Pre-launch vs EOI vs launch: what each stage means for your money

7.1.1 What do pre-launch, EOI and launch mean?

Pre-launch, EOI and launch are three stages around the start of a project’s sales. Each one changes what you can safely pay for. Pre-launch is the period when a builder talks about a project before it is registered on K-RERA. The location, the configurations and an expected price range may be known, but the plans and prices are not final. During pre-launch, a builder can collect an expression of interest, or EOI. An EOI is a payment that shows you want a chance to buy when the project launches. It is meant to be refundable, but the terms are the builder’s, so read them. The launch is when the project gets its K-RERA registration and opens for booking. In a planning area, Section 3(1) of the RERA Act, 2016 bars advertising, marketing, booking or selling a flat before registration. So a booking belongs to the launch, not to the pre-launch.

Stage	K-RERA registration	What you can pay for	What to judge
Pre-launch	Not yet	Nothing, or an EOI	Whether the project and builder are real
EOI	Not yet	A refundable expression of interest	Refund terms and price at reveal
Launch	Yes	Booking, then the agreement for sale	The registered project, price and terms

7.1.2 What does the RERA Act say about selling before registration?

The RERA Act bars a builder from selling or booking a flat before the project is registered on K-RERA. Section 3(1) covers any flat in a project in a planning area. No promoter can advertise, market, book or sell it, or invite buyers, without registering the project. So a builder cannot take a booking, issue an allotment or sign an agreement for sale during pre-launch. Section 2(d) defines an allottee as the person to whom a flat has been allotted, sold or otherwise transferred. An EOI holder has not yet been allotted a flat. After registration, Section 11(2) says every advertisement must show the K-RERA website address and the registration number. Section 12 gives a buyer compensation for a loss caused by a false statement in an advertisement or brochure. Section 13(1) caps the advance at 10 percent before a registered agreement for sale. These rules apply from the launch onwards.

Rule	What it says	Section
No booking or sale before registration	In a planning area, the project must be registered first	3(1)
Who is an allottee	A person to whom a flat is allotted, sold or transferred	2(d)
Advertisements after registration	Must show the K-RERA website and registration number	11(2)
False statements in advertisements	The buyer is compensated for the loss	12
Advance before the agreement	At most 10 percent of the cost	13(1)

7.1.3 How should you judge a project at the EOI stage?

Judge an EOI-stage project on its refund terms and how the price will be set, not on the missing RERA number. An EOI stage always comes before registration, so “no RERA number yet” is normal at this point. The real risks are different. First, can you get your money back in full, and how soon? Second, how will the price be set at the launch, and will you get it before you must decide? Third, is the builder converting the EOI into a booking before the project is registered? That last point is what Section 3(1) bars. Ask for the EOI terms in writing before you pay: the amount, the refund trigger, the refund time and any deduction. Check the builder’s past projects on K-RERA, and the land records if you can. The EOI chapter explains what to look for in the terms. Pay an EOI only by a traceable method, and keep the receipt.

1. Ask for the EOI terms in writing before you pay.
2. Check that the EOI is fully refundable, and when.
3. Ask how and when the price will be set at the launch.
4. Check the builder’s past projects on K-RERA.
5. Do not sign a booking or allotment before the K-RERA registration.

7.1.4 What changes at the launch?

At the launch, the project is registered on K-RERA, and the builder can start booking and selling flats. Look up the registration number on the K-RERA portal before you book. The project page shows the promoter, the land details, the approvals, the proposed completion date and the uploaded documents. Check that your tower and flat are in the registered phase. From this point, the builder’s advertisements must show the registration number, under Section 11(2). The price for each flat is now set in the builder’s cost sheet. If you hold an EOI, decide whether to convert it into a booking at the launch price, or to take your refund. Ask whether the EOI amount counts towards the booking amount, and get the answer in writing. After booking, the builder must sign and register an agreement for sale before taking more than 10 percent of the cost, under Section 13(1). The allotment letter chapter explains the next step.

At the launch	What to check
K-RERA registration	The number, the phase, and your tower in it
Price	The cost sheet for your exact flat
Your EOI	Convert at the launch price, or take the refund, in writing
Next payment	No more than 10 percent before the registered agreement

7.1.5 Is buying at pre-launch or EOI worth it?

Buying at the EOI stage can get you an earlier choice of flats and, sometimes, a lower price. Only a written refund term protects your money. Builders and brokers often say EOI holders get the first choice of flats, or a lower price than at the launch. These are offers that vary by builder and project, not rules. Sachi has not found a published rule or dataset for them, so treat each one as a claim to get in writing. Compare three numbers. The first is the EOI price range the builder states. The second is the launch price on the cost sheet. The third is the price of similar launched flats nearby. If the EOI terms say the price is “to be decided”, you are buying a place in the queue, not a price. That can still be worth it, if the refund is full and quick. The launch price chapter explains how builders change prices between phases.

What the builder offers	How to treat it
First choice of flats	Ask how the choice order works, in writing
A lower price than at the launch	Ask for the price or the discount in writing
A price “to be decided”	You get a place in the queue, not a price
A full refund	Get the refund trigger and the number of days in writing

Sachi tracks K-RERA registrations for Bangalore projects. To see when a pre-launch project gets its registration, and what it filed, Ask Sachi.