What happens to my money if a developer fails or the project is cancelled?

Your payments sit in a project-specific escrow account, ring-fenced from the developer's creditors and released only against verified construction milestones. If RERA cancels a project, it freezes the escrow and refunds buyers from those funds, reportedly within 60 days minus approved deductions. Alternatively RERA may appoint a replacement developer to finish the build using the escrow balance.