Real Estate Maharashtra
MahaRERA Rejects Builder's Jurisdiction Excuse, Orders Interest Payout
By GeoSquare News Desk · Published 2026-10-12
The Maharashtra Real Estate Regulatory Authority (MahaRERA) has directed a Pune-region builder to pay interest to a homebuyer who paid nearly the full consideration of a flat but was never handed over possession.
What the homebuyer paid
The complainant had booked a flat priced at Rs 41.85 lakh and remitted Rs 39.15 lakh to the developer towards the sale consideration. Despite this substantial payment, the project failed to deliver possession within the committed timeline, prompting the buyer to approach MahaRERA.
Builder's defence fails
The developer argued that repeated jurisdictional changes between the Pune Municipal Corporation (PMC) and the Pune Metropolitan Region Development Authority (PMRDA) had delayed approvals and hence the project. MahaRERA was not convinced and rejected the explanation outright, holding that such administrative transitions cannot absolve a promoter of statutory delivery obligations.
What MahaRERA ordered
The authority held the builder accountable for the delay and ordered payment of interest on the amount collected from the homebuyer, effectively protecting the buyer's money for the period possession was withheld. The ruling reinforces that regulatory delays and jurisdictional realignments are not valid grounds to deny a buyer their contractual right.
Why it matters for Maharashtra buyers
The order is a useful precedent for homebuyers across Pune, Mumbai and other Maharashtra markets where projects frequently cite municipal jurisdiction disputes, approval transfers or policy shifts as reasons for delay. Buyers who have paid substantial sums but remain without possession can point to this reasoning while approaching MahaRERA.
Experts advise homebuyers to keep payment receipts, allotment letters and builder correspondence in order, and to file a complaint promptly if possession is delayed beyond the agreed date, seeking interest and, where applicable, a refund with interest.