Real Estate Maharashtra

Homebuyers face uphill battle to enforce MahaRERA refund orders

By GeoSquare News Desk · Published 2026-10-17

Homebuyers across Mumbai and Maharashtra continue to wait for their money even after MahaRERA passes refund orders against defaulting developers. The legal route, which was expected to provide relief, has turned into a long-drawn struggle for many families who invested their savings into stalled projects.

Property auctions fail to deliver

To recover dues from errant builders, authorities have resorted to auctioning the developer's properties. However, these auctions have largely failed to translate into actual payments for homebuyers. In several cases, the auction process itself gets stuck due to legal complications, multiple claims, or lack of interested buyers.

Absence of clear guidelines

Buyers point out that the absence of clear guidelines on how auction proceeds should be distributed has created further confusion. Even when an auction is successful, the money often gets held up in procedural delays, leaving homebuyers in limbo. The lack of a streamlined mechanism has made the enforcement of MahaRERA orders a major challenge.

What this means for property investors

For those planning to invest in Maharashtra's real estate, this situation highlights the importance of checking a project's legal status and the developer's track record before booking a unit. While MahaRERA has strengthened buyer protection on paper, the actual recovery of funds remains a weak link in the system.