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Navratri Day 5: Gold coins, white goods or price cuts? What homebuyers should watch out for this festive season
Homebuyers should assess Navratri 2025 festive offers for real value. If a freebie isn’t useful, consider negotiating for practical monetary benefits instead
The new Goods and Services Tax (GST) regime, effective from September 22, has raised hopes among prospective homebuyers who wish to invest in property this Navratri 2025. However, market experts point out that homebuyers may need to wait a few months before seeing any real price benefits. Developers are currently revisiting project budgets and tax liabilities under the revised rules, factoring in input tax credits and updated rates.
While some developers are offering festive discounts on projects launched earlier, others suggest that any meaningful GST-related savings might only be passed on in the next quarter, particularly with new project launches. Some believe developers should consider maintaining current price levels to reflect savings from lower costs on construction materials like cement, rather than implementing the usual hike seen during new launches.
In the meantime, buyers are advised to evaluate festive offers for their actual value. Ask yourself: do you really need a gold coin or an international holiday? If the freebie doesn’t align with your current lifestyle or needs, it may be better to negotiate for something more practical like a direct price cut. For example, instead of complimentary appliances, you could ask for a price reduction. Focusing on tangible savings, such as waived charges or essential inclusions, can lead to better long-term value.
Real estate decisions: Insights from homebuyers
Anita Porwal, a 29-year-old IT analyst earning ₹9 lakh yearly, plans to book a 2BHK under-construction apartment in Indore’s Vijay Nagar for ₹42 lakh during Navratri. The September 22, 2025, GST cut on materials saves ₹1.3 lakh, reducing the price to ₹40.7 lakh. A local developer, leveraging festive demand, is offering a complimentary modular kitchen (worth ₹75,000) and has waived 50% of the 5% stamp duty ( ₹1 lakh). Anita will book by October 4, and use the savings to buy furniture.
Similarly, Rohan Patidar, a 35-year-old startup founder earning ₹15 lakh annually, is looking to book a 3BHK under-construction flat in Pune’s Hinjewadi for ₹85 lakh by October 7, 2025, during Diwali. The September 22 GST cut has lowered the price to ₹82.9 lakh. The developer is also including free flooring upgrades ( ₹1.5 lakh) as a part of the festive deal.
The GST Council’s decision to cut tax rates on key construction materials such as cement, granite, and marble is expected to lower project costs for real estate developers. Under GST 2.0, cement and ready-mix concrete will attract 18% GST (down from 28%), bricks, tiles, and sand will be taxed at 5% (down from 18%), and paints and varnishes will come under 18% (down from 28%). This, say real estate experts, is expected to lower input costs for developers and positively impact real estate pricing.
"With the recent GST cuts on construction materials from 18% to 12%, developers have seen modest cost relief of around 3–5%. This has positively influenced market sentiment, encouraging buyer interest and supporting new launches. While projects along the Noida Expressway are coming up at ₹22,000–24,000 per sq ft, at Nimbus Group, we remain committed to our buyers. Our company has launched Arista Luxe in Sector 168 at the rate of ₹16000 per sq ft, with ultra luxury specification while the prices in other new launches are close to ₹24000 per sq ft,” said Sahil Agarwal, CEO of Nimbus Group.
“For the festive season, we’re offering a 30:40:30 payment plan, a 10 gm gold coin with every low-rise booking, and free first transfer at Nimbus The Palm Village, Sector 22A, Yamuna Expressway. At our newly launched Arista Luxe project in Sector 168, Noida Expressway, festive benefits go up to ₹1 crore. Offers include a 25:25:25:25 payment plan, free first transfer, and gifts such as a Marshall Kilburn speaker, iPad, 5 gm 18KT gold coin, Amazon/MMT vouchers, and the iPhone 17,” he told HT.com
At Express View Park II on Yamuna Expressway, buyers will receive an iPhone, ₹51,000 in cash, a 5 gm gold coin, an air conditioner, and a double-door refrigerator, he said.
Does lower GST mean cheaper homes?
The recent GST reforms have addressed the long standing demand of the real-estate and infrastructure sector to reduce the rate of cement taxed at 28% which was punitive for the sector.
“Reducing the rate of cement from 28% to 18% will help in reducing cost of construction and give a boost to the sector,” says Shashank Shekhar, Partner, DMD Advocates, a law firm.
"The biggest relief is in core construction inputs. Cement has come down from 28 to 18%, while marble, granite and travertine blocks have also seen a sharp cut, from 12 to 5%. Fly ash bricks and sand lime bricks too are now taxed at just 5% instead of 12%. This easing of GST rates will directly lower input costs for developers and positively impact real estate pricing,” says Vivek Jalan, partner, Tax Connect Advisory Services LLP.
According to ANAROCK, in five years from 2019 to 2024, the cost of constructing homes went up by about 40% taking homes out of reach of many buyers. The GST cut thus comes as a relief.
How will affordable, mid-income and luxury homes be impacted?
Ultimately, the benefit of lower taxes depends on how much developers pass on to homebuyers. The government has signaled strongly, through statements from the Revenue Secretary and Finance Minister that the industry must ensure the relief is shared. Market forces too will push developers to adjust prices, which should make housing more affordable.
“If passed on fully, affordable and mid-segment homes could become 2–4% cheaper, easing pressure on buyers and reviving supply,” says Atul Monga, CEO and co-founder, BASIC Home Loan.
“Competitive pressure from the market is going to be a key factor which will likely compel developers to pass along the savings. In addition, retaining credibility in the mid-housing market segment warrants developers to reflect the savings,” says Ashish Kukreja, founder and CEO, Homesfy.in, a real estate advisory .
The GST reduction is a welcome move, particularly for the mid-income housing segment where first-time buyers and small investors are highly cost-sensitive.
However, the impact on the cost of luxury homes is not going to be too much. “Now incase cost of cement goes down by 10% (due to GST rates going down from 28% to 18%) and the cost of luxury interiors go up by around 12% (due to GST rates going up from 28% to 40%), the input costs of luxury projects should not see much of a change in the long run, as the GST costs would be offset against each other,” says Jalan.
Homebuyers should assess Navratri 2025 offers based on their intrinsic value
One also needs to keep in mind that the good news regarding GST comes in tandem with the festive season. While there could be a direct impact on costs, builders may extend these benefits to buyers not immediately but perhaps the next quarter.
At Signature Global, a Gurugram-based developer, buyers can book an apartment by paying 25% of the total amount of the flat, receive a complimentary gold coin, and stand a chance to win a luxury car.
“While reforms such as GST rationalisation in input materials like cement and marble have the potential to lower construction costs in the future, the current festive offers are independent of GST rate changes and are specifically applicable to a few of our previously launched premium projects,” said Pradeep Aggarwal, founder and chairman, Signature Global.
For the ongoing Navratri season, some builders are offering direct discounts, flexible payment plans, and free amenities. While these incentives aim to capitalize on the auspicious buying sentiment during festivals, buyers should approach them with caution. It's crucial to verify if the discounts genuinely reduce the cost or if the base price has been inflated beforehand.
“Genuine offers, such as direct cash discounts or waivers on significant fees, can provide real savings. It is advisable to compare the ‘discounted’ price with pre-offer prices and other properties in the vicinity to ensure meaningful savings,” says Ganesh Devadiga, Principal Partner and Sales Director at Square Yards.
Homebuyers should assess festive offers based on their actual value. Ask yourself: do you really need a gold coin? A free international holiday may sound appealing, but might not be useful if you'd rather stay focused on your career right now.
If you're being offered a freebie you already own or don’t need, consider negotiating for a more practical benefit. For example, if a developer is offering air conditioners for two bedrooms and a hall in a 2BHK unit, you could instead request a ₹1 lakh reduction on the total price. It’s important to understand the monetary worth of these freebies.
That said, offers like free parking, waived stamp duty and registration fees, or maintenance-free periods do provide real savings and add value to the deal. Essentials like air conditioners, modular kitchens, and furnishings are expenses you’re likely to incur eventually, so getting them included at no extra cost can significantly enhance the overall value, experts said.
Anagh Pal is a personal finance expert who writes on real estate, tax, insurance, mutual funds and other topics
