Gurugram Homebuyer Gets RERA Relief After Builder Loses Project Registration

Any homebuyer who paid Rs 14.5 lakh towards a flat in Gurugram has secured relief from the Haryana Real Estate Regulatory Authority (RERA) after the developer failed to make progress on the project and then lost its registration due to this. The authority has directed the builder to refund the entire amount paid by the buyer, with interest levied at 10.80 per cent per annum. The case highlights the protection available to homebuyers under the Real Estate (Regulation and Development) Act, 2016. This is important when a developer is not able to complete a registered project or loses its registration.

As per the case details shared in a report by The Economic Times, the buyer, who is based in Allahabad, has booked a 642-square-foot residential unit. The unit is located in the Dhanwapur Village area near Gurugram. The total consideration for the flat was nearly Rs 26 lakh. The buyer first paid Rs 1,28,470 to the developers, following which the company acknowledged the payment and allotted him a unit. He subsequently made further payments, which revealed that he paid nearly half of the property’s total consideration. The allotment letter was issued to the buyer in December 2021.

However, the buyer was not clearly updated about any clear information about the project’s progress or the expected possession date. The buyer repeatedly contacted the developer; however, he did not receive any response. When he visited the project site, he found out that the construction had stalled.

As per his complaint, the developer continued to seek instalments for the unit that is nowhere near completion. The buyer declined to make the payments and sought a refund of the money he paid. The developer delayed the repayment, stating unavoidable circumstances and asked the buyer to wait. As the matter remained unresolved, the homebuyer approached Haryana RERA with expectations to seek relief.

What Was The Verdict By Haryana RERA?

HRERA then directed the developer to return the entire amount of Rs 14.5 lakh paid by the buyer, along with interest calculated at 10.80 per cent annually from the date of each payment until the amount is recovered. The housing regulatory body has given the developer 90 days to comply with the order. Failure to do so could lead to legal consequences.