Homebuyers to get interest waivers on flat cost payment delays during Covid-19

The Yamuna Expressway Industrial Development Authority (Yeida) on Tuesday said homebuyers will not have to pay any penalty if their payments were delayed during the two years of Covid-19 (2020-21).

Yeida has asked the realtors not to levy any penalty for the delay in payment against the apartment cost. There are at least 10,000 apartment buyers, who are awaiting their registries since the past many years in a total of nine housing projects located along the Yamuna Expressway.

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These projects are SDS housing project, ATS Allure, Supertech Township and Supertech Upcountry, among others. The realtors had launched their projects from 2010 onwards and possession and registries were supposed to have started in 2014-15. But since realtors failed to clear their land cost dues, homebuyers kept suffering for the last six to seven years as the authority did not allow registries until dues were cleared, said officials.

Steps taken by the UP government to end the deadlock

To end the deadlock, the Uttar Pradesh government approved a “stalled legacy housing project” on December 21, 2023, offering waivers on interest and penalties to those builders who come forward to pay their dues at least partially.

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After several builders came forward to pay dues after availing of waivers, the government directed Yeida to set up camps to execute registries and sub-lease deeds with ease without having to go the registrar’s office, said officials.

Under the new policy, nine developers have given their consent to clear dues and become eligible for registries.

“We have directed all nine developers not to levy any penalty on any homebuyer for delay in payment. Because we are offering realtors waivers for two years of Covid-19, when the construction got disrupted, they should pass on the benefit to homebuyers. We will discuss this issue in our upcoming board meeting likely to take place on March 11. We will make it compulsory for realtors to give waivers to homebuyers,” said Arun Vir Singh, chief executive officer of the Yeida.

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“We have told homebuyers that they can pay farmers’ compensation directly to us instead of giving it to realtors, who levy penalty on delay, and we will issue permission for registry. We are clearing all sorts of hurdles in way of the registries of apartments in the name of homebuyers,” said Singh.