Home Buying Process in India: Every Step From Search to Registry, With Timelines
Buying a home in India runs on one of two tracks. A resale flat usually moves from token to registered sale deed in 30 to 90 days. A new flat runs from booking to conveyance deed over the whole build, with fixed legal points: no more than 10% before a registered agreement for sale, and the conveyance deed within three months of the occupancy certificate.
Key takeaways
- Arrange finance first. Loan sanction typically takes 7 to 15 working days, and banks lend at most 75% to 90% of the value depending on the loan size.
- On resale, the token is often about 1% of the price, the agreement to sell takes the total to 10% to 20%, and the registry follows by the date the agreement fixes.
- On a new project, the builder cannot take more than 10% of the cost before a registered agreement for sale (RERA section 13).
- A sale deed must be presented for registration within four months of signing (Registration Act section 23).
- On a purchase of Rs 50 lakh or more, the buyer deducts 1% TDS and files Form 141 within 30 days from the end of the month.
- Registration is not the last step. Apply for mutation soon after, ideally within 30 days.
The two tracks at a glance
The steps overlap, but the order and the clock differ. Each step below gets a short note and a link to the page that covers it in depth.
| Step | Resale flat | New or under-construction flat |
|---|---|---|
| 1. Budget and loan eligibility | 1 to 2 weeks before you shortlist | Same |
| 2. Checks | Title search, about 10 to 14 days | RERA filings and builder history, a few days |
| 3. First payment | Token, commonly about 1% | Booking amount, often 5% to 10% |
| 4. First document | Agreement to sell, 10% to 20% paid in total | Allotment letter, usually within weeks |
| 5. Binding contract | Agreement to sell (same step) | Registered agreement for sale, before more than 10% is paid |
| 6. Loan sanction | Legal and technical checks, 7 to 14 working days | Sanction plus a tripartite agreement |
| 7. Balance payment | Lump sum at the registry | Construction-linked instalments |
| 8. Transfer of title | Sale deed, 30 to 90 days after token | Possession within 2 months of OC; conveyance deed within 3 months of OC |
| 9. After the transfer | TDS filing, mutation, utilities | The same, plus society handover |
Step 1: Fix the budget and the loan before you look
Your own contribution is larger than the down payment. RBI's loan-to-value limits let a bank lend up to 90% of the value on loans of Rs 30 lakh or less, 80% on loans above Rs 30 lakh up to Rs 75 lakh, and 75% above Rs 75 lakh. Stamp duty and registration are excluded from that value, except on homes costing up to Rs 10 lakh, so they come from savings.
Get an eligibility check or in-principle approval before you shortlist. Banks quote 7 to 15 working days for sanction, faster for salaried applicants than for the self-employed. See home loan eligibility on your salary and the home loan down payment guide.
Worked example: cash for an Rs 80 lakh resale flat
- A loan of 80% is Rs 64 lakh, inside the Rs 30-75 lakh band, so the down payment is Rs 80,00,000 - Rs 64,00,000 = Rs 16,00,000.
- Stamp duty at an illustrative 6% is Rs 4,80,000. Registration at 1% is Rs 80,000, though some states cap the fee.
- Cash from savings before brokerage: Rs 16,00,000 + Rs 4,80,000 + Rs 80,000 = Rs 21,60,000, or 27% of the price.
- TDS of 1% (Rs 80,000) is not an extra cost. You deduct it from the seller's payment and deposit it.
Stamp duty varies by state and often by the buyer's gender; Delhi charges 6% for men and 4% for women. Check your state in our stamp duty and registration charges table.
Step 2: Check the property or the project
For a resale flat, a lawyer traces the ownership chain, usually over 30 years, and gives a title search report in about 10 to 14 days. An encumbrance certificate applied for online typically comes in 2 to 3 working days; offline, 15 to 30 days. The full checklist is in our title and legal check before buying, and litigation searches are in how to check court cases on a property.
For a new project, check what the builder has filed with RERA and how it has delivered before: see reading RERA quarterly progress reports and how to check a builder's track record. If you are still choosing between the two, under-construction vs ready-to-move compares them.
Step 3: The first payment and the first document
Resale: token, then agreement to sell
The token has no fixed size; about 1% is common and 1% to 5% the usual range. Take a receipt that calls it an advance and names the date for the agreement. The agreement to sell records the price, the amount paid, the loan period and the deadline for the sale deed, commonly 30 to 90 days. Our sale deed vs agreement to sell explains why it does not transfer ownership.
New project: booking, allotment, agreement for sale
You pay a booking amount and get an allotment letter naming the unit. Section 13(1) of the RERA Act bars the builder from taking more than 10% of the cost before a registered agreement for sale; on an Rs 80 lakh flat, that is Rs 8 lakh. Read the agreement against our list of builder-buyer agreement clauses first.
Steps 4 and 5: Loan sanction and the seller's loan
Once the property is fixed, the bank's empanelled lawyer and valuer verify it, typically in 7 to 14 working days. A low valuation cuts the loan, so keep a buffer. For an under-construction flat, the bank also signs a tripartite agreement with you and the builder that sets out stage payments. What can still change after sanction is in sanction letter vs disbursement.
Many resale sellers still owe a home loan. Usually your bank pays the seller's lender the outstanding amount against a foreclosure letter and pays the balance to the seller; the lender then releases the original title papers. RBI's rules, in force since 1 December 2023, require lenders to return original documents within 30 days of full repayment and pay Rs 5,000 for each day of delay they cause. Agree in writing who collects the originals, and when.
Steps 6 and 7: Registration, taxes, possession and mutation
The sale deed, or for a new flat the conveyance deed, is stamped and registered at the sub-registrar with both parties and two witnesses. Under section 23 of the Registration Act it must be presented within four months of execution; four more months are available only with a fine of up to ten times the registration fee. The papers to carry are in documents required for property registration.
If the price is Rs 50 lakh or more, deduct 1% TDS under section 393(1) of the Income-tax Act, 2025 (formerly s.194-IA) and file Form 141, which replaced Form 26QB from 1 April 2026, within 30 days from the end of the month. It runs on your PAN; no TAN is needed. A new flat bought before the occupancy certificate carries 5% GST (1% for affordable housing), and none once the OC is issued; see GST on property purchase.
For a new flat, section 19(10) of the RERA Act requires you to take possession within two months of the OC, and section 17 requires the builder to register the conveyance deed within three months of it, unless local law says otherwise. Our possession letter guide covers the handover.
After any registration, apply for mutation in the municipal or revenue records, ideally within 30 days. Urban mutation typically takes 15 to 45 days with clean papers, rural 30 to 90 days. Utilities and property tax follow the mutation.
Where the timeline usually slips
- Title gaps. A missing link in the chain can add weeks while the seller fixes it. Resolve it before paying beyond the token.
- Low valuation. If the valuer puts the flat below the price, you fund the gap or renegotiate.
- The seller's lender. Foreclosure letters and document release sit in another bank's queue. The 30-day rule is a ceiling, not a target.
- Construction delays. Many projects extend the RERA possession date. Your remedies are in possession delay and RERA refund rights.
- Agreement deadlines. Miss the registry date because the loan is late and your advance may be at risk. Build slack into the date.
This sequence does not fit every purchase. Plots, farmland, builder floors, society share transfers, and sellers relying on a power of attorney or an inherited title add steps that need a lawyer's specific advice.
Frequently asked questions
How long does it take to buy a resale flat in India?
From token to registered sale deed usually takes 30 to 90 days, the window most agreements to sell fix for the registry. A cash purchase with a clean title can close in about a month. Add time if the seller has a loan to close, if the title has gaps, or if your bank's legal and technical checks, typically 7 to 14 working days, raise queries.
What is the correct order of documents when buying a new flat?
Booking receipt, then allotment letter, then a registered agreement for sale, which the builder must sign before taking more than 10% of the cost. For a loan, a tripartite agreement follows. At completion come the occupancy certificate, the possession letter and finally the registered conveyance deed, which the builder should execute within three months of the OC.
When should I apply for a home loan in the buying process?
Check eligibility or get in-principle approval before you shortlist, so you know your real budget. The formal sanction comes after the property is fixed, because the bank must verify that specific title and valuation. Leave enough time between the agreement and the registry for sanction and verification, which together often take two to four weeks.
Is the buying process finished once the sale deed is registered?
No. You still need to deposit the 1% TDS through Form 141 if the price was Rs 50 lakh or more, apply for mutation in the municipal or revenue records, and move the electricity, water and property-tax accounts into your name. For a new flat, make sure the conveyance deed is registered and the residents' association is formed.
If you are starting a purchase and want a second pair of eyes on the order of steps for your city, the Realty Hunting team can walk you through it.
