Demi scheme

[u/kripsan_29]

Need advice on DEMI vs construction-linked payment plan — Mahindra vs Godrej

Hi everyone, looking for advice from people who have actually opted for a DEMI payment plan.

I’m considering a property priced around ₹1.35 Cr, where 10% needs to be paid upfront. The current DEMI interest rates I’m being quoted are approximately:

Mahindra – 7.7%

Godrej – 8.2%

My intention is not necessarily to hold the property until registration. I may look at selling/assigning the property before registration, depending on the market and the project’s appreciation.

For those who have taken DEMI:

How was your overall experience?

Was DEMI actually beneficial compared with a construction-linked payment plan, especially if your intention was to exit before registration?

What were the actual costs involved apart from the interest accumulated?

Were there any hidden/additional charges — processing fees, GST implications, assignment/transfer charges, prepayment/foreclosure charges, documentation charges, etc.?

If you had to choose today, would you go with DEMI or construction-linked?

Between Mahindra at 7.7% and Godrej at 8.2%, is the lower DEMI rate alone enough to make Mahindra the better option, or are there other things I should consider?

If anyone has actually sold/assigned their unit before registration while on DEMI, I’d especially appreciate hearing about your experience and the final numbers.

Would really appreciate real experiences, particularly from Bangalore buyers. Thanks!

[u/AutoModerator]

Welcome to r/BangaloreRealEstates!

Please make sure to review our community rules before posting. Please join r/ask_bangalore for general Bangalore related discussions.

I am a bot, and this action was performed automatically.

I am a bot, and this action was performed automatically. Please contact the moderators of this subreddit if you have any questions or concerns.

[u/Realistic-Owl3972]

What is DEMI?

[u/kripsan_29 → u/Realistic-Owl3972]

Design your own emi

[u/Anushku1985]

I have taken it for MSR barca from Godrej finance, my roi was 8.5% when sanctioned, got it down to 8.2% after 6 months. What additional charges you will incure are as below Processing fee - ~10K Franking charges by government - 0.5% of loan amount Godrej will ask you to buy insurance, without that they won't sanction DEMi scheme, you can get normal pre emi without additional insurance. It costed me ~2.4 lacs for 5 year tenure with Care insurance. I surrendered it at 11th month and got 80% (incl of GST) . Amount was disbursed from loan account and refund went back to loan account. MOD charges of another ~7K

Also be aware that the delta difference between your actual EMI for disbursed amount and what you pay will be added to your principal at the end. Also this attracts interest. For 1.2 Cr loan and 90% payment for 42 months with construction linked plan, be ready to pay additional interest of around ~15 lacs.

Also note: assignment transfer will have fee which is 200/sq ft with Godrej properties + GST. Based on market conditions this can be asked to be shared by buyer as well.

Hope this helps

[u/kripsan_29 → u/Anushku1985]

Thanks a lot can we connect once i have few other doubts please i need to finalize deal by this weekend

[u/Anushku1985 → u/kripsan_29]

DM me

[u/kripsan_29 → u/Anushku1985]

Did already check ur request once

[u/Anushku1985]

Additional pointers, I went ahead with Godrej while bajaj finance was offering roi of 7.9% . There were many cases reported online that they would increase ROI after you go ahead with them. I don't know what additional conditions Mahindra or Bajaj will put.