Hidden Costs You Shouldn't Ignore When Buying Property in Jalandhar
When you buy property in Jalandhar’s thriving real estate market, you’ll face several unexpected expenses that need careful financial planning. While buyers often focus on the property price and loan EMIs, these hidden costs can unexpectedly inflate budgets:
1. Stamp Duty
- What it covers: Legally authenticates ownership transfer through state tax.
- Rate: 4-7% of property value. Example: ₹50 lakh property → ₹2-3.5 lakh stamp duty.
2. Registration Fees
- Purpose: Transfer and updates land records to new owner’s name.
- Rate: 1-3% of property value (Example: ₹50 lakh → ₹0.5-1.5 lakh).
3. Brokerage Commissions
- True Cost: 1-3% of property price for earnest negotiations and paperwork.
- Example: ₹50 lakh property → ₹0.5-1.5 lakh (theft-proof verification of property titles).
4. GST Implications
- Under-Construction vs Ready Possession:
- Affordable Housing (<₹45 lakh): 1% GST.
- Others: 5% GST.
- Resale/Ready Units: GST exempt.
Why These Costs Sneak Up Real estate brokers often leave out GST and stamp duty in advertised prices, and resale listings rarely mention maintenance deposits. First-time buyers often find out about these after signing agreements, scrambling to cover unexpected taxes. Real estate platforms like Lodha stress transparency in these upfront costs to protect investments.