A question that usually troubles a home buyer is whether to invest on an under construction property or a ready to move in apartment. Since both the property types serve different purpose and suit different buyers. Hence, before you go ahead and invest in any property, it is important to know the pros and cons of each. Here is a guide that will help you decide.

Under-construction property

An under construction property has become an easiest way to fulfill ones dream of owning a house. Well, this proposition of realty market comes with certain risks. The most common risk associated with an under construction property is delayed possession and completion. Here is a list of advantages and disadvantages for the same:

  • This type of property is always easier on the pocket and does not affects the buyer as heavily as a ready to move in property
  • It has the probability of offering higher rates of returns. due an extended window period between the buying stage and delivery timeline. If you sell the property closer to possession, you stand a good chance of earning a healthy appreciation on your capital investment.
  • Any property with Occupation Certificate as on 1 May, 2017, is mandated to be registered under their States’ RERA. Under-construction properties, therefore, will necessarily come under RERA and thus, become liable to comply to fair trade practices.

Like every coin has two sides, these too come with the other side. Following are the disadvantages associated with under construction properties:

  • There is an element of risk involved when it comes to investing in an under-construction project
  • There are chances of not getting the promised product at the time of possession. Usual incongruities include lesser usable area than promised, changed layout and deficient amenities.

Ready-to-move-in property

Due to delays and uncertainties in under construction properties, buyers have inclined their ways towards ready to move in apartments.  But before you go ahead making the decision of buying this, underline the following advantages and disadvantages:


  • Immediate availability
  • You get what you see
  • The recently implemented Goods and Services Tax levies a 12 percent tax on purchase of under-construction properties. Ready properties, however, are left out of the ambit of GST


  • Buying a ready-to-move unit is the heavier on the pocket
  • Unlike an under-construction property, buying a ready unit might not always ensure you a brand new home
  • Old ready units with Occupancy Certificate as on 1 May, 2016, are not mandated to be included under RERA. As a result, its promoters are not liable to make its information available on a public platform.

Hope now you will be able to make a well-informed decision.


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