Govt May Repeal MOFA: What It Means for Homebuyers and Housing Societies in Maharashtra

Ajjay Bhagyakar
Nov 4
2 min read

Author: Ajjay Bhagyakar Published by: Griha Realty Source: X (formerly Twitter)

The Maharashtra government is reportedly considering repealing the Maharashtra Ownership Flats Act (MOFA), 1963 — a landmark law that has long protected the rights of flat buyers and housing societies. Experts warn that this move could significantly impact thousands of homeowners across Mumbai and the Mumbai Metropolitan Region (MMR).

What Is Govt May Repeal MOFA?

MOFA — enacted in 1963 — is a key legislation that protects flat buyers and housing societies in Maharashtra.

The law ensures:

Transparency: Builders must provide correct project details like layout, plan, amenities, and possession dates.
Ownership Rights: Builders are legally required to hand over a conveyance deed, transferring the land’s ownership to the housing society.
Deemed Conveyance: If a builder fails to provide conveyance, societies can obtain ownership through a legal process called deemed conveyance.

This mechanism has empowered thousands of societies to claim ownership of their land, even when builders failed to cooperate.

What Is the Government Planning?

The Maharashtra government is mulling over repealing MOFA, arguing that its functions have largely been covered under the Real Estate (Regulation and Development) Act (RERA), 2016.

According to officials and real estate bodies like CREDAI-MCHI, maintaining two overlapping laws — MOFA and RERA — creates confusion. They advocate for a single, unified real estate framework under RERA to simplify compliance for developers.

Why Experts Are Concerned

Despite the government’s rationale, experts and housing associations are raising red flags. They believe scrapping MOFA could:

Weaken the rights of flat owners and housing societies.
Complicate the deemed conveyance process, making it harder for societies to obtain ownership of land.
Tilt the balance in favor of builders, reducing consumer protection under a more developer-friendly RERA regime.

Housing activists argue that MOFA gives societies a strong legal foundation to claim their rights — something RERA doesn’t fully replace.

The Likely Impact on Real Estate

✅ Positive (for Developers):

A single law under RERA would streamline processes and reduce legal duplication.
Compliance would become easier and faster, boosting the ease of doing business.

❌ Negative (for Buyers & Societies):

Societies may face delays or difficulties in obtaining land conveyance.
Builders may retain greater control over project land and related decisions.
Society formation and land transfer could become more complex and prolonged.

In Simple Words

If the government repeals MOFA, it will make life easier for developers, but could create new challenges for flat owners and housing societies — especially in Mumbai and MMR, where thousands of societies are still awaiting deemed conveyance.

While RERA brings transparency and accountability, MOFA remains crucial for safeguarding ownership rights at the local level. The final decision will determine how fairly the balance of power is maintained between developers and homebuyers in Maharashtra’s real estate landscape. ( Govt May Repeal MOFA )