Mumbai family accepted flat possession after a 2-year delay, lost their RERA compensation claim; know what went wrong

A family that bought an apartment in Mumbai for ₹1.05 crore was denied any compensation for a possession delay of more than two years after MahaRERA held that they had accepted the flat without protest.

The authority ruled that since the homebuyers neither raised objections nor sought a formal possession letter at the time of taking handover of the property, they could not later claim interest compensation for the delay.

The complainant had signed the sale agreement on February 25, 2022, and the builder promised to give possession by June 30, 2022. However, the apartment was handed over only on March 15, 2025, after a delay of more than two years, according to a report by the Economic Times.

MahaRERA observed that while Section 18 of the RERA Act (Real Estate Regulatory Authority) does not specify a limitation period, grievances relating to delayed possession must be raised before the project is completed and possession is accepted, not at a later date chosen by the homebuyer.

What grievances did the homebuyers raise?

As per the report, the homebuyers had made partial payments even before signing the sale agreement and continued making payments thereafter.

They even made a payment on March 10, 2025, just days before taking possession, but the builder allegedly failed to provide receipts for those payments. Although they received physical possession on March 15, 2025, the builder never issued a formal possession letter till date.

The complainant also claimed that the builder failed to provide all the common amenities that were promised in the sale agreement, noting that the delayed possession has caused them mental agony, hardship and financial losses.

This is why they filed a case with MahaRERA seeking a compensation. The family requested interest at the rate of 18% per annum on the amounts they paid for the apartment, from the respective dates of payments till March 15, 2025, that is the date they received possession, totaling ₹50.6 lakh.

Builder defended delay citing approvals

The builder argued before MahaRERA that the complainant were aware of the project's construction status when they purchased the flat and had been informed that the possession timeline was subject to statutory approvals and other factors beyond the developer's control.

The builder's lawyers relied on clause 25 of the sale agreement, which allowed an extension of the possession date in cases involving delays in approvals, force majeure events or other unforeseen circumstances.

The builder's lawyer also contended that the homebuyers had accepted possession of the apartment and had not cleared their outstanding dues. Therefore, they were not entitled to seek interest or compensation for the delay in handing over possession.

“That the claim of the complainants for interest up to 15.03.2025 is untenable as the complainants were already in beneficial occupation of the flat,” the property builder's lawyer told MahaRERA authority.

On the homebuyers' allegation that the builder failed to provide common amenities as per the terms of the agreement for sale, MahaRERA held that they had not placed on record any photographs, documents or other evidence to substantiate these claims. In the absence of supporting material, the authority declined to grant relief on this ground.

On July 2, 2026, the homebuyers lost the case in MahaRERA as the authority refused to grant any interest compensation for this possession delay.