If you and I were having chai on a busy Panvel evening, this is exactly how I’d explain it.

The day after GST changed, my phone blew up: “Jayesh, why is nothing cheaper?”

Because homes didn’t get a new GST tag—materials did.

And there’s a quiet door most buyers miss: offers that shrink your net outflow without touching the MRP.

Let’s walk through it together.

Short answer: Yes, GST changed on Sept 22, 2025—but mostly for construction inputs (cement and some materials).

GST on homes themselves hasn’t changed: it’s still 5% on most under-construction homes (1% affordable), and 0% GST if the home already has an Occupancy/Completion Certificate (ready-to-move). That’s why your WhatsApp didn’t explode with price-cut banners overnight. (Goods and Services Tax Council)

Let’s go deeper—calmly, clearly, and practically.

What actually changed on Sept 22, 2025?

• Cement GST cut: 28% → 18%. That’s big for developers’ input costs. (Goods and Services Tax Council)
• Some other materials became cheaper too (tiles/marbles/blocks and a broader 5%/18% two-slab simplification many outlets call “GST 2.0”). Think of it as upstream savings, not a sticker-price mandate. (The Times of India)

What did not change?

• GST on the apartment sale:
  • Under-construction: 5% (regular) or 1% (affordable segment), without ITC.
  • Ready-to-move with OC: No GST.
    These rates have stayed the same since the 2019 shift.

Plain-English rule: If it’s still being built → expect 5%/1% GST on two-thirds of the price (land is excluded). If it’s fully completed with OC → 0% GST.

So why didn’t prices fall on Monday morning?

Three practical reasons:

1. Savings sit “upstream.” Cheaper cement reduces total construction cost, not the final sticker price by default. Depending on each project’s stage and budgeting, it may translate to only ~1–2% on end price—and only if the developer passes it on. (Industry notes widely frame cost relief; the pass-through varies.) (Goods and Services Tax Council)
2. Old stock reality. If a developer pre-bought materials earlier at higher GST, they can’t magically mark down existing inventory without taking a hit—this lag is visible across retail any time tax cuts happen. (The Times of India)
3. Market behavior. In hot micro-pockets (Kharghar nodes, New Panvel good inventory), developers protect headline rates and prefer offers (stamp duty support, floor-rise waivers, appliance bundles) over base-price cuts.

Myth → Truth

Myth 1: “GST cut = prices drop next day.”
Truth: Input tax relief helps developers’ costs. Smart buyers capture it as offers (stamp duty support, floor-rise/PLC waiver), not headline MRP cuts.

Myth 2: “Resale is always cheaper.”
Truth: Add stamp duty + registration + renovation + time cost. Many OC units with a good offer beat a tired resale on total outflow.

Myth 3: “Waiting 3–6 months guarantees a lower price.”
Truth: You might save ₹X… or lose the right floor/stack/view and pay extra PLC later. Win on effective price today, not on wishful MRP tomorrow.

Myth 4: “Best deal = biggest discount banner.”
Truth: The best deals are quiet—custom benefits written into your ATS/annexure. Less drama, more outcome.

Myth 5: “Agents add cost.”
Truth: With mandates/CP clarity, the builder pays the channel. A good advisor shrinks your net outflow and protects you from fine-print pain.

Myth 6: “All offers are the same.”
Truth: Cash is king. Next best: floor-rise/PLC waivers, then duty/registration support, then appliance bundles. Sequence matters for loans, too.

Myth 7: “GST on homes changed in Sept ’25.”
Truth: OC = 0% GST. UC = 5% (1% affordable)—unchanged. The revision was mostly on materials. Target effective price, not MRP.

A pocket tool you can actually use

1) The “Is there real pass-through?” checklist

Tick what applies to your chosen project:

• Stage: Early-stage (more future purchases) → higher chance of benefit.
• Procurement: Developer confirms post-Sep 22 material procurement for major packages (cement, RMC).
• Segment & competition: Mid-income/affordable with multiple comparables nearby → greater price/offer sensitivity.
• Sales velocity: Slower-moving towers/phases → better room for negotiation.

3+ checks? Expect meaningful offer-level benefits even if MRP doesn’t drop.

2) Two-minute math (don’t worry, it’s friendly)

• Under-construction non-affordable:
  GST applies on two-thirds of base price.
  Example: ₹80,00,000 base → taxable value ₹53,33,333 → 5% GST = ₹2,66,667.
• Affordable (≤ ₹45L; carpet cut-offs apply):
  Same two-thirds logic → 1% on taxable value. (Metro/non-metro carpet caps still apply.)
• Ready-to-move with OC: 0% GST (but you still pay stamp duty + registration per Maharashtra rules).

Ready-to-Move vs Under-Construction: Decision Grid

For whom	OC (Ready-to-Move)	UC (Under-Construction)
Use-case	Need to shift soon; want certainty	Can wait 12–24 months; optimizing ROI
GST	0%	5% (or 1% affordable)
Cashflow	Higher upfront	Staggered (CLP/PLP/subvention—verify terms)
Negotiation Angle	Ask stamp duty/registration support, society charges clarity	Ask floor-rise/PLC waivers, plan tweaks, bundles
What to Check	OC/CC, water & security readiness, society formation	RERA, stage & funding, realistic possession window
Biggest Risk	Lower inventory choice; premium for ready stock	Timeline drift; spec changes; payment discipline
Who Wins Here	Families with move-in deadline; WFH sanity now	Investors/Upgraders hunting quiet effective savings

Revaa Tip: If your life needs certainty—go OC and squeeze closing costs. If you have time and a steady plan—go UC and engineer a net price win.

The Revaa Playbook: Get the benefit without waiting for list-price cuts

When you like a home, use these four asks:

1. “Pass-through” ask:
   “Post-Sept-22 material savings—can you reflect it as a closing benefit?”
   Typical form: stamp-duty support, floor-rise waiver, PLC relaxation, kitchen/AC bundle, or payment plan sweetener.
2. Stage-based leverage:
   If the tower is mid-construction, ask for an inventory-specific benefit (X% on your exact stack) rather than a public price cut.
3. Time-boxed decision exchange:
   Offer a 48–72 hr decision in exchange for a clear quantified benefit (e.g., “waive ₹X floor rise + PLC if I block this week”).
4. Comparable proof:
   Carry two recent nearby quotes (apples-to-apples). Quietly show them; ask for a like-for-like saving.

This preserves developer benchmarks and gets you the same wallet impact. It’s how serious buyers win quietly.

Will prices fall later?

Real talk: Macro beats math. Input tax relief helps margins, but prices in Navi Mumbai ultimately follow demand, supply, and financing costs. Expect these patterns:

• Short-term (0–3 months): More offers than slashed MRPs, especially during festive push.
• Medium-term (3–9 months): Projects that re-procure large material lots under new GST may bake benefits into targeted schemes.
• Micro-market split: Nodes with tight supply + strong connectivity narratives (e.g., specific Kharghar sectors, good-ticket New Panvel pockets) will hold sticker prices; peripheral or slow-moving pockets may show softer effective prices via schemes.

Quick Buyer Paths (choose your lane)

A) Ready-to-move buyer (need to shift soon):
Focus on OC inventory to avoid GST. Push for stamp duty support or registration cost cover. Validate society readiness, water/reserve, and maintenance.

B) Under-construction buyer (1–2 year horizon):
Use the pass-through checklist, negotiate effective price via add-ons. Confirm construction schedule and financial closure of the project.

C) Investor (rent + appreciation):
Target units with scarcity value (view/floor/ventilation/parking) where offers quietly lift yield. Don’t chase list-price cuts—chase total return math.

FAQs

A note on stamp duty & registration (Maharashtra)

Budget for stamp duty (≈5–7%) and registration (up to ₹30,000 or 1% for lower-value deals). Rates differ by gender/benefits; always check the latest state circular or IGR calculator before you sign.

Final word

If you’re feeling cheated because prices didn’t crash overnight, breathe. You’re not missing out—you just need to play the effective price game, not the MRP game. My job at Revaa Homes is to help you win quietly: right home, right math, right timing.

Want me to negotiate this for you? Tell me your short-list and budget. I’ll map the real pass-through potential, line up developer conversations, and push for the best effective deal—without the drama.

Fact-check sources (key points)

• GST Council reduction on cement to 18%; Sept 2025 decisions. (Goods and Services Tax Council)
• Media overview of “GST 2.0” and two-slab simplification; upstream price relief framing. (The Times of India)
• Under-construction GST 5%/1%; ready-to-move = 0% GST; calculation on two-thirds value. (Razorpay)
• Old-stock effect delaying visible price cuts in retail after tax reductions. (The Times of India)