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Source: Hindustan Times MahaRERA update: New guidelines issued to ensure homebuyers are compensated within 60 days by the developers | Real Estate News
MahaRERA has said that the Standard Operating Procedure(SOP) has been announced to ensure the strict implementation of the Bombay HC’s orders and also to provide relief to homebuyers.
Updated on: Nov 25, 2025 9:51 AM IST
MahaRERA update: A Standard Operating Procedure (SOP) to expedite the recovery of compensation from developers in a time-bound manner. (Mehul R Thakkar/HT)
The Maharashtra Real Estate Regulatory Authority (MahaRERA) announced on November 22 that it has developed a Standard Operating Procedure (SOP) to facilitate quicker compensation for homebuyers from developers.
This compensation is for various failures by the developers. The SOP aims to make sure that developers follow the orders of the Bombay High Court and provide relief to homebuyers. MahaRERA expects homebuyers to receive their compensation within 60 days from the date of the order.
For the first time, cases will go to the Principal Civil Court if developers do not pay the compensation, even after being given enough chances. If this happens, the builder may face up to three months in jail. This new rule should help recover compensation and provide timely relief to homebuyers.
MahaRERA stated that when homebuyers cannot resolve issues with their builders, they often turn to MahaRERA for help. Common complaints include not getting possession of their apartment on time, poor construction quality, lack of parking, and missing amenities.
MahaRERA’s designated Adjudicating Officers review these complaints and may order compensation based on the details of each case.
Homebuyers to report to MahaRERA
If a homebuyer is not compensated within 60 days, they must file a non-compliance application to recover the amount owed, including any interest or compensation for delayed possession, according to MahaRERA.
MahaRERA will review the application within four weeks. If it finds that the developer has not complied, the developer will be given time to address the issue. If they still fail to comply, they may need to submit an affidavit outlining their assets, bank accounts, and investments.
A recovery warrant will be issued and sent to the collector
A Recovery Warrant will be issued to the District Collector to seize assets and bank accounts for compensation recovery, according to MahaRERA.
If the developer does not disclose their properties and accounts, the case will go to the Principal Civil Court. Defaulting developers may face up to three months in prison under the Code of Civil Procedure.
Legal experts have provided their insights on the new Standard Operating Procedure (SOP)
Legal experts view the new Standard Operating Procedure (SOP) as a positive step but note its limitations. Advocate Sunil M. Kewalramani explained, “The MahaRERA circular aims to create a structured execution framework, but its vague timelines may prolong disposal times for execution applications compared to previous timelines.” He added, “The true impact will depend on effective implementation by MahaRERA.” Trupti Daphtary, a Mumbai solicitor, pointed out that the MahaRERA recovery warrant portal lacks real-time updates and essential tracking features. “Execution of orders remains a major challenge, and stricter timelines with fewer adjournments are crucial for allottees,” she stated.
