Possession Delayed? Your Rights Under RERA Section 18 — Refund or Monthly Interest
Delayed possession is the most common complaint before every RERA authority. Section 18 of the Act gives buyers two clear choices.
Option 1 — Withdraw and get your money back
If the promoter fails to complete the project or hand over possession by the date in the agreement for sale, you may withdraw from the project. The promoter must then return the amount received, with interest at the rate prescribed by the state rules, plus compensation as provided in the Act.
Option 2 — Stay in the project and get interest
If you do not want to withdraw, the promoter must pay you interest for every month of delay until possession is handed over, at the same prescribed rate.
What you need to file
- The registered agreement for sale showing the promised date
- Payment receipts and bank statements
- Any demand letters or delay notices from the builder
- The project's RERA registration number
Where to file
Complaints go to the state RERA authority (and compensation claims to its adjudicating officer). Most states accept online complaints on their portal. Check the builder's existing complaint count on Real Estate Checker first — if many buyers have already filed, joining or referencing those cases can help.
Q: Does an extension granted to the builder cancel my right to interest?
A: An extension of registration lets the project stay registered; it does not automatically change the possession date in your agreement. Take advice from an advocate on your specific agreement.