Selling an Under-Construction Property? Here’s What Most Buyers Don’t Tell You
If you’ve ever wondered, “Is selling an under-construction property legal in India?” — the short answer is yes. But the process isn’t as simple as selling a ready home. What you’re actually doing is a transfer of ongoing real estate projects, where your booking gets passed on to a new buyer.
In most cases, this is done through an apartment assignment transfer Bangalore (or similar process), often called assign flat under construction. The catch? You can’t do it alone. The builder has to be involved, and getting their approval — usually in the form of a builder NOC transfer charges — is non-negotiable. Without it, the transfer isn’t valid.
There are also costs to keep in mind. Builders typically charge transfer charges builder fees (sometimes 2–5% or more), and depending on the structure, GST on assignment of flat may apply since under-construction properties are treated as a service before completion.
The whole process usually involves clearing dues, signing a tripartite agreement, and updating builder records. It sounds technical — but in reality, it’s quite common.
The key takeaway? Selling mid-project isn’t just about finding a buyer — it’s about following the right process. If done properly, it can be a smooth way to exit or reinvest without waiting years for possession.
