The Mysuru chapter of the Confederation of Real Estate Developers' Associations of India (CREDAI) has expressed deep concerns regarding significant administrative challenges that have led to a stagnation in Karnataka's real estate sector. During a recent press conference held at Pathrakarthara Bhavan, CREDAI President Harish Shenoy highlighted the pressing need for the State Government to implement immediate corrective measures aimed at rejuvenating property transactions and development initiatives. He emphasized the detrimental impact of these hurdles on the overall growth of the real estate market in the region.
One of the primary issues identified by Shenoy is the mandatory transition to the E-Khata system, which has been marred by ongoing technical difficulties and unsynchronized data. These issues have resulted in delays in property sales and mortgage approvals, creating a bottleneck that hampers the sector's recovery. To mitigate these challenges, Shenoy called for urgent bug fixes, a clear timeline for the issuance of E-Khata, and the provision of interim permissions for manual or hybrid registrations until the digital system is fully operational. This proactive approach would help restore confidence among stakeholders and facilitate smoother transactions.
In addition to the E-Khata system concerns, CREDAI criticized the extension of the CVC price-fixation mandates to established layouts. Originally intended only for new developments, these regulations have inadvertently introduced unnecessary bureaucratic delays for existing properties. Shenoy urged the Government to exempt older layouts from these mandates, allowing registrations to proceed based on guidance values and benchmarks established by adjacent layouts. This change would significantly streamline the registration process and alleviate the burden on developers and property buyers alike.
Another contentious issue raised by CREDAI pertains to the new requirement for submitting a fresh life certificate alongside every transaction conducted under a registered General Power of Attorney (GPA). This mandate has proven to be particularly burdensome for senior citizens and non-resident Indians (NRIs), complicating what should be a straightforward process. CREDAI has called for the immediate withdrawal of this requirement, underscoring that a legally registered GPA should be honored without the need for repetitive verification of the principal's life status. The association's leadership, including Hon. Secretary Nagaraj Bairy and Chairman D. Srihari, warned that unless these issues are addressed promptly, the sector could face prolonged stagnation, which would have far-reaching economic consequences. They reiterated the importance of real estate as a vital driver of employment and urban development, appealing to the Government for decisive action to support the industry.