Everyone plans for the down payment. Almost nobody plans for the rest.
Stamp duty, registration, GST and doing up the place are paid in cash, on top of the down payment, and together they often cost more than it does. This works out the full amount you need before you get the keys.
The property
What you expect to pay for the home.
Varies by state, usually 5% to 8%. Several states charge less if the home is in a woman’s name.
GST applies only while a home is being built. A ready home has none.
The costs everyone forgets. Doing up the place alone often runs to a tenth of the price.
The loan
Banks usually lend at most 90% of the price up to ₹30 lakh, 80% up to ₹75 lakh, and 75% above that.
Your rate depends on your credit score.
You
Only money set aside for the house.
Towards the house, not your other investing.
Used to check whether the EMI is comfortable.
Cash you need before you get the keys
₹41,00,000
That is 41% of the price, not the 25% most people plan for.
You have ₹15,00,000. You are short by ₹26,00,000.
Why the number is so much bigger
People plan for a fifth of the price and are caught out at the last minute.
Here is where the rest goes, on a ready home costing ₹1 crore.
| What you pay | How much |
|---|---|
| Down payment | ₹25,00,000 |
| Stamp duty and registration | ₹6,00,000 |
| Brokerage, interiors and moving | ₹10,00,000 |
| Cash you actually need | ₹41,00,000 |
That is 41% of the price. Not 25%.
None of it can be borrowed. A home loan pays the seller. It does not pay the state for stamp duty, and it does not pay for your wardrobes.
Three things worth knowing
- The bank sets a ceiling. It lends up to 90% of the price below ₹30 lakh, 80% up to ₹75 lakh, and 75% above that. Ask for more and the gap is yours to find.
- Stamp duty is often cheaper in a woman's name. Several states charge one to two points less. On a ₹1 crore home each point is ₹1 lakh.
- GST only applies while it is being built. It is 1% on a home up to ₹45 lakh and 5% above that. Buy one that is ready and there is none.
Rent or buy works out whether to do this at all. What a credit score is worth explains the rate you will be offered, which on a loan this size is worth lakhs.
This calculator is for learning. It is not personal financial advice, and no bank, builder or company is named or backed here. Stamp duty and registration are set by each state and change, so put in your own. Lending limits are the usual ones and a bank may offer you less. GST rates on homes being built are those in force now. Other costs, your rate and your term are all numbers you choose here. Property prices move while you save. For advice about your own case, speak to a SEBI-registered investment adviser.