How NEET UG counselling works
NEET is only the qualifying and ranking exam. Your actual MBBS/BDS seat is decided in counselling, where you register, pay a fee, fill and lock a preference list of colleges, and are then allotted a seat based on your All India Rank, category and quota. Counselling runs in multiple rounds — Round 1, Round 2, a Mop-up round and a Stray Vacancy round for MCC, with parallel rounds in each state.
15% of seats in government colleges (and 100% of seats in central institutions, AIIMS, JIPMER, AFMC, ESIC, BHU, AMU and all deemed universities) are filled by MCC through the All India Quota. The remaining 85% of government seats plus private college seats in each state are filled by that state's counselling authority under the state quota, usually for domicile candidates only.