To upgrade, decide whether to sell first, buy first or keep the old home, and plan the overlap of payments. Gains on selling a home held over 24 months are long-term, and reinvesting them in a new home within the time limits can reduce tax; confirm the current rules with your CA before you commit.
Three ways to upgrade
| Approach | Good for | Watch out for |
|---|---|---|
| Sell first, then buy | Clear budget | Renting in between |
| Buy first, sell later | No rush to move | Two sets of payments |
| Keep and rent the old home | Extra income | Higher loan, rental management |
Tax on the sale
- Gains on a home held over 24 months are long-term capital gains.
- Reinvesting the gain in a new residential home within the time limits can exempt it, up to a cap; an under-construction purchase has its own deadlines.
- Unused gains can be parked in the capital gains account scheme until you invest.
- Rules changed in recent budgets; confirm with your CA.
Your upgrade budget
| Line | Amount |
|---|---|
| New home all-in price | From cost sheet |
| Stamp duty and registration | About 6% to 7% plus ₹30,000 |
| Moving and interiors | Your estimate |
| Minus: net sale proceeds | After brokerage and tax |
| = Money to arrange | Savings plus loan |
How this applies to Godrej Elanor
- MahaRERA PR1260002602617; Godrej Properties Ltd is the promoter. Proposed completion 30 Sep 2032.
- 3 BHK Premium 1,270 to 1,280 sq ft and Luxe 1,310 to 1,320 sq ft carpet; indicative ₹1.90 to 2.09 crore all-in (sales team, 12 Nov 2026; confirm on the official cost sheet).
- Nande–Balewadi Road, in the Mahalunge corridor between Baner–Balewadi and Hinjewadi Phase 1.
Frequently asked questions
Should I sell my flat before buying a new one?
Sell first for a clear budget, buy first to avoid a rushed move, or keep and rent the old one for income. Choose based on cash flow and timing.
How can I save capital gains tax on selling my flat?
By reinvesting the gain in a new residential home within the time limits allowed. Confirm the current rules and caps with your CA.