Ready to move in flats: new favorites of homebuyers?

What You See Is What You Get. For flats that are still under construction final result may be slightly different than what you expected or saw in the supposed photos. This is something that will never happen in RTMI flats.

Flats that are under construction may be available to you after say 3 or 5 or even 10 years. But RTMI flats are available for possession as soon as the paperwork is done.

Under-construction flats are table under GST at 5%, however, RTMI flats are excluded from any GST. 5% might not seem that much but suppose you’re buying a flat worth Rs. 1 Crore then 5% is Rs. 5 Lakhs! Imagine saving that much amount while buying a house! It’s huge!

Since RTMI flats are tangible from day 1, it is easy for the bank employees or housing finance teams to inspect everything which leads to hassle-free financing, and further reduces the waiting time for you.

Did you know that under the income tax act, you can get a tax benefit of up to Rs. 1.5 Lakhs on principal repayment and that of up to Rs. 2 Lakhs on interest repayment under Sections 80 C and 24(b) respectively. However, this tax benefit is only applicable for flats whose construction is finished and thus is not applicable for under-construction flats.

On booking an under-construction flat, you’d have to pay the loan EMI as well as the rent of the house/flat you’re currently living in for the waiting time period. Imagine spending almost double for a lot of 5-10 years! This problem is solved in RTMI flats as when you move in you’re free from any rent, and the only deduction from your pockets is the loan EMI.

While buying an RTMI flat you don’t know the quality of raw materials used, the sustainability of the structure. Worst-case scenario, the builder might be a cheat and might have used cheap materials in construction. This not only leads to repairing needs in a couple of years but is also dangerous for the lives of the residents living in these flats. To avoid such a scenario, it is important to choose the builder or the brand carefully and do fair market research about them.

Generally, RTMI flats cost more than under-construction flats. This is due to many reasons. You can pay easy installments for RTMI flats without even taking a housing loan, but in the case of RTMI flats, they require the whole payment altogether or in just 3-4 installments which means paying a lot of money in a lesser time frame.

RTMI flats involve a lot of paperwork ranging from stamp duty to transfer documents. Under-construction flats require less paperwork and that too is often facilitated by the builder or the company you’re buying from.