New Launch vs Resale: Which Home Costs You Less?

Choosing between a new launch and a resale flat involves more than just the sticker price. From GST and delay risk to immediate possession and hidden renovation costs, here is what every Indian homebuyer must compare before signing the cheque.

Here's what happened: New launches attract GST of up to 5% on under-construction property, while resale flats are GST-exempt, saving lakhs upfront.. Resale homes offer immediate possession, eliminating the 2–4 year holding cost of paying both rent and home loan EMI simultaneously.. New launch prices in metro micro-markets have risen 15–30% in two years, narrowing the traditional discount advantage they once offered..

What you should do: Calculate total cost of ownership: add GST, stamp duty, registration, brokerage, and any renovation budget before comparing new vs resale.. Check the builder's RERA registration and past delivery record at rera.gov.in before committing to any under-construction property.. Compare your dual-payment burden: if you pay ₹20,000 rent while your new launch EMI runs, factor that extra cost into your break-even analysis..

Resale flats in established societies often qualify for higher loan-to-value ratios from banks because the property already has an occupation certificate — meaning a smaller down payment from your pocket.