⚡ Quick Answer
Besides the price of the flat, buyers in new projects usually pay advance maintenance (for an initial period), a corpus or sinking fund (a one-time reserve for future repairs) and then monthly maintenance to the society. After enough homes are sold, the residents form a housing society that takes over the building's management.
- Ask for all these charges in writing in the cost sheet.
- Monthly maintenance is often linked to carpet area.
- Larger amenities usually mean higher running costs.
When buyers compare flats, they focus on the price. But a home also has running costs, and in premium projects with large amenities these can be meaningful. Knowing them in advance helps you budget properly and avoid surprises at possession.
This guide explains the main charges you will see in a cost sheet or at possession – advance maintenance, the corpus fund, monthly maintenance and society charges – and how a housing society is formed in a new building in Maharashtra. It is general information; always confirm the exact charges for your unit.
Table of Contents
The Main Charges at a Glance
| Charge | What it is | When it is paid |
|---|---|---|
| Advance maintenance | Maintenance for an initial period (often 12-24 months), collected in advance | Usually at possession |
| Corpus / sinking fund | A one-time reserve for major future repairs and replacements | Usually at possession |
| Society formation and share money | Legal costs of forming the society and buying its shares | Usually at possession |
| Monthly maintenance | Running costs - security, cleaning, lifts, power for common areas, amenities | Every month, after the advance period |
| Utility deposits | Deposits for electricity and water connections | Usually at possession |
Typical charges in new Mumbai projects. Names and amounts vary - check your cost sheet and agreement.
Some of these are listed as “other charges” in the cost sheet. Our guide to the true cost of buying a flat in Mumbai shows how they sit alongside stamp duty, GST and registration.
How Monthly Maintenance Is Worked Out
Monthly maintenance is usually charged per square foot of carpet area, so a larger home pays more. It covers the day-to-day costs of running the building:
- Security staff and CCTV
- Housekeeping and gardening
- Lift maintenance and electricity for common areas
- Running costs of amenities such as the swimming pool, gym and clubhouse
- Water, pumps, sewage treatment and waste management
- Insurance of the building and administrative costs
What Is a Corpus or Sinking Fund?
A corpus fund (also called a sinking fund) is a one-time amount collected from every buyer and kept aside for large future expenses – for example, repainting the building, replacing lifts or major repairs. It is meant to protect residents from sudden large bills later.
- Ask how much it isIt may be a fixed amount or based on area.
- Ask who holds itIt should be handed over to the society once it is formed.
- Ask for receiptsKeep proof of payment with your property documents.
How the Housing Society Is Formed
Under RERA, the developer must enable the formation of an association or society of allottees within the time set by local laws. In Maharashtra, a new building usually becomes a co-operative housing society once enough flats are booked. After that, an elected managing committee of residents runs the building, collects maintenance and manages the common areas.
- Bookings reach the required level. The developer starts the society registration process.
- Members sign forms and pay share money. Each flat owner becomes a member of the society.
- The society is registered. A managing committee is elected by members.
- Handover. The developer hands over common areas, documents and funds as per law and the agreement.
To check a project’s registration and the developer’s obligations, read MahaRERA explained: how to verify a project. The MahaRERA number for L&T The Gateway Sewri is P51900054969.
Questions to Ask Before You Book
- What is the expected monthly maintenance rate? And is it an estimate or fixed for the first period?
- How many months of advance maintenance are collected? And when?
- What is the corpus fund amount? And when is it transferred to the society?
- Is GST applicable on maintenance? GST may apply to maintenance above certain limits - ask how it is charged.
- Are club or amenity charges separate? Some projects charge club membership separately.
Bring these questions along with our site visit checklist. If you are buying jointly, decide early how running costs will be shared – see joint home ownership in Mumbai.
Reading the "Other Charges" in a Cost Sheet
Cost sheets often group several items under headings like “other charges” or “possession charges”. Ask for each line to be shown separately so you know exactly what you are paying for and when. Keep a simple table for yourself:
| Line item | Amount | Due when | Refundable? |
|---|---|---|---|
| Advance maintenance | [from cost sheet] | At possession | No |
| Corpus / sinking fund | [from cost sheet] | At possession | Transferred to society |
| Society formation and share money | [from cost sheet] | At possession | No |
| Utility deposits | [from cost sheet] | At possession | Usually deposits |
A simple template to fill in from your own cost sheet.
Having these figures early also helps you plan your loan and savings – see home loans for premium flats.
Related Guides
- Vastu Tips When Buying a Flat in Mumbai: A Practical Guide
- Low Floor vs High Floor: Choosing the Right Floor in a Mumbai High-Rise
- Home Loan Tax Benefits in India: Section 24(b) and 80C Explained
- Joint Home Ownership in Mumbai: Buying a Flat with Your Spouse or Family
- Setting Up a Home Office in a 3 BHK, 4 BHK or 4.5 BHK
- Car Parking in Mumbai Apartments: Covered, Stilt, Podium and Mechanical
- Buying a Senior-Friendly Home for Your Parents: What to Check
- Sewri Fort and the Heritage of Sewri: A Neighbourhood Story
- What Luxury Home Buyers in Mumbai Look For Today
- Possession handover checklist
- Home Insurance for a New Flat in Mumbai: A Simple Guide
- Monsoon-Ready Homes: What to Check in a Mumbai High-Rise
- Green Building Features in Mumbai High-Rises: What They Mean for Residents
- Agreement for Sale: Key Clauses to Read Before You Sign
- Real Estate Glossary for Mumbai Home Buyers: Key Terms Explained
- Fire and Lift Safety in Mumbai High-Rises: What Residents Should Know
- Property Tax in Mumbai: A Simple Guide for Flat Owners
- Renting Out Your Flat in Mumbai: A Leave and Licence Agreement Guide
Frequently Asked Questions
What is advance maintenance?
Maintenance for an initial period, often 12 to 24 months, collected in advance at possession. The exact period depends on the project.
What is a corpus fund in a housing society?
A one-time reserve collected from buyers to pay for major future repairs and replacements. It should be handed over to the society.
How is monthly maintenance calculated?
Usually per square foot of carpet area, based on the running costs of the building and amenities.
When is a housing society formed in a new building?
Under RERA and Maharashtra rules, the developer must enable society formation once enough flats are booked, within the time set by law.
What are the maintenance charges at L&T The Gateway Sewri?
They have not been published here. Ask the project team for the estimated maintenance, advance maintenance and corpus amounts in the cost sheet.
Is the corpus fund refundable if I sell my flat?
Usually not. The corpus belongs to the society for the building. Check your agreement and society bye-laws.
Conclusion: Budget for the Running Costs Too
A good home is one you can comfortably run, not just buy. Ask for advance maintenance, the corpus fund, society charges and the expected monthly maintenance in writing, and add them to your budget. For a detailed cost sheet for L&T The Gateway Sewri, enquire now or call +91 80503 63647.
L&T The Gateway, Sewri
MahaRERA No. P51900054969
Get the project details, floor plans and price sheet for 3, 4 and 4.5 BHK residences in Sewri, Mumbai. Our team will call you back.
