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Can homebuyers claim a brokerage refund after cancelling a flat booking? MahaRERA explains
MahaRERA update: The Maharashtra real estate regulator has dismissed a complaint filed by two homebuyers seeking refund of brokerage paid for booking two flats
The Maharashtra Real Estate Regulatory Authority (MahaRERA) while hearing a complaint about the refund of brokerage upon booking cancellation, stated that the claim might not be maintainable under the Real Estate (Regulation and Development) Act, 2016, unless homebuyers are able to provide clear documentary proof and establish the real estate agent's project-specific liability.
The case
In an order passed recently, MahaRERA dismissed a complaint filed by two homebuyers who sought a refund of brokerage amounts allegedly paid while booking two apartments in Mumbai. The homebuyers had purchased two apartments in the same project. However, they later cancelled one of the units due to financial difficulties.
"While refunding the consideration amount, the developer informed them that brokerage had been paid to the broker toward the sale of the said flats. They alleged that the broker, being an employee of a firm misrepresented facts and fraudulently increased the commission component in the total consideration, thereby causing wrongful loss of Rs. 5,04,613 for the first flat and ₹2,13,039 for the second flat," homebuyers informed MahaRERA.
The homebuyers further maintained that they were never informed that the broker was an employee of a brokerage firm and were kept under the impression that the broker was working with the developer as a sales executive.
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"The complainants further stated that they were never informed that broker was acting as a real estate agent or that commission charges would be payable. They also stated that they were not informed that the quoted consideration included commission payable by the developer to the broker," the homebuyers further told MahaRERA.
Developer's defence
According to the developer, the homebuyers had already executed a registered cancellation deed and accepted the refund amount in 2024. The developer also argued that the complaint was filed after a delay of over one year and that the complainants ceased to be 'allottees' after cancelling the booking.
What did the MahaRERA say?
According to MahaRERA, although the complainants referred to certain invoices allegedly raised by the said real estate agent for brokerage amounts, they failed to upload copies of these invoices or any supporting documentary proof to the MahaRERA record.
"Hence, in the absence of any cogent documentary proof, the alleged claim regarding brokerage payments cannot be verified in this complaint seeking reliefs under the RERA," the MahaRERA said in its order dated April 23, 2026.
"It is also an admitted fact that the registration certificate of the said real estate agent has lapsed. However, mere lapse of such registration does not automatically make the relief sought by the homebuyers for refund maintainable," the MahaRERA said in its order.
"For granting such relief, the complainants were required to show that the said agent was registered agent of the said project and that the alleged amounts were collected by the said agent in capacity of an authorised agent of the said project registered by the promoter. Hence, in the absence of such valid proofs, no liability can be fixed under the RERA against the said agent in the said project registered by the promoter," the order said.
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The MahaRERA concluded that the present complaint was not maintainable under the provisions of the RERA. Accordingly, the authority dismissed the case on the grounds of maintainability.
