrations. This is a very practical
and much-needed step towards ensuring uniformity and reducing arbitrary
interpretation at the field level.
For
quite some time, many genuine buyers, landowners, and developers across the
industry have been facing challenges due to isolated high-value transactions
being informally treated as the benchmark for fixing the guideline value of an
entire street or locality. In reality, such transactions are often influenced
by specific factors such as main road exposure, commercial potential, corner
advantage, infrastructure access, special business requirements, or one-time
negotiated values.
However,
when such isolated registrations become the reference point for surrounding
residential properties, it creates an artificial increase in guideline values,
leading to confusion, difficulty in registrations, higher transaction costs,
and unnecessary pressure on genuine end-users and developers. Personally, I
have also come across several such situations in the industry where practical
ground realities were not adequately reflected during valuation discussions.
The
Government’s clarification that a single land or apartment sale should not
automatically be treated as the benchmark value for an entire locality brings
much-needed clarity and balance into the system. More importantly, it gives
proper guidance to field-level registration officials and helps reduce
arbitrary interpretation during document registration.
This
circular will go a long way in improving transparency, consistency, and
confidence in the registration process. It is a positive and reassuring step
for the entire real estate sector and for the public at large.
On
behalf of CREDAI Tamil Nadu, I sincerely appreciate the Registration Department
and particularly thank Inspector General of Registration Mr. Dinesh Ponraj
Oliver IAS for understanding the practical concerns faced by the industry and
issuing this important clarification in a proactive manner.
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