​In 2025, Kerala’s land market continues to be shaped by economic and regional dynamics. Accurate assessment of land fair value is crucial for buyers, investors, and stakeholders. Effective April 1, 2023, the Kerala government increased the fair value of land by 20% to better reflect market conditions, as detailed in the Kerala Budget 2023-24. Additionally the Kerala Budget 2025-26 has introduced a 50% hike in land tax rates across all regions. This adjustment influences stamp duty, registration fees, and property taxes. Moreover, property tax assessments in Kerala are now linked to the fair value of land, impacting residential, commercial, and industrial properties. The fair value is a benchmark for these costs, considering factors such as location, surrounding infrastructure, and available amenities.​
Fair value of land Kerala
To avoid speculation over property prices in the state, the state government fixes the fair value of land Kerala, based on which stamp duty and registration charges are paid on property transactions, to the Kerala Property Registration Department. The fair value of land is also applicable on flats and houses, where additional fee has to be paid for construction after adjusting against depreciation.
Recent changes in fair value of land
As of April 1, 2023, Kerala has increased the fair value of land by 20% to better align with market values, as outlined in the Kerala Budget 2023-24. This adjustment reflects current market conditions more accurately and is expected to impact land sales for the fiscal year 2023-24. The increase in the fair value is part of an effort to update property valuation practices in the state.
How is the fair value of land determined in Kerala?
In Kerala, the fair value of land is set by the state’s revenue department, which uses government-established guidelines and regulations. This valuation process considers various factors, including the land’s location, zoning classification, and current market trends. Factors such as soil quality and nearby infrastructure can also influence the value. The district collector has the final authority to approve and finalise the land’s fair value, ensuring that it reflects both legal standards and market realities. This value is crucial for determining taxes, registration fees, and other financial aspects related to property transactions.
Fairvalue of land Kerala: Land fair value determination methods
Understanding the nuances of fair land valuation in Kerala involves examining the methods commonly employed by valuation experts. These approaches provide a structured way to assess land values by considering multiple influencing factors. Below are the key methods used:
1. Comparative market analysis (CMA)
This method evaluates property values by comparing similar properties in the same area. It considers factors such as topography, size, location, and available amenities to estimate the land’s fair value. By analyzing recent sales data and market trends, the CMA offers a market-driven assessment.
2. Income capitalization approach
Ideal for income-generating properties, such as rental spaces or commercial land, this method calculates the present value of future income streams. It takes into account net income, operating expenses, capitalization rates, rental rates, and occupancy levels to determine the land’s fair value.
3. Development cost method
This approach estimates land value based on the costs of developing it to its optimal use. It factors in infrastructure development expenses, construction costs, profit margins, and adjustments for depreciation or obsolescence. This method is particularly useful for assessing undeveloped or underutilized land.
Legal and regulatory framework: Shaping land value in Kerala
Legal frameworks significantly impact land valuation in Kerala, shaping fair market values through the following factors:
Land documentation and registration: Accurate ownership registration, clear sale deeds, and proper documentation ensure transparency and enhance property transaction legitimacy, directly influencing land value.
Land ceiling laws and zoning regulations: These laws govern land use, building permissions, and development limits, promoting equitable allocation and affecting market value.
Environmental regulations: Kerala’s biodiversity and ecological importance dictate land use through conservation laws, wildlife corridors, and protected zones, all of which impact property valuation.
Other key considerations for determining fairvalue of land in Kerala
Fair land valuation in Kerala involves assessing several critical factors:
- Basic facilities: Locations with essential utilities like water, electricity, internet, and phone connectivity command higher land values due to their appeal for residential and commercial properties.
- Surrounding environment: Proximity to commercial hubs, restaurants, retail stores, parks, and gyms increases property demand, boosting the government-estimated fair value of residential properties.
- Public infrastructure: Close access to highways, airports, train stations, or metro facilities (e.g., in Kochi) enhances land demand, leading to higher valuations.
How to find fair value of land in kerala
To check fair value of land, follow this step-by-step procedure:
Step 1: Visit IGR Kerala Portal and prepare all the information being asked to check land value in Kerala.
Step 2:Â Select the district, RDO, taluk, and village from the drop-down menu, as these are mandatory fields for going about Kerala land fair value search.
Step 3:Â Now select Desam, land type, block number, survey number and other requisite information. These are not mandatory fields for checking land value in Kerala.
Step 4: Click on ‘View Fair Value’ and you will be redirected to a new page, where the results of Kerala land fair value search will be displayed on the screen.
Please note, these Kerala land fair value search were last updated as per the notification published on March 31, 2020. Also, as per the disclaimer given by the IGR Kerala, the department is not responsible for the incorrectness of the data on the website. Therefore, all users should verify the original notification issued by the RDOs/collectors, for confirming the rates mentioned on this website.
Know more about registration department Kerala and online property services
Is GIS mapping linked to Kerala’s fair value system?
Kerala is among the pioneering states in India to digitise land parcels using Geographic Information System (GIS) technology. This process involves assigning unique GIS coordinates to each plot of land, enabling precise mapping and real-time verification of boundaries.
The Revenue Land Information System (ReLIS) and the IGR (Inspector General of Registration) portals are gradually being integrated with GIS datasets. Once fully linked, these platforms will not only display the fair value of land but also overlay it on digital cadastral maps. This will allow buyers to visually verify the exact boundaries of a land parcel, its adjoining plots, and whether it overlaps with restricted or government-owned land.
Benefits of GIS-linked fair value system:
- Eliminates ambiguity in property boundaries and survey numbers
- Prevents overlapping claims and duplicate transactions
- Speeds up due diligence during property purchase or resale
- Helps in better planning for infrastructure and zoning regulations
As this integration progresses, land transactions in Kerala will become more transparent, reducing the scope for disputes and enhancing investor confidence in the real estate market.
How land use type impacts fair value?
The fair value of land in Kerala is not uniform—it varies significantly based on the type of land use, such as residential, commercial, agricultural, or paddy (nilam) land. Understanding this classification is critical before any property transaction or land conversion.
- Residential land typically has a higher fair value due to urban demand and proximity to infrastructure like roads, schools, and utilities.
- Commercial land attracts an even higher valuation, especially if located near business zones, highways, or markets. However, to classify land as commercial, land use conversion approval is required from local authorities.
Agricultural or paddy land (nilam) has a lower fair value. These lands are regulated under land conservation laws and may require clearances for conversion, which can increase both the stamp duty and registration charges once reclassified.
Fair value of land Kerala and market value: Differences
The land value in Kerala or property is fixed by the state authorities. The market value is set by the marketplace, based on the overall demand and supply scenario. Usually, fair value of land in Kerala is considered for stamp duty and registration of deeds, if the declared transaction value is lower than the fair value of land. In other cases, the consideration amount or Kerala land fair value, whichever is the higher amount, is used to calculate stamp duty and registration charges in Kerala.
Land value in Kerala: Applicability
In transactions where the sale deed was executed by the parties prior to the revision of the Kerala land fair value, the valuation only needs to be done as per the land fair value existing on the date of execution of the document and the stamp duty for the purpose of registration will be calculated accordingly.
Also read all about IGRS market value in Andhra Pradesh (AP)
Fair value of land: Applicability
In transactions where the sale deed was executed by the parties prior to the revision of the Kerala land fair value, the valuation only needs to be done as per the land fair value existing on the date of execution of the document and the stamp duty for the purpose of registration will be calculated accordingly.
Also read all about IGRS market value in Andhra Pradesh (AP)
Fair value of land Kerala: Stamp duty and registration charges in Kerala
|
Gender |
Stamp duty rates |
Registration charges |
| Male | 8% | 2% |
| Female | 8% | 2% |
| Joint (Male + Female) | 8% | 2% |
| Joint (Male + Male) | 8% | 2% |
| Joint (Female + Female) | 8% | 2% |
The stamp duty in Kerala is levied on the fair value Kerala/ fair value of land Trivandrum or the value of the consideration (declared property transaction value, as on the sale agreement and sale deed), whichever is higher. For example, if the fairvalue of land or property is Rs 70 lakh and the consideration value is Rs 65 lakh, then, the stamp duty and registration charge will be calculated on the fair value.
Here’s how to pay stamp duty and registration charges in Kerala
Use of fair value of land in Kerala
In Kerala, the fair value of land is used for taxes, financial reports, and real estate deals. It’s determined by zoning, soil quality, location, and the local property market. The district collector has the final say on setting this value.
Fair value Kerala: How to pay land tax in Kerala?
Now, land owners in Kerala can easily pay the land tax online in a few simple steps. The Kerala Revenue Department has introduced a web-based application for revenue, integrated with registration. The app, Revenue Land Information System (ReLIS) can be used to make the payment, where users can register and pay their land taxes online. They can also get a soft copy of the payment receipt.
See also: All about Kerala house designs
How much is land tax in Kerala
| Area | Extent | Previous rate (per acre) | New rate (per acre) |
| Corporation | Up to 2 acres | ₹2 | ₹3 |
| Corporation | Above 2 acres | ₹4 | ₹6 |
| Municipality/Township | Up to 6 acres | ₹1 | ₹1.5 |
| Municipality/Township | Above 6 acres | ₹2 | ₹3 |
| Panchayat | Up to 8.1 ares | ₹5 per are | ₹7.5 per are |
| Panchayat | Above 8.1 ares | ₹8 per are | ₹12 per are |
You can calculate the exact rate of land tax by contacting the local tehsildar office or through the revenue services portal.
Info. regarding: Kollam pin codeÂ
List of fair value at a few places in Kerala
| District | Locality | Fair Land Value (Rs Per sq. yard) | Ward-Block | Classification |
| Thiruvananthapuram | Chirayinkeezhu | 40,000 | 41 | Coastal belt |
| Kollam | Karunagappally | 300,000 | 5 | Coastal belt |
| Pathanamthitta | Adoor | 32,110 | 9 | Commercially important plot |
| Thiruvananthapuram | Kallara | 200,000 | 14 | Commercially important plot |
Fair value of land in Kerala 2023 PDF download
To obtain the fair value of land in Kerala, you can access the official resources provided by the Kerala Registration Department. Here’s how you can proceed:
Online search:
- Visit the official website: Navigate to the Kerala Registration Department’s official website: https://registration.kerala.gov.in/en/home
. - Access fair value information: Look for the ‘Fair Value of Land’ section on the homepage. This section provides detailed information and tools to search for the fair value of land based on specific parameters such as district, taluk, village, and survey number.
Direct fair value search:
- Use the fair value search tool: You can directly access the fair value search tool here:
https://igr.kerala.gov.in/index.php/fairvalue/view_fairvalue - Input property details: Fill in the required details, including District, RDO, Taluk, Village, and other relevant information to retrieve the fair value of the specific land parcel.
Download relevant notifications:
- Access government orders: The Kerala Registration Department periodically publishes government orders (G.O.) related to the fair value of land. For instance, the G.O.(P) No.45/2023/TAXES dated 25/03/2023 details the enhancement of fair value by 20%.
Visit: https://registration.kerala.gov.in/wp-content/uploads/2023/03/G.O.PNo_.45-2023-TAXES-Fair-value-increase-2023.pdf?utm_source=chatgpt.com
- Download the PDF: You can download this notification in PDF format from the provided link.
Historical data
Access archived gazettes: The Internet Archive hosts scanned copies of Kerala Gazette publications for historical data on fair value notifications. For example, the notification dated 2010-10-12 regarding the fixation of fair value of land is available here:
Visit: https://archive.org/details/in.gazette.kerala_new.2010-10-12.part_03_clr_fair_value_land
Note: The fair value of land is subject to periodic revisions by the Kerala Government. Verifying the latest values and notifications through the official Kerala Registration Department website or contacting the department directly for the most accurate and up-to-date information is advisable.
For any further assistance, you can reach out to the Inspector General, Department of Registration, Kerala, at regig.ker@nic.in or contact them at 0471-2703456.
Property tax linked to fair value
Property tax in Kerala will soon be linked to the fair value of land, according to the latest gazette notification. This change affects various property categories, including residential, commercial, and industrial buildings. Previously, property assessments were based on annual rental value or plinth area. The new system, introduced by the Urban Affairs Department, assesses tax based on the fair value of land, impacting both the cost of ownership and the tax obligations of property owners.
How to pay land tax online in Kerala
- Visit the Revenue e-Services portal and register yourself. Login once you have registered.
- Go to New Request and select ‘Land Tax’ option.
- Fill in all necessary details.
- Click the ‘View and Add’ button and make sure the details are correct.
- Click to submit the request.
- An approval message will be sent to the registered mobile after verification of the submissions.
- After receiving the approval message, Login and select My Request and click the ‘Pay Now’ button.
- You can download the receipt after paying the amount.
- To pay taxes in subsequent years, after signing in, select ‘Transaction History’ menu, click the Pay Now button.
How do changes in fair value impact buyers and sellers?
The revision of fair value in Kerala significantly impacts both buyers and sellers in the real estate market. Here’s how:
Impact on buyers
- Higher transaction costs: With the 20% increase in fair value, buyers now face higher stamp duty and registration charges. For instance, if the fair value was ₹70 lakh and has been revised to ₹84 lakh, the increased charges will directly affect the buyer’s budget.
- Increased loan requirements: Since financial institutions often consider fair value while sanctioning loans, the hike may lead to buyers needing larger loans, which means higher EMIs and interest outgo.
- Reduction in undervaluation risks: The revised fair value aligns more closely with market rates, reducing the chances of undervaluation disputes during property registration.
Impact on sellers
- Higher tax obligations: Sellers might need to pay higher capital gains tax as the fair value serves as a base for computing capital gains.
- Improved market transparency: The updated fair values create a more transparent market, potentially increasing trust among buyers and sellers.
- Impact on property demand: The increased fair value may deter budget-conscious buyers, leading to slower transactions in some segments, especially in high-value areas.
Indirect effects on the market
- Boost to government revenue: The revised rates will increase stamp duty and registration fee collections, contributing to state revenue.
- Market corrections: The updated fair value helps curb speculative pricing, creating a more realistic property valuation environment.
Implications for new real estate developments
Increased project costs
The hike in fair value directly elevates stamp duty and registration fees, leading to higher initial expenses for developers acquiring land. These increased costs may compress profit margins or necessitate adjustments in project pricing strategies.
Impact on housing demand
Elevated property prices resulting from higher fair values could dampen demand, especially in the affordable housing segment. Potential buyers might find it challenging to meet the increased financial requirements, potentially leading to a slowdown in sales.
Strategic project planning
Developers may need to reassess project locations and scales, favoring areas where the fair value increase is more aligned with market demand. This strategic planning is crucial to ensure project viability and market acceptance.
Regulatory compliance and transparency
The revision aims to bridge the gap between market value and fair value, promoting transparency in real estate transactions. Developers must ensure compliance with the updated valuations to avoid legal complications and maintain credibility.
Long-term market stability
While the immediate effect may pose challenges, aligning fair values closer to market rates could lead to a more stable and predictable real estate environment in the long term, benefiting developers through reduced speculation and clearer market signals.
How the fair value affects property loan approvals
The recent 20% increase in Kerala’s fair value of land directly impacts property loan approvals and the Loan-to-Value (LTV) ratios offered by banks. Lenders use the fair value to determine the property’s worth, which in turn influences the LTV ratio—the percentage of the property’s value that can be financed through a loan. A higher fair value allows for a larger loan amount, as banks typically offer loans up to a certain LTV limit, often around 80%. For instance, if a property’s fair value increases from ₹50 lakh to ₹60 lakh, the maximum loan amount at an 80% LTV would rise from ₹40 lakh to ₹48 lakh. This adjustment enhances borrowers’ purchasing power but also necessitates careful consideration of repayment capacities.
Key terms associated with the fair value of land in Kerala
| Term | Definition |
| Fair Value of Land | The minimum price set by the Kerala government for property transactions is used to calculate stamp duty and registration fees. |
| Market Value | Demand and supply dynamics determine the price a property can fetch in the open market. |
| Stamp Duty | A tax levied on legal documents during property transactions is calculated based on the higher fair value or the transaction value. |
| Registration Charges | Fees paid to the government for registering a property transaction, typically a percentage of the property’s value. |
| Thandapper Number | A unique identification number is assigned to a property for Kerala’s land tax and ownership records. |
| Desam | A local administrative division within a village or taluk in Kerala is used in land records to specify property location. |
| RDO (Revenue Divisional Officer) | A government official is responsible for revenue administration within a specific division, including land valuation and tax collection. |
| Taluk | An administrative subdivision of a district in Kerala comprising multiple villages. |
| Village | The smallest administrative unit within a taluk is used for land and revenue records. |
| Survey Number | A unique identifier assigned to a parcel of land during cadastral surveys is essential for property identification and transactions. |
| Re-survey Number | After re-survey processes to rectify or update land records, an updated survey number is assigned to land parcels. |
| Block Number | A specific area within a village or town, designated for administrative and land record purposes. |
| Land Type | Land classification based on its use, such as residential, commercial, agricultural, or industrial. |
| Zoning Classification | Designation of land areas by authorities to specify permissible uses, impacting property valuation and development rights. |
| Plinth Area | The total built-up area of a building, including the area covered by internal and external walls. |
| ReLIS (Revenue Land Information System) | An online platform by the Kerala government for managing land records and facilitating online land tax payments. |
| Encumbrance Certificate | A legal document that certifies whether a property is free from legal or monetary liabilities. |
| Mutation of Property | The process of updating ownership details in land revenue records after a property transfer. |
| Circle Rate | The minimum rate per unit area of land or property set by the government serves as a benchmark for property transactions. |
Can I challenge the fair value of my land?
Yes, if the fair value listed for your land is outdated, incorrect, or not aligned with nearby parcels, you can formally challenge it through the state’s revenue system.
Procedure to appeal or contest assessed fair value or land tax in Kerala
If a property owner in Kerala believes that the assessed fair value or land tax of their property is incorrect, they have the right to appeal or contest the assessment through the following steps:
Obtain the assessment details
Collect all relevant documents related to the property’s fair value assessment and land tax calculation. This includes the assessment notice, property records, and supporting evidence indicating a discrepancy.
Contact the local village officer or revenue inspector
Initiate the process by discussing the area where the property is located with the village officer or revenue inspector. They can provide insights into the assessment process and may rectify apparent errors.
Submit a formal appeal to the revenue divisional officer (RDO)
If the issue remains unresolved, draft a formal appeal addressing the specific discrepancies in the assessment. Include all supporting documents and evidence.
Submit the appeal to the respective division’s RDO. The RDO has the authority to review and make decisions on such appeals.
Approach the district collector
If the RDO’s decision is unsatisfactory, escalate the matter by appealing to the District Collector. The District Collector oversees revenue administration at the district level and can intervene in assessment disputes.
File a case with the land revenue commissioner
For further escalation, file a petition with the Land Revenue Commissioner, who holds the state’s highest authority in land revenue matters.
Seek legal recourse
If administrative remedies are exhausted without a satisfactory resolution, consider filing a case in the appropriate legal forum, such as the Kerala High Court. Legal advice should be sought before proceeding.
Housing.com POV
The land market in Kerala has undergone significant adjustments in 2024, with the state government increasing the fair value of land by 20% to align with current market trends. This revision impacts property transactions, taxes, and registration fees, making it essential for buyers and investors to understand how fair value is determined. The distinction between fair value and market value is crucial, as both influence stamp duty and registration charges. As property tax is now linked to the fair value of land, stakeholders must stay informed about these changes to navigate the evolving real estate landscape in Kerala.
FAQs
Land valuation that is set by the Kerala government is called fair value of land.
You can use the IGR Portal to calculate the exact value of land.
Fair value is set by the state authorities while market value refers to the price of an asset in the marketplace.
The land’s location, zoning classification, nearby infrastructure, soil quality, and current market conditions are key factors.
Some states offer concessions for female real estate owners. Kerala, however, does not offer a discount on stamp duty for female owners. What is the fair value of land in Kerala?
How do you calculate the fair value of land?
What is the difference between market value and fair value?
What factors influence the fair value of land in Kerala?
Is there any concession available on stamp duty in Kerala?
