Mumbai Proposes MOFA Amendment Ensuring Deemed Conveyance Rights For Post RERA Housing Projects

In a move aimed at protecting homeowners and cooperative housing societies, the Maharashtra government is preparing to amend the Maharashtra Ownership of Flats Act (MOFA), 1963, to simplify and expedite the conveyance process for newer housing projects registered under the Real Estate (Regulation and Development) Act (RERA).

The amendment, currently under review by the state’s law and judiciary department, seeks to ensure that buildings constructed after 2016 are entitled to “deemed conveyance”  a provision that guarantees societies legal ownership of their land even if developers delay formal transfer.Currently, societies built after RERA came into effect are not covered by the deemed conveyance clause, leaving thousands of residents without legal land titles despite having full occupancy. The proposed amendment would bridge this legal gap, empowering new societies to claim ownership and pursue redevelopment independently  a key issue in Mumbai’s ageing but rapidly transforming urban housing landscape.

A senior housing department official explained that RERA lacks a clause requiring developers to hand over conveyance within three months of obtaining an occupation certificate, a protection that exists under MOFA. “The amendment will restore accountability. Developers often avoid conveyance to retain control, but societies deserve legal clarity and autonomy,” the official said.The government has resisted demands from the builder community to repeal MOFA, maintaining that the Act remains a crucial safeguard for buyers. Officials clarified that since RERA is a central Act and cannot be amended at the state level, integrating the deemed conveyance clause within MOFA is the most effective route.Housing experts have welcomed the proposal, calling it a long-pending reform. A former state housing secretary noted that the lack of a conveyance mechanism under RERA had left a policy vacuum. “Bringing RERA-registered projects within the MOFA framework is essential. It will benefit homeowners across India, not just Maharashtra,” the official added.

Real estate analysts said the amendment would enhance housing governance and reduce disputes between developers and societies. Once enacted, the policy could serve as a national model for other states, ensuring equitable ownership and transparency in India’s post-RERA housing market.For Mumbai’s densely built neighbourhoods  where redevelopment is often stalled by ownership ambiguities  the change could also accelerate the city’s renewal efforts, ensuring a more inclusive and sustainable urban housing ecosystem.

Mumbai Proposes MOFA Amendment Ensuring Deemed Conveyance Rights For Post RERA Housing Projects