Buying a new House ? Here are some additional expenses you should be ready for!

 Buying a new house

Hello friends if you are planning to buy a house ? if yes then , you would  planned your saving in line with the ‘’ Cost of the house ‘’, You are looking for. But, when we buy a house , there are so many events which comes during or after buying the house which is not well planned before.

In this blog we will look at various things where we might to spend money for. If you are planning to buy a brand-new house then this blog will help you how to manage your finances.

Expenses associated with the purchase of a new home

1 Stamp duty

Stamp duty is a tax taken by the state government on every transaction related to property i.e. buy and sell of property. It ranges from 3 % to 10 % depending on the slab decided by the particular state . Stamp duty is levied on the market value of property. Stump duty rate varies from state to state.

Stump duty is calculated on the higher value of property

.  If the agreement value of property is Rs 60 lakhs  and the market value  of this property is  Rs 50 lakhs then stump duty  would be calculated on the higher value, i.e.  Rs 60 lakhs.

What is ready reckoner rate ?

The ready reckoner rate also known as market rate / circle rate.  This is predefined every year by  state government for every town, state or village . This rate depend upon the state government annual capital collected by the state taxes.

2.  Registration cost

For registering a property on your name , the state government will charge you a registration fee . It varies from state to state . But in most of the cases it is 1 % of the  ready reckoner rate of the property. Registration fees is lowered if the buyer is a  woman  and senior citizen .  The government take less amount of registration fees to woman because the government want to make woman self- dependent.

3 . Interior Cost

When you get the new house, it is your duty to furnish it and decorate it as per your taste, So it is also important to consider the cost of interior in your house. And if you want designer wallpapers, texture paintings on wall , chandelier, modular kitchen , etc.. the interior cost will tend to go up.

4. Advance maintenance fee

When you are move to new house , and if the property is newly constructed the you are ask to pay annual  maintenance fee to the builder. Maintenance fee is a decent amount it is taken by builder or incharge of building.

5  House  warming party

When you move to a new house, you may feel to celebrating it with your family members , close friends and relatives. Some people like to have grand celebration so the cost of house warming party depend upon taste of person . And accordingly plan for that cost separately.


 For many of us buying a house is like achieving a huge milestone in our lives.  When we plan to buy a new house we should consider the additional expenses to incurred , then we will have  more clarity and avoid the burden of so many expenses before buying our dream home.

And if you are ready to buy a house then you kept aside to meet all these expenses. eg.  if you are planning to buy a house of Rs 60 lakh then additional  5 – 10 lac has to be taken into consideration. If anyone in your circle of friends and family is planning to buy a house  then you share these additional costs before buying a new house.   

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