Homebuyers in Maharashtra have recently received a major relief thanks to a key clarification from the Maharashtra Real Estate Regulatory Authority (MahaRERA). For years, many builders have been issuing conditional Occupation Certificates (OCs) and using them to claim that a project is complete. Buyers were often pressured to take possession even though basic civic requirements were not fully met.
MahaRERA has now made it clear: a conditional OC does not mean the project is fully complete, and builders must fulfil every condition mentioned in the certificate before handing over possession. If they fail to comply, they may have to pay interest or compensation to homebuyers.
If you want to verify project details or compliance history, you can check the official MahaRERA portal here:
https://maharera.maharashtra.gov.in/
What Is a Conditional OC?
An Occupation Certificate is issued by the municipal authority when a building is ready for people to move in. However, sometimes the certificate is issued with pending conditions — for example:
– incomplete water supply approvals
– pending sewage or drainage clearance
– incomplete fire safety compliance
– unfinished amenities or open spaces
Builders have often treated this conditional OC as equivalent to a final OC. But the recent MahaRERA ruling states otherwise.
What Did MahaRERA Clarify?
MahaRERA clearly stated that:
– A conditional OC is not a final OC.
– Builders cannot hand over possession until all conditions in the OC are fulfilled.
– If a developer fails to meet the conditions, they may be liable for delay interest or compensation under Section 18 of RERA.
– Homebuyers have the right to challenge possession offers made on the basis of a conditional OC.
Why Does This Matter for Homebuyers?
With this ruling:
– Buyers can legally refuse possession if only a conditional OC is issued.
– Homebuyers can demand all OC conditions be fulfilled before paying the final instalments.
– If there is a delay due to pending compliance, buyers can claim interest for delay.
– Builders cannot mislead buyers with incomplete documents.
What It Means for Builders?
Developers must:
– Close all municipal and civic compliance requirements.
– Obtain a final, unconditional OC before offering possession.
– Avoid issuing misleading possession letters.
– Maintain transparency with homebuyers.
If you wish to know more about such conditions and other relevant information, click here.