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Frequently Asked Questions

For Buyers

How do I start the home buying process in India?

Start by fixing a realistic all-in budget, because stamp duty, registration and GST together add roughly 7% to 9% on top of the quoted price in most states. Get a pre-sanction letter from your bank so you know what you can actually borrow before you fall in love with a project. Then shortlist two or three projects, verify each one on your state RERA portal, and visit the site in person before you pay any booking amount.

What should I check before choosing a location?

Measure the commute to your workplace in peak traffic rather than trusting map distance, because the two can differ by an hour. Check the real status of any metro line or road widening you are counting on, since infrastructure timelines slip routinely and a corridor that is still on paper should not be priced into what you pay today. Speak to residents of nearby completed projects about water supply, power cuts and drainage during monsoon. Finally, compare the rate per square foot against three or four neighbouring micro-markets so you know whether you are paying a premium and what you get for it.

What should I budget beyond the quoted flat price?

Allow 7% to 9% above the headline price for stamp duty, registration and GST, though the exact rates vary by state and by whether the property is under construction or ready. Developers also collect club membership, a corpus or sinking fund and an advance maintenance deposit at possession, and these can add up to a few lakh rupees. If the unit is not handed over fully finished, budget separately for interiors, which typically run between Rs 1,200 and Rs 2,500 per square foot depending on the specification you choose.

What are the key steps in a home loan application?

Begin with a pre-sanction based on your income, credit score and existing obligations, which tells you your ceiling before you commit. Once you book, submit the allotment letter, the agreement for sale and the developer's demand letter to your lender. The bank then runs a legal and technical appraisal of the project, which moves much faster if the project is already on that bank's approved list, so it is worth asking the developer which lenders have approved it. Disbursement follows the construction-linked plan, with the bank paying the developer directly at each completed stage.

What must I verify before paying a booking amount?

Check the RERA registration number on your state's official RERA portal and confirm it is current and that the promoter named there matches the entity on your agreement. Read the agreement for sale in full, paying particular attention to the committed possession date, the penalty payable to you if the developer is late, and the terms on which you can exit. Confirm that the carpet area written into the agreement matches what you were shown, because carpet area is the legally binding measure under RERA, not super built-up area.

For Sellers

How do I price my property correctly for resale?

Base your asking price on recently registered transactions in your own project and the two or three projects immediately around it, not on the asking prices you see on portals, which are usually optimistic by 5% to 10%. Your state's registration department publishes transaction data that gives you the real picture. Adjust for floor level, view, facing and the condition of your interiors, and be realistic about age, since a ten-year-old building competes against new launches with better amenities.

What documents do I need to sell my flat?

You will need the original sale deed or agreement for sale, the chain of prior title documents, the latest property tax receipts, and a no-dues certificate from the society or maintenance body. If you have an outstanding home loan, you will need the lender's consent and a foreclosure statement, and the buyer's bank will want the original documents released at registration. An encumbrance certificate covering the last several years reassures the buyer that the title is clean, and having it ready shortens the transaction.

What tax do I pay when I sell?

Gains on a property held beyond the statutory holding period are treated as long-term and taxed differently from short-term gains, and the applicable rate and indexation treatment have changed in recent Finance Acts, so confirm the current position for your year of sale. Relief is available if you reinvest the gain in another residential property or in specified capital gains bonds within the prescribed timelines. Buyers are also required to deduct TDS at source above a threshold value and deposit it against your PAN. Please take advice from a chartered accountant on your specific case rather than relying on general guidance.

How long does a resale transaction usually take?

Expect six to ten weeks from accepting an offer to registration if the buyer is taking a home loan, since the lender's legal and technical checks are the slowest step. A cash buyer can complete in three to four weeks. The timeline stretches if your title chain has gaps, if society dues are outstanding, or if a co-owner or an inherited share needs to be resolved, so it is worth clearing those before you list.

Should I sell before or after possession?

Selling before possession usually means assigning your allotment to a new buyer, and most developers charge a transfer fee and impose conditions on when this is permitted, so check your agreement first. Waiting until after possession generally gives you a wider buyer pool, because a completed flat can be seen and financed more easily than an under-construction one. Against that, you carry maintenance and property tax from possession onwards, so the right answer depends on how quickly the local market is absorbing resale stock.