Introduction
Buying your dream home is one of life’s biggest milestones — and also one of your most significant financial decisions. While most homebuyers focus on the property price and loan amount, there are several hidden expenses that often appear later, impacting your overall budget.
At Horizon PropTech, we believe that transparency builds trust — and that begins with understanding every rupee that goes into owning your home. Here’s a complete breakdown of the hidden home-buying costs you should be aware of before signing the deal.
1. Stamp Duty and Registration Charges
These are mandatory government levies paid when you register your property. Depending on the state, stamp duty typically ranges between 4% and 7% of the property’s value, while registration fees are usually around 1%.
📝 Horizon Tip: Always include these charges in your initial home-buying budget to avoid last-minute surprises.
2. GST on Under-Construction Properties
If you’re purchasing an under-construction apartment, you’ll need to pay Goods and Services Tax (GST) — 5% for non-affordable homes and 1% for affordable housing. Though often overlooked, this tax can significantly increase your total purchase cost.
3. Maintenance and Society Charges
Builders usually collect advance maintenance fees for one or two years at the time of possession. Later, residents must pay monthly or annual society maintenance — covering security, cleaning, lighting, and amenities upkeep.
🏢 Horizon Tip: Always check the maintenance rate per sq. ft. and confirm what services it covers before finalizing your purchase.
4. Parking Charges
In most metro projects, parking spaces are billed separately. Whether open, covered, or stilt, parking slots can vary in price — sometimes running into several lakhs, depending on the location and project category.
5. Interior and Furnishing Costs
Bare apartments often need interior work before moving in — including wardrobes, kitchen fittings, lighting, and furniture. These finishing touches can easily add 10–20% to your total home budget.
💡 Horizon Insight: Plan a separate interior budget early so you don’t compromise on your design vision later.
6. Legal and Documentation Fees
Property verification, agreement drafting, and loan paperwork involve additional costs. Hiring a qualified legal advisor ensures all titles and approvals are clear, protecting you from future disputes.
7. Home Loan Processing & Insurance Charges
Banks generally charge processing fees (0.25%–1%) on your home loan and recommend property or loan insurance for protection. While these add to upfront costs, they safeguard your financial security in the long run.
8. Moving and Miscellaneous Expenses
After possession, expenses like packers & movers, new utility connections, décor, and setup costs start adding up quickly. It’s wise to factor these smaller costs into your final moving budget.
Conclusion
Buying a home is a proud achievement — but understanding the true cost of ownership ensures financial peace of mind. Being aware of these hidden costs helps you plan smarter and spend wisely.
At Horizon PropTech, we’re committed to guiding you through every stage — from discovery to documentation — with complete clarity and confidence.
✅ Key Takeaway:
A smart buyer doesn’t just look at the price tag — they understand the full picture.
