Mysuru Real Estate: ₹1,000 Crore Worth of Property Transactions Stuck for 2.5 Months Over e-Khata System Glitches

Mysuru, February 23, 2026: Nearly ₹1,000 crore worth of property registrations in Mysuru have remained pending for over two-and-a-half months due to technical glitches in the state's mandatory e-Khata system, according to Harish Shenoy, president of CREDAI Mysuru.
The prolonged disruption has virtually stalled legitimate property sales and mortgage transactions, leaving developers and homebuyers stuck in administrative uncertainty.
The Crisis
Shenoy expressed frustration over the lack of resolution, stating that the disruption has continued for two-and-a-half months with no end in sight. He called for active government intervention to resolve all technical glitches and ensure smooth functioning, emphasizing that servers should not be down for such extended periods.
The disruption has created significant liquidity stress for developers and uncertainty for buyers who are awaiting registration and loan disbursals.
E-Khata Transition Triggers Bottlenecks
CREDAI Mysuru said the mandatory shift to the digital e-Khata system has led to widespread delays due to technical glitches and a lack of synchronised land records data. The body noted that legitimate property sales and mortgage processes are being blocked, affecting both the primary and resale markets.
E-khata is an electronic version of the traditional khata certificate, introduced by Bengaluru's municipal body in October 2024. This digital record was designed to allow property owners to apply for, download, and verify their khata online without visiting municipal offices. The system was introduced to replace manual khata certificates with the promise of quick, online issuance within 48 hours. For homebuyers, it was expected to bring clarity to ownership records, reduce fraud, and streamline property transactions.
However, the reality has been different. In late 2024, BBMP's rush to implement the e-khata service had already impacted property registrations worth ₹8,000 crore in Bengaluru, according to CREDAI Bengaluru.
Industry Demands
Nagaraj Bairy, secretary of CREDAI Mysuru, demanded an immediate resolution of technical bugs and a fixed time frame for e-Khata issuance. Until the digital system is 100% stable, he suggested that manual or hybrid registration options should be permitted to prevent economic stagnation.
Additional Concerns: CVC and GPA Rules
Apart from e-Khata issues, CREDAI Mysuru flagged the arbitrary application of Central Valuation Certificate (CVC) requirements to established, older layouts. According to the builders' body, the mandate was originally intended for new layouts, but its extension to existing developments has increased red tape and delays.
The body has called for exempting established layouts from the CVC mandate, suggesting that registrations in these areas should continue based on standard Sub-Registrar guidance values and adjacent layout reports to eliminate delays and corruption risks.
CREDAI Mysuru has also sought withdrawal of the recent order requiring a fresh life certificate for every transaction executed under a registered General Power of Attorney (GPA). The body termed the rule impractical, particularly for senior citizens and non-resident Indians, arguing that a legally registered GPA should be sufficient without repeated verification of the principal's life status.
The Way Forward
With nearly ₹1,000 crore in transactions stuck and no immediate resolution in sight, the real estate sector in Mysuru is looking to the state government for urgent intervention. The situation highlights the challenges of digital transition in property records and the need for robust systems that can handle the scale and complexity of real estate transactions without disrupting economic activity.