Deciding between a pre-launch and a new-launch project is one of the first big choices you’ll make as a buyer in Bangalore. Both have perks - lower entry price, choice of units, or faster possession - but they also carry different risks and paperwork. This guide explains the difference in plain English, what to check before you book, and a quick decision checklist so you know which option fits your goals.

Quick snapshot

• Pre-launch: Project announced early (often before full approvals or construction). Attractive early prices, higher upside - but higher risk. Verify promoter, approvals and refund terms. (Mahindra Lifespace)

• New launch: Project publicly launched with construction underway or approvals in place. Less speculative than pre-launch and easier to vet (RERA number, builder records, sample flats).

• Must check for both: RERA registration/project disclosures, payment schedule, possession timeline and developer track record. RERA rules also require safety measures that protect buyer funds - ask for proof. (rera.karnataka.gov.in)

What exactly is a pre-launch?

A pre-launch is when a developer markets a project before all approvals or major construction have started. Builders offer early-bird prices and flexible payment plans to secure bookings and fund early stages. That upside makes pre-launch popular with investors - but it also means you are taking on more execution risk (approvals, funding, or project kickoff). Always check what “pre-launch” means for that project - sometimes it’s only a marketing teaser; sometimes it’s already RERA-registered and near-ready.

Why buyers choose pre-launch

• Lower entry price / early-bird discounts.

• Better unit choice (facing, floor) and time to plan interiors.

• Potential for higher appreciation if the location and builder are strong.

Risks

• Delay in approvals or construction start.

• Unclear refund or cancellation terms.

• Marketing claims that aren’t backed by approvals.

What is a new launch (and why it’s different)

A new launch usually means the project is publicly launched with basic statutory approvals or construction underway. Builders may already have a RERA number, a sample flat, or initial site work - so you can inspect progress and verify documents more easily.

Why buyers choose new launch

• Easier to verify approvals, progress and RERA disclosures.

• Lower execution uncertainty than pre-launch.

• Banks are more comfortable with disbursing loans as construction progresses.

Trade-off

• Prices are often a notch higher than pre-launch, but the trade-off is lower risk.

Side-by-side: the practical differences

Checklist before you book - pre-launch and new-launch

1. RERA registration & disclosures - ask for the RERA number and verify the project on the Karnataka RERA portal. If the project is supposed to be registerable (size thresholds apply), it must be registered before marketing/sale. (rera.karnataka.gov.in)

2. Developer track record - past delivery timelines, quality, and any RERA orders/complaints.

3. Approvals & land title - approved building plan, land conversion/CLU if required, and clear title.

4. Payment schedule & caps - what’s the booking amount, how much is payable before a registered sale deed, and how are refunds handled? (RERA limits certain advance collections; check local rules.)

5. Possession timeline & penalty clause - what happens if the builder delays? Is there a compensation clause in the agreement?

6. Loan feasibility - speak to banks early: under-construction loans are disbursed in stages; ask how the lender treats this project.

7. Sales agreement vs booking form - never pay large sums without a registered agreement or clear written terms.

Financial smart moves

• Get pre-approved for a home loan so you know your budget and bargaining power.

• Budget for delays - plan for rent + EMI if possession slips.

• Ask for a full price breakup (base price + PLC + parking + taxes + corpus + GST if UC). Hidden extras can wipe out early savings.

• Check refund & cancellation policy in writing - early promotions sometimes carry non-refundable clauses; be wary.

Regulatory protections you should know

• RERA: Projects above certain sizes must be registered and disclose plan, approvals, progress and promoter details. Verify the RERA listing before booking. (rera.karnataka.gov.in)

• Buyer fund protection: RERA and regulator guidance require promoters to keep buyer funds segregated (the “70%” / escrow practice) to ensure construction funds are not diverted - ask for evidence of compliance where applicable. (rera.karnataka.gov.in)

Red flags - stop and verify

• Builder refuses to give a RERA number or gives a fake/non-matching number.

• Promoter asks for unusually large advance before a registered agreement (beyond local caps).

• Vague possession timelines or no penalty clause for delays.

• No clear title for the land, or titles under dispute.

• No transparent refund policy for pre-launch bookings.

Who should choose which?

• Pick pre-launch if: you’re an investor comfortable with risk, or you want first choice at a lower entry price and can tolerate a longer wait.

• Pick new launch if: you want clearer approvals, prefer lower execution risk, and value a realistic possession timeline.

• If you’re unsure: ask for a short verification (RERA + approvals + builder check) before booking - it’s a small investment that prevents big problems later.

Final short checklist

• Verify RERA number on the official portal. (rera.karnataka.gov.in)

• Ask for a written breakup of all costs (including taxes).

• Ask your loan officer: “Can this project be financed, and how are disbursements handled?”

• Confirm refund & delay penalty clauses in writing.