Headline Price vs True All-In Parking Cost
When purchasing an apartment, builders often quote a headline parking price (e.g. ₹3 Lakhs per space). However, GST taxes, registration charges, allocation documentation fees, and mandatory mechanical maintenance funds increase the true out-of-pocket cost.
Understanding the Parking Cost Formula
Your true total parking purchase cost is calculated as:
Base Parking Price = Number of Spaces × Quoted Price per Space
Applicable GST = Base Parking Price × Tax Rate % (5% or 12%)
Total Parking Cost = Base Parking Price + GST + Documentation Fees + Surcharges
| Parking Type | Structural Features | Key Considerations |
|---|---|---|
| Covered / Basement | Dedicated stilt or basement slot protected from weather. | Highest resale value; confirm specific slot number in agreement. |
| Mechanical / Puzzle | Automated hydraulic lift system stacking vehicles vertically. | Requires annual AMC maintenance; verify power backup for lifts. |
| Open Parking | Surface parking within society premises. | Check RERA compliance regarding builder allotment legality. |
5-Step Parking Due Diligence Checklist
Ensure specific parking slot numbers (e.g. B2-45) are written into your formal allotment letter.
Confirm whether quoted builder parking prices include 5% or 12% GST or if tax is billed extra.
Measure parking slot width and pillar clearance to ensure comfortable SUV maneuvering.
Verify if electrical conduit or EV charging points are pre-wired to your designated slot.
If puzzle/mechanical parking is allotted, check resident welfare association AMC maintenance terms.
Frequently Asked Questions
Can a builder sell open parking spaces separately?
Under RERA and Supreme Court rulings (Nahar Builders vs. RWA), open parking spaces form part of common areas and cannot be sold separately by developers.
Does GST apply to parking allotment?
Yes. If parking is purchased as part of an under-construction apartment, GST applies at the standard project rate (typically 5% for non-affordable residential housing).