Karnataka doubled the property registration fee to 2% — here's what it adds to your bill
The first increase since 2003 took effect on 31 August 2025. On a ₹1.5 Cr home it means ₹1.5 lakh more at registration.
Karnataka's Department of Stamps and Registration raised the registration fee on property transactions from 1% to 2% of the property value, effective 31 August 2025, through a notification issued on 29 August. It was the first change to the fee since 2003.
The increase applies across transaction types, and the fee on Joint Development Agreements (JDAs) and related General Power of Attorney documents also moved to 2%. The state expected roughly ₹2,500 crore in additional revenue; it had collected about ₹22,500 crore in 2024-25 against a ₹26,000 crore target.
Your full cost stack in Karnataka
- Stamp duty: 2% up to ₹20 lakh, 3% for ₹21–45 lakh, 5% above ₹45 lakh.
- Cess and surcharge on stamp duty: roughly 10% of the duty.
- Registration fee: now 2%.
- GST: 5% on under-construction homes (1% for affordable homes); nil on ready homes with an Occupancy Certificate.
Developers including Prestige Estates publicly objected to the increase, arguing it adds to buyer costs at a time when prices are already rising.
Budget at least 8% of the price for government charges on a ready home in Bengaluru, and about 13% on an under-construction one once GST is included. Our True Cost calculator already uses the new 2% fee. Remember these costs are usually payable from your own savings — banks generally won't finance them.
Sources
- Property deals to cost more: registration fee hiked to 2% — Deccan Herald
- Karnataka Government Doubles Property Registration Fee to 2% — The Realty Today
- Karnataka doubles property registration fee in 2025 — King Stubb & Kasiva
Figures are as reported by the sources above on or before the AlphaDesk publication date. “AlphaDesk take” sections are our analysis, not advice. Verify details before making decisions.
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