Mumbai's real estate suffers from delay in possession of flats

Delay in possession of flats is a major issue plaguing the Mumbai real estate industry. One of the aims of bringing in MahaRERA was that there were many such projects that were delayed and several home buyers were suffering because of it. There are many who are facing the brunt because the project they had invested their money on were delayed. Ravi Gawli, had invested Rs 31 lakh and above in a project being constructed near Kalyan. He says that he made the booking in 2010, and registered the agreement of sale in 2014, and was suppose to get the flat by 2016 plus six months, however, he till date hasn't got the possession of the flat. He then approached MahaRERA, which asked the developer to pay him the interest on the amount he paid to the developer. "I had booked a 2-BHK and now am staying on rent and yet to get possession. I paid the money to the developer hoping that soon I will have a house of my own, but then that hasn't happened and also, I am forced to even pay the rent, while there's interest on the money I paid to the developer, I am paying rent every month and there's no compensation for the same." Another home buyer Pradnya Nikhil Sable, in 2013, had booked a flat in a project in Ambivli. She had approached MahaRERA and sought a refund of the amount paid by her as the builder had delayed possession. She had approached MahaRERA in November 2017. Nikhil Sable the husband of the home buyer says that they are now forced to stay in a rented accommodation. "We do not want others to suffer like we did. The authority had ordered the developer to refund the money we had paid to the developer along with interest. I had booked a 2-BHK but the delay in possession forced me to seek refund. We are yet awaiting the refund of the money we paid to the developer." Dr Sanjay Chaturvedi, a housing expert says, maximum cases that come to MahaRERA are that of delayed possession, where either the home buyer is seeking interest on his payment made to the developer or are of those where the home buyer is seeking refund because of delay. "Delay in possession is a major issue, in today's scenario, projects that were before MahaRERA came in, are majorly facing the issue of delayed possession, it wouldn't be wrong to say, that the authority was formed and one of the prime reasons that led to its formation was home buyers were suffering because they didn't get their homes on time." Figures: Unsold inventory in Mumbai Metropolitan Region: 2.70 lakh units Ready possession units: 40,000-45,000 units Under-construction units in different phases of construction: Above 2 lakh In Resale market: Above 1.20 lakh units in ready possession Total supply of under construction in real estate market: 80-85 per cent.