Homebuyers have questioned the decision to advise state Real Estate Regulatory Authorities (RERAs) to grant a four-month extension to the completion timelines for housing projects due on or after February 28, citing supply chain disruptions arising from the ongoing West Asia crisis.
They argued that while developers have been given regulatory relief, thousands of homebuyers who have been waiting years for possession continue to receive no comparable protection or support.
Union Housing and Urban Affairs Ministry on July 31 issued an advisory asking all state Real Estate Regulatory Authorities (RERAs) to grant a four-month extension in the registration and completion timelines of eligible real estate projects affected by disruptions arising from the ongoing conflict in West Asia.
Homebuyers’ group, Forum For People’s Collective Efforts, said. that “while the Ministry has stepped in to provide developers with a four-month extension, homebuyers who have been waiting years for possession continue to be left to pursue their remedies on their own. There has been no comparable relief or blanket directive to protect the interests of buyers,.”
“The most disturbing aspect of this advisory is the precedent it sets. There is no war-like situation within India, yet a conflict taking place elsewhere in the world is being treated as force majeure for granting a blanket extension to real estate projects. This is particularly difficult to justify when no actual shortage of any key input required by the industry has been demonstrated—not even petroleum products, which would ordinarily be among the commodities most affected by such a conflict,” it said.
“If this interpretation is accepted, builders may cite every future international conflict as a ground for delaying projects. What is being granted today as a four-month relief may become a ready precedent for repeated extensions tomorrow,” said Abhay Upadhyay, president of the Forum For People’s Collective Efforts (FPCE).
‘While fixing timelines, developers are expected to keep a reasonable cushion for possible supply-chain issues’
The FPCE statement noted that the project completion date is set by the builder himself, and builders are now declaring timelines of more than five years to complete projects.
“While fixing such lengthy timelines, they are expected to keep a reasonable cushion for commercial risks, temporary disruptions and possible supply-chain issues. It is therefore strange that only the real estate sector is seeking blanket protection, while no other industry appears to be claiming that its delivery commitments cannot be honoured because of the West Asia situation,” the statement said.
It noted that it is “even more concerning is the complete absence of similar concern for homebuyers. There has never been any blanket advisory directing builders to comply with Section 18 of RERA and pay monthly interest to homebuyers whose money remains blocked for years because of delayed projects. Relief for builders is considered immediately, but the statutory rights of homebuyers are left to be individually fought for before different authorities and courts,” it said.
It observed that this is the second time, after COVID, that the Ministry has issued a blanket advisory for the benefit of builders. Although the advisory refers to Sections 6 and 7(3) of RERA, it does not explain under which provision the Ministry itself is empowered to advise all State RERA Authorities to grant such a blanket extension.
“Whenever we have raised issues concerning homebuyers, we have been told that such matters fall within the jurisdiction of the respective State Authorities. Unfortunately, the Ministry appears ready to come to the rescue of builders even for a delay of four months, while homebuyers waiting for possession for several years are left in the lurch to fend for themselves,” the statement added.
MoHUA directs RERA to extend registration and completion timelines of eligible projects by four months
The ministry of housing and urban affairs has issued an advisory asking all state Real Estate Regulatory Authorities (RERAs) to extend the registration and completion timelines of eligible projects affected by disruptions arising from the ongoing conflict in West Asia, by four months. The advisory covers all registered real estate projects whose original, revised or extended completion date falls on or after February 28, 2026, offering developers relief from penalties for delays arising from circumstances beyond their control.
To expedite implementation and reduce procedural delays, the Ministry has also recommended that State RERAs issue a single order granting the extension rather than requiring separate applications for individual projects.
The move has been welcomed by both developers’ bodies, CREDAI and NAREDCO, which said the relief would help developers navigate supply chain disruptions while ensuring projects are completed in an orderly manner.
In an advisory issued on July 31, the Ministry said the prevailing situation in West Asia has disrupted global supply chains, leading to shortages of construction materials and affecting the timely execution of real estate projects.
