What it really costs to buy a home in India
When you agree a price with a builder or seller, that figure is the starting point. Before you get the keys you will usually also pay government charges (stamp duty and registration), GST if the home is under construction, and a set of smaller costs: brokerage, legal fees, society deposits and home loan charges. Most of this is due around the time of registration, and most of it has to come from your own savings.
The calculator adds these up as follows:
Extra costs = stamp duty + registration + GST + brokerage + legal + society + other + loan charges
Total upfront cash = (property price − loan amount) + extra costs
Total purchase cost = property price + extra costs
The total purchase cost does not include interest on the home loan.
Stamp duty
Stamp duty is a tax on the document that transfers ownership — the sale deed or conveyance deed. It is levied under the Indian Stamp Act, 1899 and each state's own stamp law, and the rate is set by the state government. That is why it differs from one state to the next, and sometimes between cities, urban and rural areas, property value bands and property types.
The value it is charged on
Duty is usually charged on the higher of the agreement value and the government's circle rate (also called guidance value or ready reckoner rate) for that location. If the circle rate for your property is higher than the price you are paying, use the “Value used for stamp duty” option so the estimate reflects it.
Concessions
Some states charge a lower rate in certain cases — for example, when the home is registered in a woman's name. These concessions, and their conditions, change over time, so confirm what applies to you before relying on a rate.
Registration charges
Registration charges are paid to the sub-registrar's office to record the sale deed in government records. Many states charge a percentage of the property value, some charge a fixed amount, and some cap the fee at a maximum. The calculator lets you enter a percentage or a fixed amount, plus an optional cap.
GST on under-construction property
Under CBIC's rate notification for residential construction (Notification 03/2019-Central Tax (Rate)), under-construction residential flats generally attract GST of 5% without input tax credit, and 1% for homes that qualify as affordable housing. A ready-to-move home sold after the completion or occupancy certificate is issued has no GST. GST is not charged on resale homes bought from an individual owner either.
If you pay part of the price before completion and part after, GST may apply only to the instalments paid before the certificate. The builder's invoice is the final word, so check it.
Last updated . GST rule per CBIC; all rates in the calculator are entered by you.
Brokerage, legal and society charges
- Brokerage is negotiable and is often around 1–2% of the price when an agent is involved. GST is charged on brokerage, so enter the rate inclusive of GST. Buying directly from a builder may involve no brokerage.
- Legal and documentation fees cover title checks, drafting and reviewing the agreement and sale deed, and help with registration.
- Society charges can include an advance maintenance deposit, a corpus fund, membership fees and, for resale flats, a transfer fee.
- Other charges such as parking, club membership and preferential location charges (PLC) are sometimes billed separately from the base price. Add them only if they are not already in your agreement value.
Home loan costs
Lenders usually charge a processing fee, either a percentage of the loan or a flat amount, plus GST. You may also pay for the lender's legal and technical verification of the property. In some states, creating the lender's mortgage by deposit of title deeds (MODT) attracts a separate stamp duty; whether it applies, and how much, depends on your state. If you choose to pay a home loan insurance premium upfront, include it too. Put these under “Other loan charges”.
Worked example: a ₹1 crore home
Take a ready-to-move flat priced at ₹1 crore, bought with a ₹75 lakh home loan, using the calculator's default example rates. These rates are illustrative only; your state's figures will differ.
| Property price | ₹1,00,00,000 |
|---|---|
| Stamp duty (example 6%) | ₹6,00,000 |
| Registration (example 1%) | ₹1,00,000 |
| GST (ready to move) | ₹0 |
| Brokerage (1%) | ₹1,00,000 |
| Legal and documentation | ₹25,000 |
| Society deposit and transfer | ₹1,00,000 |
| Loan processing fee (0.5% of ₹75 lakh) | ₹37,500 |
| Total extra costs | ₹9,62,500 |
| Down payment (₹1 crore − ₹75 lakh) | ₹25,00,000 |
| Total upfront cash | ₹34,62,500 |
| Total purchase cost (excluding loan interest) | ₹1,09,62,500 |
The extra costs come to about 9.6% of the price, so you need roughly ₹34.6 lakh in cash — not just the ₹25 lakh down payment. If the same flat were under construction at 5% GST, another ₹5,00,000 would be added, taking the upfront cash to ₹39,62,500.
Why these costs usually cannot be funded by the loan
Lenders typically finance a share of the property's value — under RBI guidelines, generally up to 75–90% depending on the loan size — and usually exclude stamp duty and registration from that value. Brokerage, legal fees, deposits and loan charges are also normally paid by you. So the cash you need is the down payment plus nearly all of these costs. Use the home loan eligibility calculator to see how much you may be able to borrow, and the home affordability calculator to work out a realistic price range from your income and savings.
How to get exact figures
- Check current stamp duty and registration rates on your state's Department of Registration and Stamps (IGR) website, including any concession you may qualify for.
- Look up the circle rate or guidance value for the property's location on the same website.
- Ask the builder for a written cost sheet listing every charge, with GST shown separately.
- Ask your lender for a schedule of processing, legal, technical and other loan charges.
- Agree brokerage in writing before you start viewing properties.
Once you know the cash you need, the home loan calculator shows the EMI and total interest on the loan, and the rent vs buy calculator helps you compare buying with continuing to rent and investing the difference.