Cancelling Your Flat Booking in Maharashtra? MahaRERA Clarifies How Much Developers Can Deduct
Mumbai, August 28, 2026: Planning to cancel a flat booking? A recent MahaRERA ruling has clarified an important point for homebuyers — the cancellation deduction can differ from the authority’s model terms, but only when the developer has clearly disclosed those changes to buyers.
The ruling came in a Pune project dispute involving buyers who booked a flat worth ₹95 lakh and later sought cancellation before signing the Agreement for Sale.
How Much Can a Developer Deduct?
MahaRERA’s Order No. 60 of 2024 provides the following deductions under its model allotment letter:
- Within 15 days: No deduction
- 16 to 30 days: 1% deduction
- 31 to 60 days: 1.5% deduction
However, developers can prescribe different terms if the changes are clearly disclosed in the project’s deviation sheet and made available to the homebuyer.
MahaRERA Allows 1% Deduction in ₹95 Lakh Case
In the Pune case, the developer's deviation report specified a 1% deduction for cancellation within 15 days and 2% between 16 and 30 days.
MahaRERA determined that the buyers had communicated their cancellation within 15 days. Therefore, the developer was permitted to deduct 1% of the flat's consideration, or around ₹95,008, instead of the 2% it had sought to retain.
The authority directed the developer to refund the remaining amount within 30 days.
What Is a Deviation Sheet?
A deviation sheet records the clauses in a developer's allotment letter that differ from MahaRERA's model allotment letter.
For homebuyers, this document can be crucial before paying a booking amount because it can reveal project-specific cancellation charges and other modified conditions.
Important Protection for Homebuyers
MahaRERA has made it clear that a developer cannot simply impose a higher cancellation charge later.
If the developer has disclosed a specific deduction in the deviation sheet, it can rely on that disclosed term. But it cannot subsequently demand a higher deduction than the amount stated in the disclosed terms.
What Homebuyers Should Check Before Booking
Before paying a booking amount, buyers should carefully check:
- The project's MahaRERA registration details
- The allotment letter
- The deviation sheet
- Cancellation and refund clauses
- The Agreement for Sale
- The exact timeline for cancellation
Grihik Takeaway: A booking amount is not a small formality. Before committing money to a property, buyers should check the project's cancellation terms and deviation sheet. These documents can determine how much money you actually get back if you later decide to cancel.