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MahaRERA Orders Pune Builder to Pay Interest Over Delayed Possession

3 min readBy AV Properties Mumbai
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Quick Answer

MahaRERA directed a Pune builder to pay interest on the amount paid by a homebuyer because possession was delayed and was not offered with an occupancy certificate. The interest applies from January 1, 2025, at SBI MCLR plus two percentage points until compliant possession is offered, subject to the order’s payment adjustments.

MahaRERA Orders Pune Builder to Pay Interest Over Delayed Possession

The Maharashtra Real Estate Regulatory Authority (MahaRERA) has directed a Pune builder to pay interest to a homebuyer after possession of a flat was delayed and was not offered with an occupancy certificate.

The case involved a homebuyer who had paid ₹39.15 lakh toward a flat priced at ₹41.85 lakh. That ₹39.15 lakh is the amount already paid for the property—not the additional compensation ordered for the delay. The builder’s liability arises from interest on the payment because possession was not delivered as required.

What MahaRERA Ordered in the ₹39.15 Lakh Pune Homebuyer Dispute

MahaRERA rejected the builder’s justification for the delay and directed that interest be calculated from January 1, 2025. The interest will continue until the builder offers possession along with the required occupancy certificate.

The authority also allowed any remaining amount payable by the homebuyer under the agreement to be adjusted against the interest due under the order. This means the ₹39.15 lakh payment is not automatically being treated as a refund or a separate compensation award. Instead, it forms the basis for calculating the delayed-possession interest liability.

The builder had offered ₹35,000 as goodwill compensation without admitting liability. MahaRERA held that this offer did not remove the builder’s legal obligation arising from delayed possession.

Why the Builder Was Held Liable for Delayed Possession

A homebuyer’s obligation to pay under a registered agreement is linked to the developer’s obligation to complete the project and offer possession in accordance with the applicable requirements. A possession offer without an occupancy certificate may not meet that obligation.

In this dispute, MahaRERA found that the builder’s explanation for the delay was insufficient. The authority therefore applied the regulatory remedy for delayed possession rather than treating the ₹35,000 goodwill payment as a full settlement.

The order reinforces an important point for buyers: possession-related disputes are not limited to the date when a developer says a flat is ready. The status of the occupancy certificate and the terms of the registered agreement can also affect whether possession has been validly offered.

How the Delayed-Possession Interest Will Be Calculated

Interest at SBI MCLR Plus Two Percentage Points Until Possession With an Occupancy Certificate

The applicable rate is the State Bank of India marginal cost of lending rate, or MCLR, plus two percentage points. It applies to the amount paid by the homebuyer and runs from January 1, 2025, until possession is offered with an occupancy certificate.

An estimate placed the interest at approximately ₹7.1 lakh up to September 8, 2026. That calculation used a 10.75% rate over 616 days. However, this is an estimate of the interest accruing under the order, not a separately fixed compensation amount awarded by MahaRERA. The final figure may change with the applicable rate, payment adjustments and the date on which compliant possession is offered.

What the Order Means for MahaRERA Homebuyer Compensation Claims

The Pune decision highlights how MahaRERA homebuyer compensation can operate in a delayed-possession case. The key issue is often not simply how much the buyer paid, but whether the developer met its possession obligations and what interest follows when it did not.

Homebuyers facing a similar Pune builder dispute should preserve the registered agreement, payment receipts, correspondence about possession, demand notices and evidence showing the occupancy-certificate status. They should also compare the promised possession date with the actual offer made by the developer.

Facing delayed possession or a builder dispute? Review your payment records, promised possession date and occupancy-certificate status, then seek professional advice on pursuing your MahaRERA homebuyer compensation claim.

Key Takeaways

  • The ₹39.15 lakh figure represents the amount the homebuyer had already paid, not a separately fixed compensation award.
  • MahaRERA ordered interest from January 1, 2025, until possession is offered with the required occupancy certificate.
  • The applicable interest rate is SBI MCLR plus two percentage points on the amount paid by the homebuyer.
  • A ₹35,000 goodwill offer did not remove the builder’s liability for delayed possession.
  • An estimated ₹7.1 lakh interest through September 8, 2026, is illustrative and may change with rates, adjustments and the date of compliant possession.

Key Facts & Figures

FactContext
₹39.15 lakh was paid by the homebuyer toward a flat priced at ₹41.85 lakh.According to the case details provided for the MahaRERA Pune dispute; the paid amount is the interest-calculation base described in the article, not a separate compensation award.
Interest was directed from January 1, 2025, until possession is offered with an occupancy certificate.According to the MahaRERA order summary provided in the article.
The applicable rate was SBI MCLR plus two percentage points; an estimate used a 10.75% rate over 616 days.The rate and duration are taken from the order summary and estimate described in the article; the estimate is not a final fixed award.
Interest was estimated at approximately ₹7.1 lakh through September 8, 2026.This is the article’s illustrative calculation, subject to rate changes, payment adjustments and the date of compliant possession.

How to Apply This Guide

  1. Review the registered agreement: Check the promised possession date, payment obligations, interest clauses and any provisions concerning the occupancy certificate.
  2. Verify the possession offer: Determine whether the developer actually offered possession and whether the offer included a valid occupancy certificate or other required approvals.
  3. Compile payment and delay records: Preserve receipts, bank statements, demand notices, emails, possession letters, project updates and documents showing the delay.
  4. Calculate the potential interest: Apply the relevant SBI MCLR plus two percentage points to the amount paid, beginning on the applicable date and accounting for contractual or regulatory adjustments.
  5. Prepare the MahaRERA claim: Organise the agreement, payment proof and possession evidence before seeking professional advice or filing an appropriate claim with MahaRERA.

Frequently Asked Questions

What did MahaRERA order the Pune builder to pay?

MahaRERA ordered the builder to pay interest on the amount paid by the homebuyer for delayed possession. The interest runs from January 1, 2025, until possession is offered with an occupancy certificate. The ₹39.15 lakh amount was the payment already made toward the flat, not a separate compensation amount awarded under the order.

Is the ₹39.15 lakh a compensation award from MahaRERA?

No, the ₹39.15 lakh was the amount the homebuyer had already paid toward the property. It forms the basis for calculating the delayed-possession interest liability, while any remaining contractual amount may be adjusted against interest as directed.

How is MahaRERA delayed-possession interest calculated?

The interest is calculated at SBI’s marginal cost of lending rate, or MCLR, plus two percentage points, on the amount paid by the homebuyer. In this case, the calculation begins on January 1, 2025, and continues until compliant possession is offered with an occupancy certificate. The final amount can change as the applicable rate, payment adjustments and possession date change.

Can a builder’s goodwill payment settle a delayed-possession claim?

A goodwill payment does not necessarily settle a delayed-possession claim. MahaRERA rejected the builder’s ₹35,000 offer as a substitute for the legal interest liability because it was offered without admitting liability. The effect of any settlement depends on its terms and the applicable order or agreement.

Why does an occupancy certificate matter in a possession dispute?

An occupancy certificate can be central to determining whether possession was validly offered. A developer’s statement that a flat is ready may not satisfy its possession obligation if the required certificate is missing. Buyers should compare the possession communication with the registered agreement and the project’s approval records.

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