Difference Between SR Value and Market Value

SR Value (Stamp/Guidance Value) is the value fixed by the government for a property for the purpose of stamp duty and registration. It is generally the minimum value considered for registration purposes.

Market Value is the actual price that the property may reasonably fetch in the open market based on its location, demand, size, development, road access, surrounding properties and other factors.

SR Value	Market Value
Fixed by the Government	Determined by the open market
Used mainly for stamp duty & registration	Actual buying/selling price
May be lower or higher than the negotiated price	Can fluctuate according to demand
Based on government valuation guidelines	Based on market conditions
Relevant for registration purposes	Relevant for the actual transaction

Example:
If the SR/Guidance Value of a property is ₹50 lakh, but its actual market value is ₹70 lakh, the property may be negotiated and sold around ₹70 lakh, while the applicable registration valuation will be governed by the prevailing registration rules and valuation requirements.