HSVP E-Auction Payment Plan, Defaults and Refunds Explained

Winning an HSVP (formerly HUDA) e-auction is only the start. The money you commit – and what you can get back if things change – is governed by detailed payment, default and refund terms. HSVP revised these in 2025, including stricter consequences for bidders who default. This guide sets out the money trail under the 2025 terms. Always confirm the figures in the brochure for your specific auction.

Before the auction: fee and EMD

If you pay the EMD by bank transfer, enter your account details carefully – refunds go back to the account on record.

If you do not win: EMD refund

• EMDs of unsuccessful bidders (everyone except the highest bidder, H1) are refunded automatically within 3 days of the auction closing, under the 2025 terms.
• If a property is withdrawn because too few EMDs were received, deposits are refunded within 3 days of the scheduled auction date.
• The Rs 1,000 e-service fee is not refunded.
• No interest is paid on refunded deposits.

If you win: the payment schedule

1. 10% of the bid (including the EMD) within 1 to 4 working days of the final bid day, depending on the bid value – one working day for bids up to Rs 50 lakh and four for bids of Rs 5 crore or more.
2. Letter of Intent (LOI) after HSVP accepts the bid and verifies documents. HSVP generally decides on acceptance within 30 days.
3. A further 15% within 30 days of LOI dispatch, taking the total to 25%.
4. The remaining 75%, according to the property category (below).

Balance 75%: options by category

Late instalments attract penal interest of 3% under the 2025 terms. The allotment letter is issued after full payment, or after 25% where the instalment route is chosen.

What happens if you default

HSVP's 2025 terms tightened the rules for defaulters (for plots cancelled after 19 September 2025):

• Not paying the first 10%: the EMD is forfeited.
• Cancelled plots are re-auctioned within 60 days of cancellation.
• If the re-auction fetches a higher price and the new bidder pays in full: the original bidder gets back the amount paid excluding the EMD, with 8% simple interest.
• If the re-auction fetches a lower price: HSVP may deduct the full EMD plus 10% of the original bid or the difference between the two bids, whichever is lower, and refund the rest without interest.

Separately, for breach of allotment conditions HSVP can resume the property and refund the balance after forfeiting 10% of the total cost, plus interest and dues.

Surrendering a plot after allotment

Surrender is allowed only online and HSVP may reject a request. If accepted, a share of the amount is forfeited depending on how long you have held the allotment:

Refunds are due within 30 days of approval; late refunds carry interest at the prevailing SBI MCLR under the 2025 terms. Appeals against HSVP decisions go to the Additional Chief Secretary (Town and Country Planning) within 30 days.

Practical tips

• Arrange the 10% before you bid – the deadline is days, not weeks.
• If you need a loan, start the process early; the 75% deadline does not wait for loan sanction.
• Save every challan, receipt and portal confirmation.
• Budget beyond the bid: stamp duty and registration on the conveyance deed, building plan fees and construction – see stamp duty and registration.
• Before reselling later, check outstanding dues and get an HSVP no-dues or non-encumbrance certificate – see our NEC guide – and know the rules on enhancement dues.

Frequently asked questions

How long does HSVP take to refund the EMD if I lose the auction?

Under HSVP's 2025 e-auction terms, EMDs of unsuccessful bidders are refunded automatically within 3 days of the auction closing, to the account on record.

What happens if I win but cannot pay the 10%?

Your EMD is forfeited. Under the 2025 terms, bidders who fail to pay the minimum 10% are not eligible for the re-auction refund mechanism.

Can I pay the balance in instalments for a residential HSVP plot?

Under the 2025 terms, residential and architectural-control commercial sites pay the 75% balance as a lump sum within 120 days of LOI. Instalments apply to independent commercial and institutional sites.

How much is deducted if I surrender an HSVP plot?

Under the 2025 terms, 15% within one year of allotment, 25% after one to two years, 35% after two to three years and 50% after three years. HSVP may reject surrender requests.

How NStay Homes can help

NStay Homes can help you model the cash flow of an HSVP auction purchase – EMD, the 10% and 15% payments, the balance and post-allotment costs – before you bid, and check nearby resale values so your ceiling price is realistic. All payments are made by you directly to HSVP. Speak to NStay Homes advisor Naresh Shekhawat on 911 911 9605.