Builder Not Giving Possession of Your Flat? How to File a RERA Complaint in India and Claim Refund, Interest or Compensation

Date: 03-11-2026

If a builder has missed the possession date in your agreement, the Real Estate (Regulation and Development) Act, 2016 (RERA) gives you two choices: take the flat late and receive interest for every month of delay, or withdraw and get a refund with interest. You can file a complaint with your State's RERA Authority online, for a modest fee, and the Supreme Court has called the refund right under Section 18 an indefeasible one. This article explains how to check your position, send a notice, choose the forum, file the complaint and enforce the order.

Step 1: Check three facts before you do anything

• Is the project RERA-registered? Most projects with more than 500 square metres of land or more than eight apartments must register under Section 3, and projects without a completion certificate when RERA began also had to register. Look up the registration number on your State RERA website.
• What possession date did the builder promise? Read the agreement for sale. The date promised in the agreement, with any extension allowed under the Act, is the date that counts. Builder-buyer agreements that leave possession open-ended are not safe for the builder: in Pioneer Urban Land and Infrastructure Ltd. v. Govindan Raghavan (AIR 2019 SC 1779, decided 2 April 2019), the Supreme Court upheld the National Commission's view that one-sided clauses do not bind the buyer, held that a buyer cannot be made to wait indefinitely for a flat, and upheld a refund of the full amount with interest.
• Have you paid your own dues? Under Section 19(6) and (7), an allottee must make payments on time, and pays interest on his own delays at the same rate the promoter pays. A buyer who is in default weakens the complaint, so keep your payment receipts and demand letters ready.

Step 2: Know your rights under RERA

The interest rate is set by each State's rules. In Maharashtra and many other States it is the State Bank of India's highest marginal cost of lending rate plus 2%, and it overrides a lower rate in the agreement. Confirm the rule for your State before you calculate your claim.

Step 3: Send a legal notice

A notice is not required for a RERA complaint, but it is worth sending. It records your demand, gives the builder a last chance to settle, and shows the Authority that you acted reasonably. State the project, the unit, the agreement date, the possession date promised, the amounts you paid, and whether you want possession with delay interest or a refund. Give 15 days to reply and send it by speed post and email to the registered office and the address on the RERA registration.

Step 4: Choose the right forum

A homebuyer in India has more than one remedy, and the law lets you choose.

• State RERA Authority (Section 31). The usual choice for a refund, delay interest or possession. It is a specialist forum with a statutory target of deciding a complaint within 60 days of admission (Section 29(4)), though real timelines vary by State.
• Adjudicating Officer (Section 71). Decides compensation, and interest on that compensation, under Sections 12, 14, 18 and 19.
• Consumer Commission. In Imperia Structures Ltd. v. Anil Patni (Civil Appeal Nos. 3581 to 3590 of 2020, decided by Justices U.U. Lalit and Vineet Saran), the Supreme Court held that RERA does not bar a homebuyer from approaching the consumer forum. Section 79 bars only civil courts, and Section 88 states that RERA is in addition to other laws. A buyer can therefore choose between the two. Do not run two proceedings for the same relief.
• Insolvency (IBC). Homebuyers are treated as financial creditors, but an application needs a minimum number of allottees of the same project (at least 100 or 10% of the allottees, whichever is less). This is a collective remedy, not an individual one.

Which authority decides what. In Newtech Promoters and Developers Pvt. Ltd. v. State of Uttar Pradesh (11 November 2021, Justices U.U. Lalit, Ajay Rastogi and Aniruddha Bose; LL 2021 SC 641), the Supreme Court held that the Regulatory Authority has exclusive jurisdiction over refunds, interest on refunds and delay interest, while the Adjudicating Officer decides compensation. Relying on Imperia Structures, the Court described the Section 18(1) refund as an indefeasible right of the allottee, exercisable on demand when the promoter fails to give possession as agreed. This is why a refund claim is usually filed before the Authority, and a separate compensation claim before the Adjudicating Officer.

Step 5: File the RERA complaint

• Register on the State RERA portal. For Maharashtra this is the MahaRERA portal. Create a login and choose the complaint form: a refund, interest or possession claim goes to the Authority under Section 31, and a compensation claim goes to the Adjudicating Officer under Section 71. Forms differ by State, so use the one the portal prescribes.
• Pay the fee. MahaRERA charges ₹5,000 for a complaint to the Authority and ₹5,000 for one to the Adjudicating Officer. Other States charge different amounts, often ₹1,000 for the Authority. Check the current figure on your portal.
• State the reliefs clearly. Choose possession with delay interest, or refund with interest, and add compensation only if you can show a specific loss such as rent paid, bank interest or a lost alternative purchase.
• Upload the documents. Allotment letter, agreement for sale, payment receipts and bank statements, demand letters, the promised and actual status of the project, correspondence with the builder, your notice and the builder's reply, your identity proof and the project's RERA registration number.
• Save the complaint number. You will use it for hearing notices and for tracking the case.

You may appear yourself or through an advocate. If you are one of several buyers in the same project, an association of allottees can also file, since Section 31 lets any aggrieved person complain.

Step 6: Conciliation, hearing and the order

Before a contested hearing, some Authorities offer conciliation. MahaRERA has a voluntary Conciliation Forum, and a settlement recorded there is enforceable. If there is no settlement, the Authority issues notice to the builder, hears both sides, often by video conference, and passes an order. The builder usually raises three defences: force majeure (Section 6 allows an extension only for events such as war, flood, drought, fire, cyclone or earthquake, and the builder must prove the event delayed the project), your own default, and a clause in the agreement. Answer each with documents: a dated chronology, a table of payments and the progress certificates the builder itself filed with RERA. In deciding compensation, Section 72 directs the Adjudicating Officer to weigh the amount of unfair gain, the loss caused and the repetitive nature of the default.

Step 7: Enforce the order and meet the builder's appeal

Recovery. If the builder does not pay, Section 40(1) lets the Authority recover the amount as arrears of land revenue. You apply for a recovery certificate and the Collector can attach and sell the builder's property. Non-compliance also attracts penalties under Sections 63 and 64.

Appeal. The builder may appeal to the Real Estate Appellate Tribunal under Section 43. To appeal an order that requires him to pay you, the promoter must first deposit the total amount ordered, including interest and compensation (Section 43(5)). This protects buyers from appeals filed only to delay payment.

High Court. A further appeal lies to the High Court on a substantial question of law (Section 58).

Limitation and timing

RERA does not set a specific limitation period for a Section 18 complaint, and the position can depend on the facts. Act promptly. As a precaution, file within three years from the date possession was due, or from the builder's last breach or refusal, and keep every acknowledgement and part-payment record. An advocate should confirm the position in your State before you rely on a late filing.

Which remedy fits your situation

Practical checklist

• Check the RERA registration and the possession date in your agreement.
• Collect every payment receipt and communication, and total your payments.
• Do not stop paying instalments that are due, and keep proof of what you pay.
• Send a notice with a 15-day deadline.
• Decide whether you want possession with interest or a refund. Do not mix the two reliefs.
• File on your State RERA portal and save the complaint number.
• Prepare a chronology and a table of payments and interest for the hearing.
• After an order, apply for recovery promptly if the builder does not pay.

This article is general information on Indian law, not legal advice for a particular case. Rules, fees, forms and interest rates differ by State and change, so confirm them on your State RERA portal and have your documents reviewed by an advocate before you act.

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Date: 03-11-2026

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