The Real Estate Regulatory Act (RERA Act), implementing from May 1, 2017 will mark the start of transparent real estate between the homebuyers and builders. There is a lot about the act that needs to be known, and this section has the necessary information about the Real Estate Regulatory Act & Regulations, provided through the RERA Real Estate Act FAQ.
According to the experts, implementation of the RERA Real Estate Act will bring in transparency in the real estate sector, and homebuyers will no longer have to feel worried about their investments. Similarly, the builders will now be made more responsible since they’ll have to meet the construction deadlines as well as the quality.
Objective of RERA are:
The RERA Act has most benefits for homebuyers in various parts of the country.
Some of the benefits include:With the bill being passed and the consumers being assured with transparency, this will revive the faith in builder irrespective of the fact if they are new or old as consolidate data about builders will be made available to the buyers now. This will shoot up the sales as consumers will be ready to invest in the real-estate market. Also, the builders do not lose much on the RERA’s decision to sell flats etc. according the carpet space.
Here are more clear benefits of the RERA Act for the builders-The RERA act will benefit both the homebuyers and the builders, creating transparency between the two parties. This kind of transparency yields to more confidence and the number of buyers and investors would increase. Also, because RERA primarily focuses on the affordable housing scheme the number of buyers of affordable houses would definitely increase; thus affecting the real estate industry in a positive manner.
Benefits also include -
Yes, every project has to be registered under RERA which under the criteria. Not doing so will lead to penalties and punishments.
Land size exceeding 500 sq mtrs and more than 8 units will fall under the criteria of the RERA Act, and must be registered under it.
Before registering your property under the RERA Act it is essential to know the requirements. Here are some listed for you-
Brief detail of enterprise.
There are many compliance requirements which have to be compiled by the promoter for registering the project under the RERA Act. The builder is required to accumulate all the property data and papers before getting the property registered under RERA.
Yes, there will be fees which will be prescribed in state rules and builders can get their properties registered only after paying the fees.
As per the act, the project should be registered within 3 months from the date of applicability. Builders must make sure to not delay the registration process or they might be penalized for doing it late.
Customer shall be liable to pay interest, at a rate prescribed for any delay in payment towards any amount or charges to be paid.
Rs.10, 000/- per day up to maximum of 5% of the unit sold or purchase by him.
Rs.10, 000/- per day up to maximum of 5% of the unit sold or purchase by him.