Can you buy agricultural land on Kanakapura Road, and what should you check?
Direct answer: Since the 2020 amendment to the Karnataka Land Reforms Act, a resident Indian who is not a farmer can buy agricultural land, but it stays agricultural land. Building a house or a layout needs a conversion order. NRIs and OCIs cannot buy agricultural land under RBI rules. Check the RTC, mutation, survey sketch and Encumbrance Certificate first.
Verify with your CA: how a future sale of farmland will be taxed. Rural agricultural land can be outside the definition of a capital asset, depending on its distance from a municipality and the population.
Verify with your lawyer: the full title chain, the RTC history, any grant or tenancy restrictions, and whether conversion is possible for the use you plan. Do this before any advance.
Kanakapura Road runs south-west from the city towards Kanakapura town, past the Green Line's southern end. Further out, much of the land along it is still recorded as agricultural. Buyers are often offered "farm plots" or "managed farmland" here. The rules below decide what you can legally buy and what you can do with it.
Who can buy agricultural land in Karnataka now?
Until 2020, sections 79A, 79B and 79C of the Karnataka Land Reforms Act limited who could buy farmland, largely to farmers and people below an income ceiling. The Karnataka Land Reforms (Second Amendment) Bill, 2020 repealed those sections. The Hindu reported its passage in the Legislative Assembly on 26 September 2020. The same report noted that sections 79A (an income limit for buyers) and 79B (a bar on non-agriculturists owning farmland) were omitted, along with section 80, which barred transfers to non-agriculturists.
What this means in practice:
- A resident Indian who is not an agriculturist can buy agricultural land.
- The land remains agricultural. The amendment did not remove the need for a conversion order to use it for a house, a layout or a business.
- The Bill required that a buyer of agricultural land use it for agricultural purposes, and that 'A' class irrigated land be sold only for agriculture.
- It banned the sale of land granted to Scheduled Castes and Scheduled Tribes.
- The ceiling from the 1961 Act was retained: 54 acres (10 units) for a person or a five-member family, and up to 108 acres (20 units) for a 10-member family.
Can NRIs or OCIs buy farmland on Kanakapura Road?
No. The Reserve Bank of India's FAQs on immovable property under FEMA state that NRIs and OCIs may acquire immovable property other than agricultural land, a farm house or plantation property. They can inherit such land, but not buy it. If you live abroad, read our pages on OCI property rules and buying from the US without travel.
What do "farm plots" and "managed farmland" mean?
Some sellers divide agricultural land into small parcels and sell each as a "farm plot", sometimes with a maintenance contract. Check three things.
- What you will actually own. Is it a defined, surveyed piece with its own survey or sub-division number on the RTC, or an undivided share of a larger survey number?
- Whether a house is allowed. On agricultural land, you need a conversion order for non-farm use. A brochure showing a villa does not mean permission exists.
- Whether it is a layout in disguise. If the land is being divided and sold as plots for housing, ask whether a layout approval and RERA registration are needed. Our page on pre-launch risk covers selling before approvals.
Which records should you check, and where?
Most of these are online.
- RTC (Pahani) on Bhoomi: owner names, extent, land type, cultivation and any loans or rights recorded. See how to read an RTC.
2. Mutation register (MR): how each owner got the land. Match every change with a deed or an inheritance record.
3. Survey sketch and boundaries: have a licensed surveyor match the land on the ground with the record.
4. Encumbrance Certificate on Kaveri Online for at least 30 years. See EC steps.
5. Conversion order, if the seller says the land is converted. Ask for the order itself and check it against the RTC.
6. Grant and tenancy status: ask your lawyer to confirm the land is not granted land covered by the ban on sale, and is not irrigated land restricted to farm use, and is not under a tenancy claim.
How do East, North and South Bengaluru farmland markets differ?
South (Kanakapura Road). Land further from the city is still largely agricultural. The Green Line ends at the city side of this road. The Hindu's July 2026 report on the Satellite Town Ring Road lists the remaining stretches, which matter for land along the outer belt.
North (Devanahalli, Doddaballapur side). The airport and the completed Dobbaspet to Hoskote stretches of the ring road pull demand.
East (Hoskote side). Land close to the Hoskote end of that ring road and Old Madras Road. See our Hoskote checks.
In all three, the same legal rules apply. The difference is how close the land is to roads and towns, which changes both price and conversion prospects.
What does it cost to register?
Worked example (illustrative price). For land at ₹40 lakh, stamp duty at 5% plus the 10% cess and 2% surcharge on the duty, with the 2% registration charge from 31 August 2025, comes to 7.6%, or ₹3.04 lakh. Check the guidance value for the survey number on Kaveri too, and ask the sub-registrar's office which value will be used. Also ask your bank early whether it will lend on the land, since many home loan products are for houses and flats.
Checklist before any advance on farmland
- Confirm you are a resident Indian; NRIs and OCIs cannot buy.
- Get the RTC and mutation history from Bhoomi.
- Have a surveyor match the land on the ground with the sketch.
- Download a 30-year Encumbrance Certificate.
- Ask your lawyer about grant, tenancy and any court cases.
- If you plan to build, ask what conversion needs before you buy.
- Pay through a bank, and sign a written agreement before a small advance.
Frequently asked questions
Frequently asked questions
Can a salaried person buy agricultural land in Karnataka?
Yes. After the 2020 amendment repealed sections 79A, 79B and 79C, a resident Indian who is not a farmer can buy agricultural land. Using it for a house or a layout still needs a conversion order.
Can an NRI buy a farm plot on Kanakapura Road?
No. RBI's FEMA FAQs exclude agricultural land, farm houses and plantation property from what NRIs and OCIs may buy. They may hold such land only if they inherit it.
Can I build a farmhouse on agricultural land?
Not by default. A home or other non-farm use needs a conversion order. Ask your lawyer what the specific land allows before you buy, and do not rely on a brochure.
Is a managed farmland plot the same as owning land?
It depends on the documents. Check whether you get a separate survey or sub-division number on the RTC, or only a share of a larger piece. Your lawyer should read the deed.
How do I check who owns the land?
Open the RTC on the Bhoomi land records portal using the district, taluk, village and survey number. Then check the mutation history and a 30-year Encumbrance Certificate on Kaveri.
Related on acre&key
References
- The Hindu, "Assembly passes Land Reforms Bill for removing restrictions on purchase of land by non-agriculturists", 26 Sep 2020 (news report): https://www.thehindu.com/news/national/karnataka/assembly-passes-land-reforms-bill-for-removing-restrictions-on-purchase-of-land-by-non-agriculturists/article32703574.ece, accessed 29 Oct 2026.
- PRS Legislative Research, "Karnataka Land Reforms (Second Amendment) Bill, 2020 (Bill 42 of 2020), scanned copy", 2020: https://prsindia.org/files/bills_acts/bills_states/karnataka/2020/Bill%2042%20of%202020%20Karnataka.pdf, accessed 29 Oct 2026.
- Reserve Bank of India, "FAQs: acquisition of immovable property in India by NRIs and OCIs", (agricultural land, farm house and plantation exclusion): https://rbi.org.in/scripts/FS_FAQs.aspx?Id=117&fn=5, accessed 29 Oct 2026.
- Revenue Department, Karnataka, "Bhoomi land records portal (RTC, mutation)": https://landrecords.karnataka.gov.in/, accessed 29 Oct 2026.
- Department of Stamps and Registration, Karnataka, "Kaveri Online Services: Encumbrance Certificate, guidance value, registration": https://kaveri.karnataka.gov.in/, accessed 29 Oct 2026.
- The Hindu, "Bengaluru STRR nears completion as four of six packages finished", 24 Jul 2026 (news report): https://www.thehindu.com/news/national/karnataka/bengaluru-strr-nears-completion-as-four-of-six-packages-finished-remaining-stretches-due-this-year/article71254009.ece, accessed 29 Oct 2026.
- The Hindu, "Property registration fee doubled in Karnataka from 1% to 2%", 30 Aug 2025 (news report): https://www.thehindu.com/news/national/karnataka/property-registration-fee-doubled-in-karnataka-from-1-to-2/article69990594.ece, accessed 29 Oct 2026.
This page explains public rules and processes. It isn't legal or tax advice. acre&key gives buyers advice for free.