Your agreement said December 2025. It’s now June 2026. The builder’s site is still a construction zone and their WhatsApp messages alternate between “structural work is on” and silence.
You have statutory rights under RERA that most buyers don’t exercise — because they don’t know they exist. Here’s the complete picture.
What RERA Says About Delays
Section 18 of the Real Estate (Regulation and Development) Act 2016 is your primary weapon.
If the builder fails to complete the project by the registered possession date:
Option A — Stay in the project and claim interest compensation You can remain a buyer and claim interest on your paid amounts at the rate of SBI’s Marginal Cost of Lending Rate (MCLR) + 2% for every month of delay until possession is actually given.
In practice (2026 SBI MCLR ~8.75%): this works out to roughly 10.75% annualised interest on every rupee you’ve paid.
Example:
- Amount paid to builder: ₹70 lakh
- Delay: 12 months
- Compensation owed: ₹70 lakh × 10.75% = ₹7.52 lakh for the year
This interest is payable monthly, but most MahaRERA orders collect it as a lump sum at possession.
Option B — Exit and get a full refund with interest If you no longer want the flat, Section 18 entitles you to a full refund of all amounts paid, plus interest at SBI MCLR + 2% from each payment date. You can also claim compensation for any additional losses caused by the delay.
The Grace Period Trap
Most builder agreements include a “grace period” clause — typically 6 to 12 months beyond the RERA-registered possession date — framed as a buffer for “force majeure or unforeseen circumstances.”
Important: This grace period in your agreement does not override RERA. Under Section 18, compensation runs from the RERA-registered possession date, not from the end of the contractual grace period.
However, MahaRERA in some orders has acknowledged grace period clauses as part of the agreed terms. The practical outcome varies by case. Your strongest position: the RERA-registered possession date is the baseline.
Immediate Steps When Delay Becomes Clear
Step 1: Check the MahaRERA project page Confirm the registered possession date and verify if the builder has applied for an extension. Extensions must be applied for with justification; MahaRERA may or may not grant them. If granted, the new date applies; if not, the original date stands.
Step 2: Send a formal written notice Write to the builder (email + registered post) stating:
- The contractually agreed and RERA-registered possession date
- The number of months elapsed beyond that date
- Your demand for a firm revised possession schedule
- A statement that you reserve your right to compensation under Section 18 RERA
This creates a paper trail and sometimes prompts response.
Step 3: Calculate your entitlement Document every payment made — amounts, dates, and receipts. This is the base on which compensation is calculated.
Filing a MahaRERA Complaint
If the builder doesn’t respond adequately within 30 days of your written notice, file a complaint with MahaRERA.
How to file:
- Go to maharera.mahaonline.gov.in
- Register/login as a complainant
- Select “File Complaint” → project type → enter project RERA number
- State your grievance, upload supporting documents (agreement, payment receipts, notices)
- Pay the filing fee (currently ₹5,000 for residential complaints)
Documents needed:
- Agreement for Sale (registered copy)
- All payment receipts / bank statements showing payments
- Builder’s communication (or lack thereof)
- MahaRERA project page screenshot showing registered possession date
- Copy of your written notice to the builder
Timeline: MahaRERA hearings are typically scheduled within 60–90 days of filing. Orders are usually passed within 6–12 months from complaint date, though complex cases take longer.
Typical MahaRERA order outcomes:
- Interest compensation from possession date until actual handover
- Direction to complete and hand over possession by a fixed date
- Penalty on builder for non-compliance with order
Consumer Forum: Faster for Smaller Claims
For claims below ₹50 lakh, the Maharashtra State Consumer Disputes Redressal Commission (SCDRC) is often faster than MahaRERA for getting an order, though MahaRERA orders are specific to RERA rights.
Buyers can and do pursue both simultaneously — filing a RERA complaint for interest compensation and a consumer complaint for additional damages (mental agony, alternate accommodation costs).
What consumer forums can award that MahaRERA cannot:
- Compensation for mental agony and harassment
- Alternate accommodation costs (rent you paid while waiting for possession)
- Litigation costs
Civil Court for Larger Matters
For cases involving builder fraud, project abandonment, or structural problems beyond the RERA framework, civil courts and the NCLT (if builder is insolvent) come into play. These routes are slower but can award larger damages.
If the builder has filed for insolvency or had IBC proceedings initiated against them, contact a resolution professional and file your claim as a homebuyer creditor — home buyers have priority creditor status in IBC proceedings since the 2018 amendment.
Can You Cancel and Still Get Your Money Back?
Yes, under Section 18 RERA — you can cancel and claim full refund + interest. But consider:
Before cancelling:
- Is the project still progressing (just slowly), or has it stalled completely?
- What is the current market value of the flat vs. your cost?
- What is the tax implication of cancellation (you won’t be able to claim Section 54 exemption if you’ve already sold another property in anticipation)
- Can you get a better deal elsewhere with the refunded + interest amount?
If the project is genuinely stalled or the builder is in financial distress, cancellation + refund is usually the right call. If the project is 85% complete and just 8 months late, staying and claiming compensation is often more financially rational.
What About Force Majeure (COVID/Floods/etc.)?
Builders routinely invoke force majeure for pandemic years, monsoon damage, and labour issues. MahaRERA has ruled on COVID-related extensions — most projects received a blanket 6-month extension for the 2020-2021 period.
Outside genuinely extraordinary events, force majeure claims for standard construction delays (labour shortage, material costs, contractor issues) are generally not accepted by MahaRERA as reason to deny compensation.
Practical Negotiation: Many Builders Will Settle
Before going to MahaRERA, consider direct negotiation armed with your Section 18 calculation. Many builders, when presented with a formal written demand citing the exact RERA compensation figure, prefer to settle by:
- Offering a rent-free period post-possession (1–3 months free maintenance)
- Reducing certain buyer-payable charges at possession
- Offering a furniture/interior credit
- Providing a small cash settlement against signing a waiver
Weigh any settlement offer against: (a) what you’d likely get from MahaRERA, (b) how long MahaRERA would take, (c) any ongoing carrying costs you face during the delay.
Do not sign any waiver of RERA rights unless the settlement value is substantially equal to or better than your Section 18 entitlement.
Builder Possession Delay Checklist
- Check MahaRERA project page for registered possession date and any extensions
- Calculate Section 18 compensation: amount paid × SBI MCLR+2% × months delayed
- Send written notice to builder with possession demand + compensation reservation
- If no response in 30 days: file MahaRERA complaint
- Simultaneously evaluate consumer forum claim for additional damages
- Do not sign any possession waiver before full snag inspection
- Do not sign any waiver of RERA compensation rights without legal advice
Related Reading
- How to Check a Builder’s Reputation Before Buying in Pune 2026
- Property Snagging Guide Pune 2026
- New Flat Possession Checklist Pune
- Pre-Launch Under-Construction Risks Guide Pune
Facing a delayed possession in Pune? Our agents have navigated RERA complaints and builder negotiations across multiple projects. WhatsApp us for a free consultation.
