RERA Real Estate Regulatory Authority

To protect the interests of property buyers in issues such as property pricing, property quality, property completion on given time, promote transparency and accountability, and increase the investment in the Real Estate Sector Parliament Of India got RERA act into existence by Rajya Sabha on 10th March 2016 and by Lok Sabha, on 15th March 2016, Real Estate Regulatory Authority (RERA) Act became effective from 1st May 2017.

Registration of RERA

The Real Estate Regulatory Authority (RERA) Act made it compulsory for all commercial and residential Real Estate projects if the land is over 500sq meters or Eight apartments to register with the Real Estate Regulatory Authority (RERA) for launching and promoting the project to ensure clarity of project.

For ongoing projects which have not got the completion certificate from the local planning authority from the date of launch of the RERA act, they need to register within 3Months.

The Real Estate agent or company who has got approval from the Real Estate Regulatory Authority (RERA), the project promoter will get a unique registration number and login id, and password for filling up essential details on the website of the Real Estate Regulatory Authority (RERA), if any failure in registration there will be a penalty up to 10 percent of the project cost or 3years of imprisonment.

Real Estate agency, firm, or any individual agent who wants to sell, develop and promote will have to get registered by paying a fee to the Real Estate Regulatory Authority such, firm or agents will be given a single registration number for each state, which should be mentioned by the agent in every sale facilitated by them.

 

How does the RERA act Benefits property buyers 

1) RERA Act helps property buyers by providing increased transparency about the completion of the project and ensure timely handover.

2) The Appellate Tribunals formed by the RERA authority will now settle any cases within 60 days earlier it was 90 days.

3) According to the Real Estate Regulatory act builder will be held responsible for any fault or delay in the construction of the project.

 4) RERA Act prohibits unaccounted money from being invested into the Real Estate sector and only 70% of the money has to be deposited in a bank account through a cheque.

 5) For customers, on buying RERA registered property, the builders have to quote the price based on carpet area and not on the super built-up area. The carpet area has been clearly mentioned in the RERA act.

 

Real Estate regulatory authority and appellate tribunal 

It helps to establish state-level Real Estate Regulatory Authorities (RERA) to manage transactions associated with both Residential and Commercial projects and make sure there is timely completion of the project and handed over to clients.

Appellate tribunals should settle the case within 60 days (the earlier provision was 90days) and Regulatory Authorities to dispose of complaints in 60days. ( earlier no time frame was given)

Disclaimer: The views expressed above are for informational purposes only based on industry reports and related news stories. Avenue Nest does not guarantee the accuracy, completeness, or reliability of the information and shall not be held responsible for any action taken based on the published information.