Homebuyers Seek Relief from PM

Homebuyers’ pan-India body, the Forum for People’s Collective Efforts (FPCE), has sought relief from Prime Minister Narendra Modi for homebuyers impacted by various extensions provided to developers that led to additional interest burden for home-owners. The government has advised all RERA authorities to extend project completion timelines by 6 months with additional 3 months at state’s discretion. While the RBI has granted a total 6 months’ moratorium for all term loans, the borrower is expected to pay additional interest for this period. “This would only add to the burden of rent, EMIs, loss of compensation, delay, and now interest on suffering home buyers. In contrast, the builders would get a free hand to delay the project by 6 to 9 months more, without any liability of penalty, interest, compensation as envisaged under RERA, all through an illegal order,” FPCE said in its letter to the Prime Minister. The body has objected to regulatory authorities offering indiscriminate extension to projects without following legal requirements that stipulates an extension can be given only when there is no default by developers and as ‘force majeure’. It has also suggested that homebuyers need to get a separate tax deduction for rents being paid for their current accommodation if their project is delayed. “It is easily forgotten that every extension comes with added burden of EMI, rent, mental agony, harassment and shattered dream of having a own home by buyers and their families,” said FPCE’s General Secretary MS Shankar while demanding that for all the extensions, EMI burden should be passed on to builders.