Maintenance fee, property taxes for scattered housing units, plots to be applicable from date of possession: MHADA

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In a significant move aimed at alleviating financial pressures on beneficiaries of its housing schemes, the Maharashtra Housing and Area Development Authority (MHADA) has announced a policy reform. Going forward, maintenance charges and property taxes for scattered housing units and plots will be applicable only from the date of possession, rather than from the date of allotment.

This landmark decision is expected to provide much-needed relief to those participating in the MHADA housing lottery, particularly for upcoming housing schemes across the state. Previously, beneficiaries were required to pay maintenance charges and property taxes from the date of allotment, even if possession of the property was delayed. This led to an unfair financial burden as the properties technically remained under MHADA's control until possession was granted.

The new policy ensures that beneficiaries will only incur these charges from the date they take possession of their flats or plots, a move aimed at making the process more equitable and transparent.

During a recent meeting, MHADA Vice-President and Chief Executive Officer (CEO) Sanjeev Jaiswal emphasised that flats and plots remain MHADA's responsibility until possession is granted. "Beneficiaries should not bear any financial burden for delays caused before they take possession. This decision ensures justice and fairness to all beneficiaries," said Jaiswal.

In addition to this reform, MHADA is taking further steps to bring greater transparency to the housing allocation process. The executive engineers of MHADA have been directed to include all pending charges - such as maintenance fees and property taxes - into the sale price of flats and plots during future allocations. This will make pricing clearer for beneficiaries and eliminate the possibility of hidden costs emerging later.

For beneficiaries who have already taken possession but are being charged by their housing societies, MHADA has decided to directly clear these dues with the societies. The cost incurred will be adjusted in future housing schemes, although those who have already paid these charges will not be reimbursed under the new policy.

Outstanding dues from earlier months will also be addressed. MHADA has decided to use cushion funds, such as those set aside for anticipated liabilities or location-based premiums, to settle these outstanding amounts. This ensures that no extra costs are passed on to beneficiaries due to administrative delays.

This decision by MHADA is expected to provide immediate relief to beneficiaries awaiting flats and plots in its housing schemes.