“Khata” is a term which keeps most of aspiring home buyers wondering while deciding their dream home. While buying any property in Bangalore, it’s really important to know the basics of Khata to buy a ‘legally authentic’ property.
We will try to answer all the possible questions related to khata which you can have in your mind while purchasing any property.
What is Khata?
Khata, which literally means account is a legal document that represents the legal assessment of any property. It communicates if the owner of the property has registered it with the authorities. A khata and B khata taxes are levied by the municipal corporation of Bangalore BBMP (Bruhat Bengaluru Mahanagara Palike) and the khata certificate is issued at the time of collection of this tax. The type of khata discloses if a property is legal or illegal.
Is it necessary to apply for a Khata when transferring the ownership of a property?
Yes, as per Section 114 of Karnataka Municipal Corporation Act, it is mandatory to transfer the khata during the transfer of ownership. It has to be done within 3 months from the date of transfer.
Why the Khata concept came into picture? The Khata concept has been introduced in Bangalore by BBMP to streamline the collection of property taxes and to classify existing properties or projects as legal or illegal by using two separate registers i.e. ‘A’ Khata and ‘B’ Khata.
What is ‘A’ Khata?
‘A’ Khata is the certificate which denotes that a property owner has duly complied with BBMP authorities by paying property taxes to the BBMP and ownership is legal without violating any bylaws. ‘A’ Khata property owners can apply for trade licenses, building licenses and avail loans on the property. Banks provide loans only to the projects/ properties which are having ‘A’ Khata certificate so you should always look out for properties with the same to stay away from any legal contradictions.
What is ‘B’ Khata?
BBMP maintains a secondary register of the properties which are illegal (as per Karnataka High Court Order in 2014) and have ownership in Bangalore city, even when the civic charges for the properties have been paid by their owners. The ‘B’ Khata properties are the ones where buildings are constructed illegally, or properties are violating the bylaws, or properties constructed in revenue land or unauthorized layouts.
Which is the better option to go for?
As per the legality of the khata, it is always recommended to go for an ‘A’ khata property as the khata certificate ensures that you will own a legal property free from any complications. Whenever you plan to invest in Bangalore, always ask for the Khata and verify the same at the time of booking to have a hassle-free experience.
What is E-Khata? Is it a separate type of Khata?
E-Khata is the digital version of your property’s khata. This has been done by BBMP to make the system transparent and to avoid any hassles of going to the office again and again and to get rid of middlemen in the system.
I’ve got a great offer for a property but the builder has not disclosed its Khata certification. Shall I book it?
If you see that the builder is hesitant to disclose it’s khata certificate, it is most likely that they are offering an illegal property so you should not get carried away with #toogoodtobelieve offer and take an informed decision.
What if I like a property having a ‘B’ Khata project?
Since it is a property which is illegal in the eyes of authorities, it’s suggested that you stay away from such property. However, if you really like the property you can go ahead with converting the Khata status.
How to transfer a ‘B’ Khata property to an ‘A’ Khata property?
‘B’ Khata property can be upgraded to ‘A’ Khata property if it satisfies various criteria such as DC converted property, payment of all property taxes till date, no legal issues with the land etc. Once these conditions are fulfilled, property can be transferred by BBMP on payment of Betterment Charges.
Aspire Proptech believes in empowering all real estate customers and we hope these FAQs would have clarified all your doubts regarding Khata and you’re good to go with buying your dream home now.
If you have any further queries regarding the Khata or if you like our assistance with anything related to home buying, feel free to get in touch with us. Our team would love to interact with you and make your entire home-buying experience an absolute delight!