Extension granted to housing projects not to impact buyers’ rights: MahaRERA | Mumbai news

Mumbai: The Maharashtra Real Estate Regulatory Authority (MahaRERA) has recently reiterated its commitment to safeguarding homebuyer interests, clarifying that deadline extensions for housing projects are strictly regulated to ensure consumer rights are preserved. This announcement comes amid concerns that extensions could compromise homebuyers’ rights, highlighting the authority’s proactive approach to consumer protection in the real estate sector.

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“The MahaRERA permits deadline extension to any housing project only to protect the homebuyer’s interest and with certain conditions on the developer. Even while the project’s deadline is extended, a homebuyer’s rights remain intact. If a flat purchaser does not get possession as per the laid down timeline, he/ she can move MahaRERA, as per the regulations. It is the home buyers’ right to move the housing regulator, should there be any violation of the Real Estate (Regulation and Development) Act, 2016,” states the statement issued by the regulatory authority.

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MahaRERA has given extension to 356 housing projects in January and February 2024 and proposals for extension 185 were under process. In the backdrop of this, some home buyers approached the housing sector regulator regarding the protection of their rights. RERA Act provides the remedy of refund with interest and compensation to the home buyers when a developer fails to complete the construction or give possession in time.

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According to the current provisions, in case a certain housing project fails to meet the extended deadline of a year, the developer is permitted to file for another additional time only after securing 51% consent from the homebuyers. Although the homebuyers provide their consent, their rights under the Real Estate (Regulation and Development) Act, 2016 do not get diluted.

The flat purchaser can continue to get a fair trial on the petition already filed or intends to move MahaRERA against the project/developer. In a scenario, if a developer fails to secure 51% consent of the homebuyers, the MahaRERA has the right to grant a conditional extension to the project, which was stalled for over a year.

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“Homebuyers usually put in their life’s savings to buy a home and are emotional about the same. There have been some people complaining that MahaRERA grants extensions to projects, despite their grievances filed. I would like to reiterate the obvious, MahaRERA gives an extension only after strict scrutiny of all such proposals and reasonable conditions to complete the stalled project. MahaRERA’s aim is to ensure a residential project gets completed under any circumstances and homebuyers get their rightful shelter. Grant of extension is conditional and all the rights of homebuyers remain intact,” said Ajoy Mehta, Chairman, of MahaRERA.