Possession isn’t the finish line: Why homebuyers must treat handover day like a financial audit
Before possession, developers remain exposed to delay penalties and regulatory pressure. Once possession documents are signed, that urgency frequently diminishes, and the burden of follow-ups, repairs, and unfinished work can begin to fall on homeowners.
- Feb 22, 2026,
- Updated Feb 22, 2026 1:06 PM IST
A possession letter in the property market is often seen as the final milestone — the long-awaited moment when a homebuyer finally “gets the keys.” But according to chartered accountant and financial commentator Nithin Kaushik, that celebratory perception may overlook a critical financial turning point, especially in fast-growing real estate hubs like Gurugram.
In a detailed social media thread that has resonated with homebuyers and property watchers, Kaushik argued that possession is less a finish line and more a shift in leverage — one where financial responsibility quietly begins moving from the builder to the buyer.
Possession vs Livability
“The popular narrative is comforting: ‘Possession offered = project delivered,’” he wrote on X (formally twitter), cautioning that reality is far more layered. From a legal standpoint, possession is often treated as a milestone of transfer, even when the project may still lack full readiness for comfortable living.
This distinction, Kaushik stressed, is not merely semantic but financial. Before possession, developers remain exposed to delay penalties and regulatory pressure. Once possession documents are signed, that urgency frequently diminishes, and the burden of follow-ups, repairs, and unfinished work can begin to fall on homeowners.
Subtle shift in financial risk
Kaushik described possession day as the moment when “contractual math” changes:
- Delay leverage weakens for buyers.
- Maintenance charges may begin regardless of project completion.
- Defects risk being reclassified from “delivery obligations” to routine service issues.
Terminology such as “minor works,” “routine fixes,” or “defect liability period (DLP) items,” he noted, can reshape how accountability is framed — often reducing the buyer’s ability to demand timely completion.
Due diligence, not celebration
Instead of treating possession as a ceremonial handover, Kaushik advised buyers to approach it with the rigor of an investment audit. Signing quickly, he warned, can defer — not eliminate — costs.
Among the checks he recommended:
- Plumbing and Water Systems: Running multiple water points simultaneously, inspecting under-sink areas, and testing drainage can help detect faults that later translate into recurring repair bills.
- Seepage and Structural Moisture: Fresh paint patches, damp odours, salt deposits, or hollow tiles may signal underlying waterproofing issues — problems that can evolve into expensive renovations.
- Power Backup Reality vs Promise: Buyers should verify what infrastructure actually operates during outages, including lifts, lighting, and voltage stability, rather than relying solely on brochure claims.
- Condition of Common Areas: Incomplete shared infrastructure — lifts, staircases, fire safety systems, or access control — can affect not just daily convenience but also long-term resale value and maintenance costs.
Fine print that shapes future cash flow
Kaushik highlighted documentation as one of the most overlooked risk zones. Clauses declaring a unit “inspected and satisfactory,” limiting future claims, or initiating maintenance charges from the offer date can carry lasting financial implications if signed without detailed verification.
“If a clause can increase future expense or reduce future claims, it deserves time, not speed,” he advised.
The discussion comes amid sustained demand in India’s urban housing corridors, where buyers often face tight timelines and emotional pressure to close transactions quickly after years of waiting.
Kaushik’s core message reframes possession not as a symbolic handover, but as a decisive financial checkpoint — one that determines control, accountability, and long-term cost exposure.
For buyers nearing this stage, he suggested separating sentiment from scrutiny. A structured inspection, he said, is less about caution and more about protecting the capital tied to what is often the largest investment of a lifetime.
“Possession isn’t about keys,” he wrote. “It’s about understanding the shift in leverage — and protecting the balance sheet behind the home.”
A possession letter in the property market is often seen as the final milestone — the long-awaited moment when a homebuyer finally “gets the keys.” But according to chartered accountant and financial commentator Nithin Kaushik, that celebratory perception may overlook a critical financial turning point, especially in fast-growing real estate hubs like Gurugram.
In a detailed social media thread that has resonated with homebuyers and property watchers, Kaushik argued that possession is less a finish line and more a shift in leverage — one where financial responsibility quietly begins moving from the builder to the buyer.
Possession vs Livability
“The popular narrative is comforting: ‘Possession offered = project delivered,’” he wrote on X (formally twitter), cautioning that reality is far more layered. From a legal standpoint, possession is often treated as a milestone of transfer, even when the project may still lack full readiness for comfortable living.
This distinction, Kaushik stressed, is not merely semantic but financial. Before possession, developers remain exposed to delay penalties and regulatory pressure. Once possession documents are signed, that urgency frequently diminishes, and the burden of follow-ups, repairs, and unfinished work can begin to fall on homeowners.
Subtle shift in financial risk
Kaushik described possession day as the moment when “contractual math” changes:
- Delay leverage weakens for buyers.
- Maintenance charges may begin regardless of project completion.
- Defects risk being reclassified from “delivery obligations” to routine service issues.
Terminology such as “minor works,” “routine fixes,” or “defect liability period (DLP) items,” he noted, can reshape how accountability is framed — often reducing the buyer’s ability to demand timely completion.
Due diligence, not celebration
Instead of treating possession as a ceremonial handover, Kaushik advised buyers to approach it with the rigor of an investment audit. Signing quickly, he warned, can defer — not eliminate — costs.
Among the checks he recommended:
- Plumbing and Water Systems: Running multiple water points simultaneously, inspecting under-sink areas, and testing drainage can help detect faults that later translate into recurring repair bills.
- Seepage and Structural Moisture: Fresh paint patches, damp odours, salt deposits, or hollow tiles may signal underlying waterproofing issues — problems that can evolve into expensive renovations.
- Power Backup Reality vs Promise: Buyers should verify what infrastructure actually operates during outages, including lifts, lighting, and voltage stability, rather than relying solely on brochure claims.
- Condition of Common Areas: Incomplete shared infrastructure — lifts, staircases, fire safety systems, or access control — can affect not just daily convenience but also long-term resale value and maintenance costs.
Fine print that shapes future cash flow
Kaushik highlighted documentation as one of the most overlooked risk zones. Clauses declaring a unit “inspected and satisfactory,” limiting future claims, or initiating maintenance charges from the offer date can carry lasting financial implications if signed without detailed verification.
“If a clause can increase future expense or reduce future claims, it deserves time, not speed,” he advised.
The discussion comes amid sustained demand in India’s urban housing corridors, where buyers often face tight timelines and emotional pressure to close transactions quickly after years of waiting.
Kaushik’s core message reframes possession not as a symbolic handover, but as a decisive financial checkpoint — one that determines control, accountability, and long-term cost exposure.
For buyers nearing this stage, he suggested separating sentiment from scrutiny. A structured inspection, he said, is less about caution and more about protecting the capital tied to what is often the largest investment of a lifetime.
“Possession isn’t about keys,” he wrote. “It’s about understanding the shift in leverage — and protecting the balance sheet behind the home.”