A Khata vs B Khata in Bangalore: Loans, Plan Approval and Resale
Every property inside the Bangalore city corporations is entered in one of two registers, known as A khata and B khata. The register decides how easily a bank lends on the property, whether a building plan is sanctioned and how the home resells. This guide compares the two, explains the conversion route as of October 2026, and lists the checks to run before paying an advance.
What a Khata Is
A khata is the civic body's account for a property. It records the owner, the size, the location and the property tax, and it is the document the corporation uses to assess and collect that tax. A khata is not a title deed. Ownership comes from the registered sale deed and the chain of earlier deeds behind it.
Since 2 September 2025, five city corporations under the Greater Bengaluru Authority (GBA) have done the work that BBMP did before. The khata is now issued as an e-khata on the e-Aasthi system, and a final e-khata is needed to register a sale within the city limits.
A Khata and B Khata Compared
An A khata is the entry for a property that meets the civic rules. The land is converted for residential use, the layout or building plan is approved, and the taxes and charges are paid. A B khata is an entry in a second register, opened so that the corporation could collect tax from properties with a gap in those approvals.
Typical B khata properties are sites in unapproved layouts, revenue sites on land that was never converted, and buildings put up without a sanctioned plan. Paying tax under a B khata does not cure the gap. The table sets out the practical differences.
| Point | A khata | B khata |
|---|---|---|
| What it shows | Tax record of a property with its approvals in place | Tax record of a property with an approval gap |
| Home loan | Accepted by banks, subject to the usual legal check | Declined by most banks; a few lenders fund at a higher cost |
| Building plan | Plan sanction may be applied for | Plan sanction is refused until the property is regularised |
| Resale | Wide pool of buyers, including those on a bank loan | Smaller pool, mostly buyers paying from their own funds |
| Price | Market rate | Lower, with the conversion charge still to be paid |
Home Loans on a B Khata Property
A bank lends against a property it could sell if the loan failed, so its legal team wants every approval on file. Most public sector banks and large private banks decline a B khata property for that reason. Some housing finance companies and smaller lenders do fund such purchases, usually at a higher rate and for a smaller share of the price.
The effect on the buyer is a larger down payment and a costlier loan. A later move to a cheaper bank loan is also difficult while the property stays in the B register. A buyer who needs a loan should get the lender's written approval of the property before paying any advance, and our EMI calculator shows how a higher rate changes the monthly instalment.
Building on a B Khata Site
A sanctioned building plan is issued only for a property with its approvals in order. An owner of a B khata site who builds does so without a sanction, and the building then has no occupancy certificate. That adds a second defect to the first, and it affects the water, sewerage and power connections the house needs.
The limit passes to every later owner. A buyer who plans to add a floor or rebuild in ten years faces the same refusal. The restriction is part of the reason a B khata site sells for less than an A khata site on the next street.
What the E-Khata Changes
The e-khata is the same record in digital form. It prints the property ID, the owner's name, the measurements and the register the property belongs to. A B khata property stays a B khata property after it moves to the electronic system.
The digital record has made the status easy to see. A seller's e-khata shows at a glance which register applies, and the details should match the sale deed line by line. A mismatch in the name or the measurements is corrected by the seller before the sale, not by the buyer after it.
Converting a B Khata to an A Khata
The state has opened a route for B khata properties to move into the A register on payment of a charge. The charge is worked out on the guidance value of the property, and the standard rate is 5%. A 100-day drive that began on 16 May 2026 cut the rate to 2%, and that window closed on 23 August 2026.
The route covers properties entered in the B register on or before 30 September 2024. On a guidance value of Rs. 60 Lakhs, the charge at 5% is Rs. 3 Lakhs, against Rs. 1.2 Lakhs during the reduced window. Properties on encroached government land or under a court dispute are outside the route.
A promise of conversion is worth little to a buyer. The safe position is a completed conversion, with the receipt for the charge and the new A khata in the seller's name, before the sale deed is signed. Where the seller will not wait, the charge and the risk of refusal should both be reflected in the price.
Outside the City Limits
A and B khata are terms of the city corporations. In a gram panchayat area, the matching record is the e-Swathu entry, and the clean set is Form 9 with Form 11A. Sites in layouts approved by BDA or BMRDA carry the approval of that authority, which a buyer should verify from the layout plan and the release order.
The same test applies everywhere around Bangalore. The tax record must be backed by a land conversion order and an approved layout or plan. A tax receipt by itself proves only that tax was paid.
Checks Before Paying an Advance
The khata status takes a few minutes to confirm and should be checked before any money changes hands. These steps cover the main risks:
- Ask the seller for the current e-khata and read which register the property is in.
- Match the owner's name, the property ID and the measurements with the sale deed.
- Ask for the land conversion order and the approved layout plan or sanctioned building plan.
- Check the property tax receipts for the last few years and confirm there are no arrears.
- Get an encumbrance certificate for the period a lender would ask for.
- Send the papers to the bank for a legal opinion before signing the sale agreement.
- For a B khata property, ask for the conversion receipt and the new A khata, not an undertaking.
A lawyer's title report costs little against the price of a site or a flat, and it should cover the khata along with the deeds. For help finding homes with clear papers, write to our team.