New Launch - India Real Estate Report 2026.

What is Under-Construction Property?

Under-construction property refers to a real estate project that is still being built and has not yet received a completion certificate or full occupancy approval. These properties are sold while construction is ongoing, allowing buyers to purchase at pre-completion stages, often at lower prices compared to ready-to-move-in homes.

Key Features of Under-Construction Property

  • Work in progress – Construction is ongoing and not fully completed
  • Pre-launch or ongoing sale – Units are often sold before completion
  • Payment in stages – Buyers pay through construction-linked plans
  • Possession after completion – Property is handed over once finished and approved
  • Regulated by RERA – In India, governed by the Real Estate (Regulation and Development) Act

How Payment Works in Under-Construction Projects

Most under-construction properties follow a structured payment system:

  • Booking amount: Paid to reserve the unit
  • Construction-linked payments: Installments based on project progress
  • Final payment: Paid at the time of possession
  • Home loan disbursement: Released in phases by banks

Under-construction properties are a popular real estate investment option due to their lower entry cost and potential for high appreciation. However, they require careful evaluation of the developer’s credibility and project timeline.

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