Homebuyers in a delayed project have been instructed by the Maharashtra real estate regulator to only cancel their contracts once the units have been built by the association of allottees that has taken control or by another developer.
In order for the association of allottees or the new developer to sell the units of individuals who wish to leave and repay them, homebuyers must wait until the project is finished, according to the Maharashtra Real Estate Regulatory Authority (MahaRERA). A financial burden on the organisation or the new developer could cause the project to be further delayed, it warned.
The organisation of allottees or the new developer, according to lawyers, do not yet have a clear schedule for finishing the project. If the association of allottees or the new developer is held accountable for the delays caused by the former promoter, one lawyer warned that the project's viability may be impacted.
Homebuyers who wanted a refund from the Vijay Group, the developer of the Victory Platinum complex in Mumbai's Kandivali neighbourhood, brought the case that led to the MahaRERA's decision.
On May 14, 2015, two homeowners paid a combined Rs 1.75 crore for an apartment in the development. Possession, which the developer initially stated would happen in December 2015, was then delayed until March 2016. Even after paying 90% of the entire consideration, the buyers were unable to obtain their apartment.
Homebuyers in a delayed project have been instructed by the Maharashtra real estate regulator to only cancel their contracts once the units have been built by the association of allottees that has taken control or by another developer.
In order for the association of allottees or the new developer to sell the units of individuals who wish to leave and repay them, homebuyers must wait until the project is finished, according to the Maharashtra Real Estate Regulatory Authority (MahaRERA). A financial burden on the organisation or the new developer could cause the project to be further delayed, it warned.
The organisation of allottees or the new developer, according to lawyers, do not yet have a clear schedule for finishing the project. If the association of allottees or the new developer is held accountable for the delays caused by the former promoter, one lawyer warned that the project's viability may be impacted.
Homebuyers who wanted a refund from the Vijay Group, the developer of the Victory Platinum complex in Mumbai's Kandivali neighbourhood, brought the case that led to the MahaRERA's decision.
On May 14, 2015, two homeowners paid a combined Rs 1.75 crore for an apartment in the development. Possession, which the developer initially stated would happen in December 2015, was then delayed until March 2016. Even after paying 90% of the entire consideration, the buyers were unable to obtain their apartment.
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