Under-Construction Property and Builder Delays: How NRIs File RERA Complaints From Abroad

You bought an under-construction flat in India, the builder blew past the possession date, and from 8,000 miles away you cannot walk the site, sit in his office, or chase him in person.

Project delays are the most common complaint from NRI investors. Distance makes it worse. You wired the money on a payment plan, the completion date came and went, the builder sends a new "expected" date every quarter, and you have no way to verify whether the project is moving or stalled. The law gives you a real lever, and you can pull it without flying to India. This guide explains what the Real Estate (Regulation and Development) Act 2016 (RERA) entitles you to, how you file from abroad, and what you can recover.

What RERA gives you when the builder is late

Section 18 of the RERA Act 2016 is the section that matters for a delayed flat. It gives you a choice the moment the builder fails to hand over possession by the date in your agreement:

You pick. The builder does not. Section 18 is written as an unqualified right. If he fails to complete or to give possession by the agreed date, the obligation to refund or to pay monthly interest follows. The Supreme Court has held this right to be absolute and unconditional. You do not have to prove fault or negligence. The missed date is enough.

The interest rate is fixed, and it is not trivial

The rate is not whatever the builder wrote into your one-sided agreement. State RERA rules fix it. Across most states the formula is the State Bank of India's highest Marginal Cost of Lending Rate (MCLR) plus 2 percent. Rule 18 of the Maharashtra RERA Rules 2017 states it in those exact terms. The same rate runs both ways: the builder pays you that rate on delay, and you owe the same rate on any default of yours.

SBI's highest MCLR sat at 8.80 percent in mid-2026. That puts the delay interest at 10.80 percent per year, paid for each month the flat is late. On a 1 crore flat that is about 10.8 lakh a year while you wait. That number is what makes a builder settle.

You do not need to be in India, and you do not need a lawyer

Section 31 of the Act lets "any aggrieved person" file a complaint with the state RERA Authority. An NRI allottee is an aggrieved person. Your residence abroad changes nothing about your standing.

Three things make this workable from another country:

You can attend the hearing from your living room

Several state RERAs hear complaints over video. MahaRERA moved hearings to video conferencing under Circular 27/2020 and has kept that route open, with physical hearings only when a bench calls for one. Karnataka's K-RERA portal lets NRIs file online and attend by video conference. This is the part that closes the distance problem. You can argue your own delay case from Dubai or New Jersey without a single flight.

Check your specific state. Video hearings are common but not universal, and the rule varies by authority. If your state does not offer it, this is the one task where your India-based representative earns their fee.

How the process runs, end to end

What this does not fix on its own

RERA gives you the order. Collecting on it is a separate fight. A builder who is out of cash can be late paying even after he loses. The order is enforceable as a decree, and authorities can attach property to recover, but enforcement takes follow-through on the ground in India. This is the gap distance reopens: someone has to keep showing up.

Two checks before you ever reach a complaint:

If you are still in the buying stage, our guide on buying property in India as an NRI covers how to vet the builder and the registration before you commit a rupee.

FAQ

Can an NRI file a RERA complaint from abroad? Yes. Section 31 of the RERA Act lets any aggrieved person file, and an NRI allottee qualifies. You file online on the state RERA portal, upload your agreement and payment proof, and pay a fee of about 1,000 to 5,000 rupees. A lawyer is not mandatory, and you can act through a registered power of attorney holder in India.

What can I do if my builder in India is delaying possession? File a complaint under Section 18 of the RERA Act with your state RERA Authority. Once the builder misses the agreed possession date, you can either exit with a full refund plus interest, or keep the flat and claim interest for every month of delay. The rate is fixed by state rules, usually SBI's highest MCLR plus 2 percent.

How does an NRI claim a refund for a stalled project? Choose the refund option under Section 18 in your RERA complaint. You claim back the full amount you paid the builder, plus interest at the prescribed rate from each payment date. File on the state portal with your booking, agreement, and bank records. The Authority can order the refund, and for added compensation an adjudicating officer decides the amount under Section 71.

Can I attend a RERA hearing online from abroad? In several states, yes. MahaRERA hears complaints by video conferencing under Circular 27/2020, and Karnataka's K-RERA allows online filing and video hearings. Availability varies by state, so confirm with your authority. Where video hearings are not offered, your India-based power of attorney holder or advocate can appear for you in person.

Get someone on the ground while the case runs

A RERA order is only as good as the follow-through behind it. 66 MG Road puts one vetted manager on your property, sends dated photo proof so you see real progress instead of a builder's promise, bills you itemized with no markup games, and routes any rent to your NRO account. We operate in Mumbai, Pune, Bangalore, Hyderabad, Chennai, and Gurgaon. If a builder is dragging his feet, you want eyes on the site and someone who shows up. See what we do or request a proposal.

Saurabh Garg, founder, 66 MG Road

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