R.I.P. interest subvention scheme

The tripartite agreement between the housing finance company (HFC), the developer and the buyer is loaded against the buyer

Imagine this scenario:  You want to buy a dream flat in an under-construction project. It promises everything you need, but you are worried that the developer will not hand over the project within the guaranteed tenure of two years. No problem. The salesperson from the developer’s office gives you a win-win proposal. You pay 20 per cent now, and XYZ Home Finance will provide a loan for the balance amount. The developer will pay the interest on the loan till the construction is completed, and after two years, you start paying the regular equated monthly instalment on the loan. All