Notes on Inequality #33.
No EMI Till Possession? Think Again.
A word of caution for homebuyers. “ No EMI till possession” may sound attractive, but what if possession is delayed beyond the promised date? The buyer could then face both rent and EMI, creating severe financial stress.
RERA requires 70% of collections to be kept in a separate account for land and construction, helping prevent diversion of project funds. But does this fully protect buyers from the financial impact of delays?
Could India consider a stronger buyer-protection mechanism, perhaps along the lines of Dubai, where significant project funds remain protected in escrow and prolonged delivery delays can attract compensation to buyers?
Financial protection should be accessible to all, not just those who can afford it. A home is a dream – it should never become a source of financial distress.
Photo : Sasun Bughadaryan
