
New Financial Year Changes for Premium Apartments in Kochi
April 1, 2025 7 Min Read


As we approach the new financial year, various regulatory and economic changes will be implemented that may affect individuals considering the purchase of a flat or premium apartment in Kochi. Whether you are entering the market for the first time, investing, or a resident, staying informed about these updates will enable you to make prudent decisions and manage your finances more effectively.
Revised Income Tax Slabs and Their Impact on Homebuyers
One of the key changes in the financial landscape is the revision of income tax slabs. The new structure grants greater tax relief to middle-income earners, which could facilitate greater affordability for homebuyers. Individuals with an annual income of up to ₹12 lakh will now receive an income tax exemption, while those in higher income tiers will enjoy lower tax rates. For those looking to invest in an apartment, these changes lead to an increase in disposable income. A lower tax burden allows potential buyers to save more effectively for a down payment or secure a larger mortgage. Additionally, the increase in the standard deduction from ₹50,000 to ₹75,000 provides further financial relief for salaried individuals, making homeownership a more feasible option.


TDS and TCS Adjustments in Property Transactions
Tax Deducted at Source (TDS) and Tax Collected at Source (TCS) are essential components in property transactions. The new financial year has introduced a revision in the TDS threshold, which particularly favors individuals who receive rental income. The limit for TDS on rental income has been increased from ₹2.4 lakh to ₹6 lakh annually. This is especially relevant for individuals who are purchasing flats as an investment. The rise in rental income exemptions allows landlords to retain a larger share of their profits, thus increasing rental yield. Similarly, individuals renting out their apartments will benefit from a reduced tax burden, which makes rental properties a more appealing investment option.
Ease of Digital Transactions with UPI Lite
With the increasing adoption of digital payments, the new UPI Lite 'Transfer Out' feature is anticipated to improve financial convenience. This feature allows users to transfer funds from their UPI Lite balance back to their bank accounts while keeping the service active. For individuals buying apartments, this results in greater flexibility in managing home loan EMIs, maintenance charges, and utility bills. Residents can also benefit from efficient online transactions for society fees, rent, and other homeownership-related costs. The advancements in digital payment systems provide a smooth financial experience aligning with the lifestyle of the modern homebuyer.


Banking and Financial Planning for Homebuyers
An essential element of homeownership is maintaining financial discipline, and the beginning of the new financial year serves as an opportunity to reassess banking commitments. With many banks having updated their minimum balance requirements, it is important for both current apartment owners and prospective buyers to check that they fulfill these new criteria to avoid facing penalties. Those who are considering a home loan should make it a priority to review interest rates and financial policies. As repo rates vary and impact loan EMIs, buyers should evaluate their borrowing potential and consider fixed or floating-rate options that align with their financial goals.
Conclusion
Those who are considering the purchase of an apartment or luxury flats in Kerala may find that these financial reforms contribute to greater affordability and facilitate the buying process. At the same time, current homeowners can take advantage of improved tax planning and the convenience of digital payments. With these positive changes, this financial year is a prime opportunity for potential homeowners to advance toward their dream home. At Kent Constructions, we understand the importance of making informed property decisions. With a strong commitment to quality, innovation, and customer satisfaction, we continue to offer premium living spaces that align with evolving financial trends and buyer needs.