Homebuyers get windfall after 10-year wait: Haryana RERA orders Gurugram-based builder to pay interest of 10.80%
Homebuyers get windfall after 10-year wait: Haryana RERA orders Gurugram-based builder to pay interest of 10.80%
Synopsis
The order dated April 7 of HRERA was in favour of two allottees who had filed a complaint against M/s KNS Infracon Pvt Ltd (the group company) and its associate developer in the Capital Gateway project. Each of them had booked a flat measuring 2,675 sq ft for over Rs 1.8 crore.
You save money for years and book a flat that you want to build that long dreamed of ‘dream house’ but are struck with the realization yet again that having your own house is still such a distant realisation. Why? Due to the builder elongating their delay day after day.
This is the story of a few buyers who had booked their flats in Capital Gateway housing project in Gurugram Sector 111, one of those delayed projects. Some homebuyers of the project even demonstrated at the project site in December 2022, demanding that the Haryana Real Estate Regulatory Authority (HRERA) conduct a review of approvals, schedule hearings on fixed dates and strictly enforce provisions.
Two homebuyers, who have been waiting for more than 10 years to get possession of their unit after finalising the booking by paying Rs 1.8 crore, got some relief from the Haryana Real Estate Regulatory Authority (HRERA), with orders to the builder to pay them 10.8% interest per annum for delay in handing over possession.
In an order dated April 7,HRERA held in favour of two allottees who had filed a complaint against M/s KNS Infracon Pvt Ltd and its associate developer in the Capital Gateway project. The duo had booked a 2,675 sq ft flat each and shelling out over Rs 1.8 crore. But the builder increased the super area of booked flat owned by complainant, ‘unilaterally and without any authority’ resulting in payment of Rs14,40,809 more from him.
According to the buyers, in their complaint they mentioned that they “came to know about the fact that the respondents have no intention to deliver the project and were dragging its feet by indulging into delaying and dilatory tactics unfairly with a view to fleece(ing) the complainant knowing fully well not caring for completing the project in time span promised.”
Pursuant to the builder buyer agreement dated 11th February, 2015, it was agreed that the project would be completed within a period of 36 months from the date of sanction of the building plans of teh said residential project. According to the complaint, the delivery of possession was due on June 7, 2015.
HRERA said in its order that the respondents (builders) did not file a reply or even appear before it despite having been served notices. The authority, on the basis of the material before it, concluded that developer had committed breach of Section 11(4)(a) of Rera Act which mandates promoters to complete projects timely and handing over possession.
The Haryana Real Estate Regulatory Authority (HRERA) has ordered the Capital Gateway housing project to be completed.
Haryana RERA has also ordered the builder to pay interest per month on the amount paid by the complainants till possession date at regulated rate of 10.80 % p.a., with effect from due date of possession (June 7, 2015) till offer of possession plus 2 months or physical delivery of possession whichever is earlier.
According to the regulatory body, the current marginal cost of lending rate (MCLR) on SBI website as on June 7,2026, is 8.80 percent. Consequently, the chargeable interest rate shall be Marginal Cost of Lending Rate +2% i.e. 10.80 %
The order also directed the developer to clear the dues within 90 days, issue a revised statement of account and refrain from charging any fee not provided for in the buyer’s agreement. The HRERA has also directed the developer to pay Rs 50,000 to the complainants as litigation expenses.
Frequently Asked Questions
How do I check land records online?
Most states publish land records online where you can verify ownership and dues. Our land records guide shows how.
What stamp duty and registration charges apply in Gurgaon?
Stamp duty and registration vary by state and are usually a few percent of the property value, with a small rebate for women buyers in many states. Confirm the current Gurgaon rate before you budget.
How much home loan can I get to buy in Gurgaon?
Most buyers get a loan for 75-90% of the value, tied to income and credit score. Our home loan by salary guide shows the ranges.
What documents do I need to buy property in Gurgaon?
Identity and address proof, PAN, income papers for a loan, and the property title chain, approvals and latest tax receipts. Keep both sides KYC ready for registration.
How do I check if a project is RERA-registered?
Search the state RERA portal by project or builder name for the registration number and approved plan. Our RERA check guide explains it.
Can NRIs buy property in Gurgaon?
Yes, NRIs can buy residential and commercial property in India, though not farm land. Payments must come through banking channels, and a trusted power of attorney helps if you are abroad.
What taxes apply when I sell property in Gurgaon?
You pay capital gains tax on the profit, lower if you hold beyond the long-term period, with reliefs if you reinvest in another home. Take advice before you sell.
Is it a good time to buy in Gurgaon?
Timing matters less than buying the right property at a fair price with clean papers. If a home fits your budget and needs, waiting for a perfect market rarely pays.
How do I verify a property title in Gurgaon?
Check the chain of ownership, the latest record, any loan or lien and pending dues, and match the seller identity to the title. A local lawyer can vet the deed.
What should I check during a site visit in Gurgaon?
Construction quality, water and power backup, the neighbourhood, road access, and how the actual unit compares to the brochure. Visit at different times of day if you can.
Can I negotiate the price in Gurgaon?
Resale and ready inventory are usually negotiable, while fresh launches have fixed rates but may waive some charges. Compare recent deals nearby to judge a fair price.
What is the difference between carpet area and super area?
Carpet area is the usable space inside your walls; super area adds a share of common areas. Always confirm the carpet area you actually get before comparing prices.
What extra costs come beyond the price in Gurgaon?
Budget for stamp duty and registration, GST on under-construction homes, parking, club and maintenance deposits, and loan fees. Ask for a full cost sheet upfront.
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Should I buy ready-to-move or under-construction in Gurgaon?
Ready homes have no wait, no GST and no build risk but cost more; under-construction is cheaper with a longer wait. Choose by your timeline and risk appetite.
How do I book a property in Gurgaon?
Shortlist, visit, check the papers and RERA, then pay the booking amount and sign the agreement. Read the payment plan and cancellation terms before you commit.
