Maharashtra Proposes Hike in Housing Society Registration Fees and New Co-op Rules

Pune: The Maharashtra government has proposed a major overhaul of cooperative housing society regulations, which includes doubling the registration fees and granting legal recognition to online meetings. These proposed amendments are part of the Maharashtra Cooperative Societies Draft Rules, 2025, released on April 15. Citizens have been given time until May 15 to provide feedback before the rules are finalized.

Under the new draft rules, registration fees for housing societies will rise from Rs 2,500 to Rs 5,000. Additionally, the proposed rules introduce a formal framework for conducting online general body meetings with provisions for virtual participation and voting — a shift shaped by post-pandemic digital adaptation.

Other key reforms include:

Standardized Maintenance Charges: Uniform service charges per unit will be mandated, ending the controversial practice of basing charges on carpet area.

Reduced Interest on Delayed Payments: The maximum interest rate on overdue maintenance dues will drop from 21% to 12% per annum, easing the burden on defaulters.

Clear Rules on Succession and Membership: Property transfers through registered family settlement deeds will now be permitted, reducing legal disputes. Nominee admission processes will also be streamlined for succession after a member’s death.

Name Reservation Process: A defined procedure for society name reservation under Rule 106C-2 will replace existing vague practices.

Financial Restructuring: Societies will now need to maintain multiple funds — including reserve, sinking, and welfare funds — and follow new financial governance standards.

Redevelopment and Borrowing: Societies may now borrow up to ten times the value of their land (previously capped at ten times their own funds), subject to valuation. Developer selection for redevelopment must be video recorded with at least 51% member attendance.

“This is a significant move towards transparency and standardization,” said Deepak Taware, State Cooperation Department Commissioner. He emphasized that the changes are intended to help all housing societies function more efficiently and inclusively.

Sharad Patekar, expert director at the Maharashtra State Cooperative Housing Federation, added, “This reflects a consultative approach in law-making and addresses the real needs of housing societies.”