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Promoters caught in MahaRERA and coronavirus crisis, possession to be delayed

Comments Off on Promoters caught in MahaRERA and coronavirus crisis, possession to be delayed   |   March 24, 2020    06:58pm   |Contributed by Indian Realty News

Aurangabad: The real estate market is staring at a major crisis with promoters having a tough time in complying with MahaRERA deadline amid the outbreak of COVID-19.

The slowdown in the real estate sector is going to affect the buyers as delays are likely to creep in for the possession of their dream homes. Around 300 ongoing construction projects in the city and outskirts could get delayed by varying time frames as against the stipulated deadlines, CREDAI office-bearers said. The actual number of projects is expected to be more considering the construction activities of non-CREDAI members.

Sunil Bedmutha, secretary of Aurangabad chapter president of Confederation of Real Estate Developers’ Associations of India (CREDAI), said the construction activities were almost stalled due to the current shut down. “The outbreak of COVID-19 was an unforeseen crisis which has caught the builders and promoters off guard. Besides slump in ongoing projects, the fresh booking ..

“The COVID-19 is a natural calamity and therefore any delay in handing over the home to buyers is inevitable. MahaRERA authorities must show a lenient approach towards the promoters,” CREDAI office-bearers said.

Praveen Gunjkar, a buyer who has booked his dream home, was expected to get possession in June. “The builder had assured us that we can shift to our new home by the start of Monsoon. I now fear delayed possession considering the overall set of conditions. Such a delay would hamper my future planning including terminating rent-agreement with landlord and shifting of my child to a new school,” he said.

Meanwhile, the current slump in the real-estate may offer an opportunistic time for buyers to secure the property deals at a relatively lower cost. “The COVID-19 crisis will have an adverse impact on the real estate sector and shortfall of capital is imminent even if the current crisis subsides over a period of next few weeks. The builders and promoters are to be in dire need of money once the shut down is over and could offer concession and attractive schemes for buyers,” Jitendra Limbekar, a real-estate agent said.

Source: ET

News Published Under:   Ahmedabad, Other City, Real Estate India | Comments Off on Promoters caught in MahaRERA and coronavirus crisis, possession to be delayed