Homebuyers alert! Amrapali impact: Home stuck due to builder? Then know this
The process of righting the wrongs imposed on helpless homebuyers held hostage by builders leading to stuck projects may be over.
In a major landmark judgment favouring aggrieved homebuyers, the Supreme Court canceled the registration of all companies of Amrapali Group under state RERA. This is indeed a remarkable judgment and will hopefully set a badly-needed precedent for righting the wrongs imposed on helpless homebuyers held hostage by stuck projects. This remarkable move will have a far-reaching positive impact on the Indian housing market. Several homebuyers will now get significant relief as they now have an assurance that their homes will be delivered, and also will not have to bear the extra burden of the pending statutory dues. With NBCC given the charge to complete all the projects in question, buyers are being shown real light at the end of a long, dark tunnel.
Speaking on the development Anuj Puri, Chairman - ANAROCK Property Consultants said, "MMR and NCR are the two major regions where maximum units with significantly high values have been delayed since their launch in 2013 or before. As many as 4,10,000 units across these two regions are grappling with some deployment issue or the other over the years, resulting in delayed possession. The collective approximate value of highly-delayed units in MMR and NCR is a whopping Rs 3,60,000 crore. Hyderabad has seen the least project delays during the period, with around 8,900 units worth Rs 5,500 crores."
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Expecting big relief to the homebuyers Rakesh Yadav, CMD, Antriksh India Group said, "The Supreme Court crackdown on Amrapali would be a huge relief for the homebuyers, who have been waiting for long to have their dream home possession. In fact, the stuck projects need some address and the Apex Court has done the same. Now, other real estate developers have got an indication that changing of name or continuing operations through subsidiary won't work. One must deliver his or her projects otherwise the institutions are ready to take action against the developer."
Eliminating weak links in the value chain ultimately paves the way for financially sound and ethical developers to flourish. This, the latest of many recent developments do not come a moment too soon for a real estate market where stuck/stalled projects have become rampant. As per ANAROCK research, residential real estate launched in or before 2013 that are stuck in various stages of (non) completion is collectively worth a whopping Rs 4,64,300 crore for a total of 5,75,900 units that are yet to be delivered to their respective homebuyers. These 5,75,900 units have been stuck since 2013 or before.