SRA Flats in Mumbai: Full Guide to Buying, Selling & Eligibility

Mumbai's dream of becoming slum-free is slowly turning into reality through the Slum Rehabilitation Authority (SRA). Established in 1995 under the Slum Rehabilitation Act, SRA has become a beacon of hope for millions living in Mumbai's slums. With the new Maharashtra Housing Policy 2025 placing renewed focus on slum rehabilitation, understanding SRA flats has never been more important.

What Are SRA Flats?

SRA flats are affordable housing units built under the government's slum rehabilitation scheme. The concept is simple yet brilliant - use slum land to build permanent homes for slum dwellers while generating revenue from the remaining land through open market sales.

The SRA scheme works on cross-subsidization, where developers get additional Floor Space Index (FSI) to build units for open market sale. This revenue helps fund the free housing provided to eligible slum dwellers, creating a win-win situation for everyone involved.

Types of SRA Flats Available

Rehabilitation Units for Slum Dwellers

These are free housing units given to eligible slum residents after they surrender their existing homes. Once construction is complete, residents become part of a registered cooperative society. The flat size typically ranges from 225 to 300 square feet, providing basic amenities and pucca construction.

Free Sale Component Units

These units are sold by developers in the open market through regular sale agreements. Prices for these units are generally 20-30% lower than regular market rates, making them attractive to middle-income buyers. A typical 1BHK SRA flat in areas like Malad or Goregaon costs around ₹35-40 lakh.

Mumbai's Journey Towards Becoming Slum-Free

According to NITI Aayog's comprehensive report 'Developing Mumbai Metropolitan Region as an Economic Growth Hub, 2030', the Mumbai Metropolitan Region houses approximately 22 lakh slum dwellers who need rehabilitation.

Prime Location Slums (10-11 Lakh Units)

About 40-50% of slums are located in financially attractive areas with real estate prices above ₹30,000 per square foot. These include areas like Bandra, Santacruz, and Andheri. Private developers find these projects viable, and letters of intent for 4-5 lakh households have already been issued.

Challenging Location Slums (11 Lakh Units)

The remaining slums require government support through viability gap funding. Agencies like MMRDA, CIDCO, and MSRDC will partner with housing departments to develop these projects in areas like Vasai, Virar, and outer Mumbai.

Who Can Get SRA Benefits?

Key Eligibility Criteria:

• Only slums established before January 1, 2011, are eligible for rehabilitation
• Residents must have valid proof of residence in the slum
• Photo pass from the local municipal corporation is mandatory
• Family should not own any other property in Mumbai

SRA's Role and Responsibilities

The SRA acts as a single-window clearance authority, handling:

• Formation of cooperative societies for rehabilitated residents
• Certification of slum dweller eligibility
• Survey and measurement of slum lands
• Granting building permissions and approvals
• Leasing rehabilitation and free-sale plots
• Updating property cards (PR cards) for residents
• Taking action against non-cooperating residents who obstruct schemes

Game-Changing Features in Maharashtra Housing Policy 2025

The new housing policy "Majhe Ghar, Majha Adhikar" launched on May 20, 2025, introduces several revolutionary changes:

Central Government Land Utilization

The policy allows joint ventures between central government and SRA to use central government land for slum rehabilitation. This significantly expands available land for projects and ensures faster implementation.

CSR Fund Integration

Corporate Social Responsibility funds can now be used for slum rehabilitation projects. This opens up billions of rupees in additional funding, with the ₹20,000 crore MahaWas Niwas Nidhi fund specifically allocated for creating slum-free cities.

Cluster Redevelopment Approach

Instead of piecemeal development, the new policy promotes cluster redevelopment - rehabilitating multiple slums in a single ward through integrated planning. This creates better infrastructure and more livable communities.

Common Area Inclusion

Developers now get FSI benefits for common areas like parking, staircases, lifts, and lobbies. This incentive makes projects more financially viable and encourages better quality construction.

New Mandatory Safeguards for Slum Dwellers

IT-Based Transparency System

All SRA projects must use IT tools for beneficiary identification, project status tracking, and fund management. This ensures transparency and prevents corruption in the rehabilitation process.

Compulsory Legal Agreements

Developers and slum dwellers must sign registered agreements with minimum stamp duty to protect legal rights. This prevents exploitation and ensures proper documentation.

Stalled Project Revival

For projects showing no progress, the policy allows selection of new developers through transparent bidding. Currently, over 225 stalled SRA projects in MMR will benefit from this provision through partnerships with BMC, MHADA, CIDCO, and other agencies.

Can You Buy and Sell SRA Flats?

For Open Market Buyers:

Anyone can purchase SRA flats sold in the open market without restrictions. These transactions follow standard property purchase procedures with proper sale deeds and registrations.

For Slum Dweller Recipients:

Several conditions apply when selling rehabilitation units:

Key Selling Conditions:

• 3-year lock-in period after receiving the flat
• Buyer must have Maharashtra domicile certificate
• Buyer should not own any other property in Mumbai
• Buyer must belong to EWS, LIG, or MIG category
• SRA NOC required before sale
• Sale deed registration with ₹1 lakh stamp duty
• Power of attorney transfers are illegal
• Companies cannot buy or sell SRA flats
• Both buyer and seller cannot participate in future SRA projects

Essential Documents for SRA Flat Transactions

Required Documents:

• SRA approval letter and NOC
• Electricity and water bills
• Original sale deed and title deed
• All property-related documents
• Bank release certificate (if applicable)
• Housing society NOC
• Occupancy certificate
• Cooperative society share certificate
• PAN and Aadhaar cards of both parties

Investment Potential and Market Outlook

SRA flats present unique investment opportunities, especially in Mumbai's expensive real estate market. With prices typically 20-30% below market rates, these properties offer excellent value for money.

Price Examples:

• 1BHK in Malad/Goregaon: ₹35-40 lakh
• 1BHK in Andheri/Santacruz: ₹50-60 lakh
• 2BHK in outer suburbs: ₹45-55 lakh

The new housing policy's focus on quality construction, better amenities, and cluster development approach means future SRA projects will offer even better value propositions.

Future of SRA Development

With the Maharashtra government's renewed commitment through the 2025 housing policy, SRA development is set to accelerate. The integration of technology, private sector participation through CSR funds, and streamlined approval processes will make rehabilitation faster and more efficient.

The cluster redevelopment approach will create mini-townships with better infrastructure, while the inclusion of common areas in FSI calculations will encourage developers to build higher-quality projects with better amenities.

Conclusion

SRA flats represent Mumbai's most significant effort to provide dignified housing to its most vulnerable residents while creating affordable housing options for the middle class. The new Maharashtra Housing Policy 2025 has addressed many previous challenges and introduced innovative solutions that promise to accelerate the city's journey toward becoming slum-free.

Whether you're a slum dweller hoping for rehabilitation or a middle-class buyer looking for affordable housing, understanding SRA schemes is crucial. With proper documentation, legal compliance, and awareness of your rights, SRA flats can provide the security of homeownership in one of India's most expensive real estate markets.

The transformation of Mumbai's slums into modern housing societies is not just about providing shelter - it's about restoring dignity, creating opportunities, and building a more inclusive city for all.

Frequently Asked Questions

What is the minimum size of an SRA flat?
SRA rehabilitation flats typically range from 225 to 300 square feet with basic amenities and pucca construction.

Can NRIs buy SRA flats?
No, buyers must have a Maharashtra domicile certificate and cannot include NRIs or foreign nationals.

Is there any maintenance charge for SRA flats?
Yes, like regular housing societies, SRA flats have monthly maintenance charges ranging from ₹500-1,500 depending on amenities.

Can I get a home loan for SRA flats?
Yes, most banks provide home loans for SRA flats sold in the open market with proper documentation.

What happens if an SRA project gets delayed?
Under the new policy, stalled projects can be transferred to new developers through transparent bidding or government agencies.

Are SRA flats eligible for redevelopment?
Yes, old SRA buildings can undergo cluster redevelopment under the new housing policy guidelines.

Can I rent out my SRA flat?
Yes, both rehabilitation and free-sale SRA flats can be rented out after completing legal formalities.

What is the registration cost for SRA flats?
Registration involves ₹1 lakh stamp duty plus registration charges of 1% of the property value.