MHADA Offers 120 Flats in Mumbai Under First-Come-First-Served Scheme

The latest MHADA update has brought fresh opportunities for homebuyers in Mumbai, as the Maharashtra Housing and Area Development Authority announced the sale of 120 flats across multiple locations in the city under a first-come-first-served (FCFS) model. This move marks an important development in Mumbai’s housing ecosystem, especially for buyers who missed out on previous lottery schemes or were waiting for immediate allotment options.

In this MHADA update, apartments located in both suburban and South Mumbai areas are being offered at varying price points, making the scheme relevant for a wide range of income groups. With the application process scheduled to begin in early February 2026, the announcement has generated considerable interest among aspiring homeowners and investors alike.

Understanding the FCFS Model in the MHADA Update

The FCFS system introduced in this MHADA update differs significantly from the traditional lottery-based allotment method. Under the lottery system, applicants are selected randomly, whereas the FCFS model prioritises applicants who complete the process earlier than others. This approach allows buyers to secure flats more quickly, provided they meet the eligibility criteria and complete payments within the stipulated timeframe.

Many of the flats included in this MHADA update were previously offered through lottery schemes but remained unsold due to factors such as location preferences, pricing concerns, or market conditions. By reintroducing these units through the FCFS route, MHADA aims to accelerate the absorption of existing housing stock and improve access to homeownership.

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Locations and Price Range of Flats

One of the most significant aspects of this MHADA update is the geographical spread of available flats. Units are located in diverse parts of Mumbai, including Kandivali, Malad, Powai, Andheri, Ghatkopar, Vikhroli, Mankhurd, Wadala, Sion, Byculla, Lower Parel, Tardeo, Juhu, Antop Hill, Charkop, and Shimpoli.

The price range reflects Mumbai’s varied real estate landscape. The most affordable flats are priced at around ₹38 lakh, while premium units in South Mumbai command prices exceeding ₹8 crore. This wide spectrum ensures that the MHADA update caters to multiple buyer segments, from budget-conscious households to high-net-worth individuals seeking prime locations.

Application Process and Key Dates

According to the MHADA update, the registration process for interested applicants will begin on February 5, 2026. The subsequent stages, including submission of applications, payment of security deposits, and selection of flats, are scheduled to start from February 12, 2026.

Applicants must follow a structured process:

• Register on the official MHADA portal.
• Pay the required security deposit and application fee.
• Access the flat selection interface and choose an available unit.
• Pay 10 per cent of the flat’s sale price within 48 hours of selection.

Failure to complete the payment within the prescribed timeline will result in automatic cancellation of the allotment and forfeiture of the security deposit, as specified in the MHADA update.

Eligibility Criteria and Required Documents

The MHADA update outlines clear eligibility conditions for applicants. Individuals must be at least 18 years old and hold Indian citizenship at the time of application. Documentation requirements vary based on marital status.

Unmarried applicants must submit Aadhaar and PAN cards, while married applicants must provide documents for both spouses. Divorced applicants are required to submit certified copies of court judgments or appeal documents, with possession granted only after final legal confirmation.

These measures, highlighted in the MHADA update, aim to ensure transparency and compliance throughout the allotment process.

Payment Terms and Refund Policy

The payment framework forms a crucial part of the MHADA update. After selecting a flat, buyers must deposit 10 per cent of the sale price within 48 hours. Once the payment is received, MHADA issues a provisional offer letter detailing the next steps for completing the transaction.

If an applicant cancels the booking after the issuance of the offer letter or fails to complete the remaining payment within the stipulated period, a deduction of 1 per cent of the flat’s sale price will apply. The remaining amount will be refunded without interest, in accordance with the MHADA update guidelines.

Home Loan Process and Final Allotment

For buyers planning to finance their purchase through housing loans, the MHADA update requires submission of a pre-sanctioned loan letter from a financial institution. Following this, MHADA issues a No Objection Certificate (NOC) in favour of the lending bank. Upon full payment of the flat price and applicable stamp duty, the authority issues allotment and possession letters.

This structured approach under the MHADA update ensures coordination between buyers, banks, and the housing authority, reducing procedural delays and uncertainties.

Upcoming Supply of Affordable Homes in Mumbai

Beyond the current MHADA update, the authority is expected to launch approximately 5,000 additional housing units in Mumbai over the next two to three months. A significant portion of these homes is likely to be located in the Goregaon area, catering to economically weaker sections, lower-income groups, middle-income groups, and high-income buyers.

This upcoming supply could further influence market dynamics and strengthen the availability of affordable housing in Mumbai.

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Impact of the MHADA Update on Mumbai’s Real Estate Market

The latest MHADA update is expected to have a multifaceted impact on Mumbai’s real estate sector. For first-time buyers, the FCFS scheme offers a rare opportunity to secure homes without relying on lottery outcomes. For developers and market participants, the initiative signals the government’s intent to improve housing accessibility and accelerate inventory absorption.

From a broader perspective, the MHADA update could contribute to stabilising demand in certain micro-markets while enhancing buyer confidence in public housing schemes.

Conclusion

The MHADA update announcing 120 flats under the FCFS scheme marks a significant moment for Mumbai’s housing market. By combining immediate availability with transparent processes, the initiative offers practical opportunities for aspiring homeowners. However, buyers must carefully evaluate location, pricing, and financial commitments before proceeding.

As Mumbai continues to face challenges related to affordability and housing supply, such initiatives highlighted in the MHADA update could play a crucial role in bridging the gap between demand and availability, ultimately shaping the city’s evolving real estate landscape.