Purchasing a flat for sale in Dhaka is an exhilarating but complicated endeavor, and most buyers miss concealed expenses that can add hundreds to the final cost.
Whether you are a Middle Badda, Uttara, or a Baridhara Diplomatic Zone investor, knowing these expenses will help you avoid surprise financial outlays. Below are the most prevalent concealed costs and how to avoid them when buying a property in Dhaka.
1. Property Registration Fees
When purchasing an apartment, you have to pay government fees for registration, including:
- i) Stamp Duty (3%)
- ii) Registration Fee (2%)
iii) VAT (1.5%)
- iv) Gain Tax (4%)
- v) Local Government Tax (1%)
These fees come up to approximately 10% of the flat price in Dhaka. For the sake of surprises, calculate them beforehand.
2. Legal and Documentation Costs
Engaging a lawyer is important for the verification of ownership documents, preparation of the deed of sale, and verification of land titles. Legal charges vary from BDT 50,000 to BDT 200,000, depending on the nature of the transaction. Contact BestBari to be referred to a trusted and professional legal specialist or solicitor can assist you in finding reliable legal experts.
3. Utility Connection Charges
Though some apartments have utility connections, new purchasers usually pay extra for:
- i) Electricity connection: BDT 20,000 — BDT 100,000
- ii) Gas connection: BDT 25,000 — BDT 150,000 (location-dependent)
iii) Water and sewage: BDT 10,000 — BDT 30,000
Before buying a flat in Dhaka, inquire from the developer whether these are included.
4. Service and Maintenance Fees
After you take possession, you will have to pay a monthly service charge for maintenance, security, and common area utilities. This is location-dependent:
- i) Middle Badda: BDT 2,000 — BDT 5,000 per month
- ii) Flat sale in Bashundhara: BDT 5,000 — BDT 10,000 per month
iii) Flat for sale in Uttara: BDT 3,000 — BDT 7,000 per month
- iv) Request a detailed service charge breakdown before buying.
5. Parking Fees
Parking lots are usually bought separately from flats, particularly in popular locations such as Baridhara Diplomatic Zone. Parking lot prices vary from BDT 300,000 to BDT 1,000,000 based on location and availability.
To prevent surprise expenses, check if a parking lot is part of the flat price in Dhaka prior to signing the agreement.
6. Interior Finishing and Customization
Most newly built flats are semi-finished flats, which involve extra costs for:
- i) Painting and wall finishing
- ii) Electrical and plumbing fixtures
iii) Kitchen cabinets and wardrobes
This can add BDT 500,000 to BDT 2,000,000 to your overall budget. Opt for apartments that include these features in the sale price.
7. Property Tax and Yearly Fees
Homeowners must pay annual property taxes based on the size and location of the apartment. The rates vary by area:
- i) Middle Badda: BDT 10,000 — BDT 20,000 per year
- ii) Flat for rent in Uttara: BDT 15,000 — BDT 30,000 annually
iii) Baridhara Diplomatic Zone: BDT 50,000+ annually
To be penalized-free, make sure you know all the taxes applicable before making the purchase.
8. Concealed Developer Charges
Developers offering Premium Flat Sales in Dhaka might charge additional fees like:
- i) Escalation Costs: Surprise price hikes due to material prices.
- ii) Delayed Possession Charges: Early handover request fees.
iii) Security Deposit: Returnable but seldom disclosed beforehand.
Read the contract thoroughly and verify all expenses with the developer or your trusted BestBari property consultant prior to signing.
9. Transfer and Resale Costs
In the event you would like to resell your property in the future, you could be charged:
Capital gains tax (4% of sale price)
Transfer fees (1% — 2% of value of sale)
Brokerage fees (1% — 2% when working with a real estate agent)
Take these charges into account when purchasing for investment.
10. Furniture and Moving Costs
After you’ve acquired the apartment, extra costs are:
Furniture and appliances: BDT 500,000 — BDT 2,000,000
Moving services: BDT 10,000 — BDT 50,000
Budget for these costs in advance to steer clear of last-minute financial pressure.
How to Steer Clear of Hidden Costs
Research exhaustively: Compare prices and services offered by several developers and agents.
Seek experts’ advice: Partner with BestBari, your experienced and tursted team of specialists to guide you through the purchase process.
Read contracts thoroughly: Be on the lookout for sneaky clauses that can result in added costs.
Negotiate intelligently: Attempt to get important services such as parking, utilities, and completion fees into the ultimate price.
Budget for add-ons: Allocate an additional 10–15% of your budget for surprise expenses.
Conclusion
Although buying a flat for sale in Dhaka can be an excellent choice, there are hidden expenses that can affect your budget if not carefully planned. Whether you’re buying in Middle Badda, Uttara, or Bashundhara, being aware of these costs beforehand will assist you in making a well-informed decision.
With the help of seasoned professionals such as BestBari’s team of trusted specialists and checking all financial details beforehand, you can make a smooth and budget-friendly property purchase. Good luck with house hunting!
