How to Choose Between Under-Construction vs Ready-to-Move Flats – 2025 Guide

Confused between booking an under-construction flat or buying a ready-to-move apartment? This guide compares both options across key factors like price, risk, tax, and possession — so you can make the right decision based on your needs and budget.

🏗️ What Is an Under-Construction Flat?

A property that is still being built and possession is scheduled in the future — typically 6 months to 5 years.

🏠 What Is a Ready-to-Move Flat?

A completed property with Occupancy Certificate (OC) and immediate possession availability.

✅ Key Differences: Under-Construction vs Ready-to-Move

Factor	Under-Construction	Ready-to-Move
Price	10–25% cheaper	Higher price (but less risk)
GST Applicable?	Yes (5% or 1% for affordable housing)	❌ No GST
Possession Timeline	1–5 years (can be delayed)	Immediate
Home Loan	Available in stages	Full disbursal possible
Risk of Delay/Fraud	High (if builder is unreliable)	Minimal (check documents)
Rental Income	Starts after possession	Starts immediately
Inspection	Only brochures/floor plan	Full flat visible
Customization	Easy during construction	Limited
Maintenance Charges	Start after possession	Start immediately
RERA Coverage	Must be RERA-registered	Already completed, check RERA if recent

💰 1. Price Advantage: Under-Construction Wins

You can save 10–25% on per sq.ft price in the same area
Offers like pre-launch discounts, early bird offers, etc.

📌 But beware of false discounts and price escalations later.

🧾 2. Tax Benefits: Both Eligible, But Timing Varies

Both options give deductions under Section 80C and 24(b)
Under-construction interest (pre-EMI) is allowed only after possession, spread over 5 years
No GST on ready-to-move homes with OC

✅ If tax saving from interest is a priority, ready-to-move may be better.

🏠 3. Immediate Use or Rental: Ready-to-Move Wins

Start living or renting it from Day 1
Suitable for self-use buyers or investors needing income

📉 Under-construction flats mean waiting — and paying both EMI + rent during the build.

⚠️ 4. Risk Factor: Under-Construction Has More Risk

Possession can be delayed
Project may stop if builder faces issues
Legal approvals may still be pending

✅ Always check for:

RERA registration
Construction stage
Builder’s past project timelines

🏡 5. Customization: Under-Construction Offers Flexibility

Choose:
- Floor plan
- Tile color
- Wall finish
Customize interiors before handover

📌 Not possible in ready-to-move homes without renovation.

📋 6. Legal & Documentation: Easier with Ready-to-Move

Ready-to-move has:

OC (Occupancy Certificate)
CC (Completion Certificate)
Full RERA/Title documentation

✅ You can check actual flat condition, view, ventilation before buying

🧠 Which Is Better for Whom?

Buyer Type	Best Option
End-user (wants to move soon)	Ready-to-Move
First-time buyer (budget tight)	Under-Construction
Investor (wants appreciation)	Under-Construction
Investor (wants rental income)	Ready-to-Move
Buyer with zero risk tolerance	Ready-to-Move

💬 FAQs – Ready vs Under-Construction Flats

Is GST applicable on ready-to-move flats? ➡ No, if Occupancy Certificate (OC) is available at the time of sale.
Can I claim tax benefits before possession in under-construction? ➡ You can claim pre-EMI interest only after possession, split over 5 years.
Can under-construction flats be safer under RERA? ➡ Yes, but delays and delivery issues still happen — verify builder credibility.

📞 Final Thoughts + CTA

Choosing between under-construction and ready-to-move depends on your budget, urgency, and risk appetite. If you’re buying for immediate use, go ready. If you’re planning long-term or want a lower price, go under-construction — but only from trusted builders.

💬 Need help comparing specific projects or builders? 👉 Chat with our property expert on WhatsApp or Send your requirements here — get a free comparison with pros and cons.

✅ Categories:

Buying Guide
Real Estate Comparison
Hyderabad Property Tips