GST, parking and premiums drive up base cost
Experts said statutory and project-linked charges form a major part of the cost escalation in housing purchases.
Dipesh Garg, Real Estate Advisor and Co-Founder, SouthDelhi1, a premier luxury real estate advisory firm, said GST on under-construction properties at 5% remains a key component, along with separately charged parking, club membership fees, maintenance deposits, and location-based premiums such as floor rise and preferred units.
He noted that parking costs alone can range from ₹5 lakh to ₹15 lakh in premium projects.
Vijay Raundal, Managing Director, Teerth Realties, a Pune-based private property development company, said GST, parking charges, maintenance advances, and location-based pricing significantly add to overall costs, while legal and interior expenses can further increase total outgo by 10–20%.
Buyers often discover charges late in the process
Industry experts said the timing and structure of disclosure often lead to surprises for buyers.
Sudhir Patel, Director, Shyam Group (Dholera SIR), a real estate developer, said parking fees, maintenance deposits, and floor-rise premiums are often not fully understood at the initial booking stage.
He added that preferential location charges can also materially change the final price, particularly in higher-floor or premium-facing units.
Pratyush Pandey, Founder, AARE Consulting, a Mumbai-based strategic real estate advisory platform, said charges such as GST, parking, clubhouse fees, corpus funds, maintenance deposits, and utility connection costs collectively determine the “all-in” acquisition cost, which is often higher than the advertised price.
RERA improved disclosure, but standardisation remains limited
Experts said regulatory changes have improved transparency but have not fully standardised additional charges across the sector.
Anurag Goel, Director, Goel Ganga Developments, a premier, Pune-based real estate developer, said RERA has improved disclosure requirements and reduced ambiguity around basic pricing structures. However, charges such as parking fees, floor-rise premiums, and maintenance deposits still vary significantly across projects.
He added that while information is now disclosed more clearly, there is no uniform framework governing how these charges are structured.
Maintenance, corpus funds and society costs add to burden
Experts said non-core charges linked to maintenance and society formation also add to the total cost burden.
Mananki Parulekar, Co-Founder, Claravest Technologies, a Mumbai-based proptech company, said maintenance charges, corpus funds, legal fees, and society-related deposits require careful scrutiny. She added that corpus funds should be maintained transparently in designated accounts until society formation.
Infrastructure-led development also pushes pricing
Harsha M, Director, Pushkalam Developers, a Bengaluru-based real estate company, said modern housing projects increasingly include infrastructure such as security systems, amenities, green spaces, and power backup, which raises construction costs. He added that rising land prices and longer approval timelines in urban markets also contribute to higher overall property costs.
