In a move that will provide relief to homebuyers, the Maharashtra Housing and Area Development Authority (MHADA) has proposed capping additional charges levied by private builders on MHADA lottery winners at Rs 5 lakh.
The move is aimed at curbing the arbitrary fees that have burdened many homebuyers in the past.
Anil Wankhade, Deputy Chief Executive Officer of MHADA, confirmed that private builders will no longer be allowed to demand more than Rs 5 lakh for society charges and other expenses.
“We received numerous complaints from homebuyers about builders demanding Rs 7–8 lakh under various pretexts. They also include charges of taxes. To address these grievances, MHADA has sent a proposal to the state government to limit these charges to Rs 5 lakh and give a list of charges that a builder can impose. A decision is expected soon,” Wankhade said.
Under various government housing schemes, MHADA receives a certain number of flats in projects developed by private builders.
While MHADA determines the cost of these flats and includes them in its lotteries, builders often impose additional, undefined charges for society formation, electricity connections, and other facilities.
MHADA has also made a provision wherein the information about available flats in a private project should be made at time of issuance of commencement certificate (CC) so that lottery can be called and the said beneficiaries may have time for payment of charges unlike now when the flat is included in lottery only after issuance of occupancy certificate, added the official.
