'Guideline value hike to help home buyers to get adequate bank loan'

CHENNAI: Commercial Taxes and Registration Minister P Moorthy on Monday said that the guidelines value of the properties were revised to reduce the gap with the present market value at the request of the home buyers who were finding difficulty in availing adequate bank loans.

Intervening in the debate on the budget, the minister said that the guideline values of the properties are much lesser than market value in the cities like Chennai, Coimbatore and Madurai. "Government employees, private employees and other people who wanted to buy homes and flats were not able to get adequate bank loans due to low guideline value. Hence we have to increase the guideline value, " he said.

Responding to the issue raised by former minister and AIADMK MLA P Thangamani, he alleged that the previous government has increased the guideline values where they should have been reduced. "To redress the anomalies, they have formed a committee, " he said.

Thangamani alleged that the government have reduced the registration charges by two per cent while increasing the guideline value by 33 per cent. He noted that new industries would not come up if the guideline value increased.

Finance minister Palanivel Thiaga Rajan added that the state government has simply restored the guideline value that prevailed between 2012 and 2017 during the AIADMK government.