Looking to invest in real estate? The benefits of buying under-construction property make it an attractive option for both homebuyers and investors. In this, not only do you get property at a lower price, but its value can also increase significantly in the future. Also, you get a chance to do customization as per your wish.
In this blog, we will tell you why buying under-construction property can be a smart decision for homebuyers. Whether you are a first-time home buyer or an experienced investor, here you will find expert tips and real-world examples, which can help you take the right decision.
So let’s know how the benefits of under-construction property can prove helpful for your financial growth.
Why Invest in Under-Construction Properties?
Under-construction properties, i.e. homes or apartments that are currently being built, are usually much more affordable than ready-to-move-in options. There are many benefits of buying them, such as financial flexibility, modern amenities and the opportunity to personalize the home according to your needs. Let’s know why these properties can be a smart choice for you in 2025, which are also supported by big companies like Mahindra Lifespaces, Adani Realty and Sobha.
Cost Saving: Easy entry into real estate
The biggest advantage of under-construction properties is the cost savings. These properties are 10-30% cheaper than ready-to-move-in homes. This price can be even lower depending on the location and the builder’s reputation.
- Early-bird discount: Developers often offer discounts to those who book early, i.e. those who book during the first site visit.
- Varying prices across cities: Under-construction properties in major cities like Bangalore, Mumbai, Ahmedabad are available at competitive pricing.
This way, you can enter the market with less money and use the remaining money for other important purposes.
High investment potential: High returns
Investing in under-construction property means getting good returns in the future. As the construction is completed and the surrounding area develops, the property value increases.
- Capital appreciation: Those who buy the property initially get good profits till the project is completed.
- Rental income: Once the property is ready, you can earn a steady income by renting it out.
Projects like Mahindra Vicino (Andheri) and Mahindra Luminare (Gurgaon) are in high-demand locations, which offer good returns to investors.
Flexible payment plan: Less money tension
In ready-to-move-in properties, you have to pay a large amount at once, but in under-construction properties, you can pay in easy installments.
- Payment based on construction milestones: Like 10% on booking, 20% on completion of foundation, etc.
- Cash flow management: This makes it easier for you to handle EMI or other expenses.
This option is perfect for young professionals or families who have to manage many financial goals.
Customization: Build the house of your choice
In ready-to-move-in homes, you have to take the design that is available. But in under-construction properties, you can change things according to your choice.
- Interior personalization: You can choose things like flooring, kitchen design, countertops as per your choice.
- Change in room layout: The size or arrangement of the rooms can also be changed to some extent.
In this way, your home reflects your personality.
Modern facilities and low maintenance
Under-construction properties offer facilities according to today’s lifestyle, such as swimming pool, gym, clubhouse. Also, new homes have lower maintenance costs initially.
- Better lifestyle: Enjoy facilities like fitness center, garden.
- Less repair hassle: You don’t have to spend money on immediate repairs like you do in older homes.
Tax benefits: Save money
In countries like India, buying an under-construction property is eligible for several exemptions under the Income Tax Act, 1961.
- Section 24B: You can get a deduction of up to Rs 2 lakh per annum on home loan interest.
- Section 80C: Up to Rs 1.5 lakh exemption on principal repayment.
- Section 80EE: Additional Rs 50,000 deduction on home loan interest (subject to certain conditions).
However, tax benefits may vary from country to country, so make sure to check the local laws of the place where you live.
Legal Security: Safe Investment
In India, it is safe to buy under-construction property under RERA (Real Estate Regulation and Development Act). This law forces the builders to deliver the property on time and protects against fraud.
Time for financial planning
Possession of under-construction property takes some time, but this is also its advantage. During this time you can save money, arrange a loan or plan for extra expenses.
Final Word
If you want to buy a good property within your budget, which also has investment potential, then under-construction property is the best option for you. But always buy from reputed builders and prefer RERA-approved projects.
Top Cities to Buy Under-Construction Property
The benefits of buying under-construction property vary from city to city, but some cities are considered to be better in this regard:
- Bangalore: Property prices can be a little competitive here and tax benefits are also available.
- Mumbai and Ahmedabad: Here you can customize the property to your liking and its value is likely to increase significantly in the future.
- Gurgaon: Where luxury projects like Mahindra Luminaire come with modern amenities.
Understand local trends and deal with a trusted developer to get maximum benefits in the long run.
Tips to buy under-construction property
If you want to reap the benefits of under-construction property, keep these things in mind:
- Choose a trusted developer: Consider projects from companies like Mahindra Lifespaces, Adani Realty, or Hiranandani.
- Check RERA compliance: The property should be RERA-registered to ensure your investment is completely safe.
- Evaluate the location: Choose a location that has high growth potential to ensure good returns.
- Understand the payment terms: The payment schedule should be in accordance with your financial capability.
Conclusion: Enjoy the benefits of under-construction property
Buying an under-construction property has many benefits. Cost savings, investment potential, customization, modern amenities and tax benefits make it a better option in 2025. Legal protections like RERA ensure that your investment is safe. Whether you are looking to buy a home in Bangalore, Mumbai or Gurgaon, working with a trusted developer can help you turn your dream into reality.
Frequently Asked Questions
What are the main benefits of buying under-construction property?
There are many advantages of buying an under-construction property, such as savings of 10-30% compared to ready-to-move-in homes, better returns due to price appreciation, flexible payment plans, customization options, modern amenities like gyms, parks and smart features, and tax benefits in countries like India. Apart from this, rules like RERA also ensure transparency and security, which gives confidence to buyers. This is why it is a smart choice for homebuyers, whether you are buying a home to live in or for investment.
How can buying an under-construction property save me money?
The biggest advantage of buying under-construction property is that it is more affordable for your budget. Their price is 10-30% less than ready-made homes, and sometimes developers also offer “early-bird discounts”. Also, due to flexible payment plans, you can pay money in installments, which reduces the financial burden on you. Tax benefits are also available in some places, which further reduces the total cost.
Is investing in under-construction property a good idea for returns?
A big advantage of buying an under-construction property is its investment value. As the construction progresses and the surrounding area develops, the property price also starts increasing, giving you capital gains. After completion, you can also rent it out, especially in high-growth cities like Bangalore or Mumbai, where rental income is good. This is why it is a profitable option for investors.
Can I customize my home when buying an under-construction property?
A big plus point of buying a perfect under-construction property is that you can customize it according to your needs. In the case of ready-made homes, here you can choose the flooring, countertops, fixtures and layout as per your choice. Make as many changes as you want, build the house according to your style because in the end, what you like is what you consider a real “home”, isn’t it?
