The Big Two: Stamp Duty and Registration
These are the largest mandatory government charges you'll face. Stamp duty is a state tax on your property agreement. In Mumbai, as of 2026, it's generally 6% of the property value for male buyers and 5% for female buyers, a rate that includes a 1% Metro
Cess. This is calculated on the agreement value or the government's ready reckoner rate, whichever is higher. On top of this, you must pay a registration fee to legally record the property in your name. For properties valued above ₹30 lakh, this is a flat fee of ₹30,000. For a property worth ₹1.5 crore, these two charges alone can add over ₹8 lakh to your bill.
The Under-Construction Tax: GST
The Goods and Services Tax (GST) is a crucial factor if you're buying a property that is still under construction. GST does not apply to ready-to-move-in or resale flats that have received an Occupancy Certificate (OC). For under-construction properties, the GST rate is 5% for standard housing and 1% for homes classified under the affordable housing scheme. On a ₹1.5 crore under-construction flat, a 5% GST adds an extra ₹7.5 lakh, a cost developers often exclude from the advertised price. Always ask if the quoted price is inclusive of GST.
The Professional Cut: Brokerage Fees
Unless you're buying directly from a developer in a new launch, you'll likely be working with a real estate agent. In Mumbai, the standard brokerage fee for a resale property is typically 1% to 2% of the agreement value, payable by both the buyer and the seller to their respective agents. This is a negotiable fee, but for a ₹2 crore deal, it can mean an additional payout of ₹2 lakh to ₹4 lakh, plus 18% GST on the brokerage amount itself. It's vital to clarify the brokerage terms in writing before you finalise the deal.
Welcome to the Building: Society and Maintenance Charges
When you buy a resale flat, you'll need to pay a society transfer premium, which is legally capped at ₹25,000 in Mumbai. Be wary of societies asking for illegal donations or excessive 'welfare fund' contributions. Beyond this, most developers and societies collect a significant amount upfront. This can include one or two years of advance maintenance charges, a contribution to a corpus fund for long-term building health, and a separate sinking fund. These one-time payments can collectively range from ₹50,000 to over ₹2 lakh, depending on the project.
The Developer's Extras: From Parking to Prime Views
For new projects, builders often have a menu of additional charges. Preferential Location Charges (PLC) apply to flats with better views (sea-facing, garden-facing) or on higher floors (floor rise premium). While open parking cannot be sold, developers can charge a fee for allotting covered or stilt parking, which can cost anywhere from ₹5 lakh to ₹12 lakh in prime areas. Other potential costs include fees for amenities like a clubhouse and gym, as well as charges for installing utility meters. These must be clearly listed in your agreement as per RERA rules.
The Final Stretch: Legal Fees, Home Loans, and Interiors
Don't forget the final set of expenses. It's wise to hire a lawyer to vet your property documents, which can cost between 0.5% to 1% of the property value. If you are taking a home loan, the bank will charge a non-refundable processing fee, typically 0.5% to 1% of the loan amount. And finally, once you get the keys, you have the cost of furnishing your new home. From painting and basic furniture to full interior design, this can easily be the most variable and substantial of all the 'other' costs.
