Hello Everyone! Meet RERA (Real Estate Regulation Act). Born on 1st of May 2017, its a brain child of Government of India to address the string of difficulties that comes in one’s way while buying real estate or post purchase. A home buyer’s woes have gone unheard for quite some time, but not anymore! RERA, is a regulatory body specially crafted by the parliament, Union Ministry of Housing, and Urban Poverty Alleviation for the customers and hence, looks forwards to resolve the disputes between them and the developer. RERA has gained tremendous popularity amongst the despaired buyers as it promises to upkeep transparency in the world of real estate.
You might think, what do you even have to do with some regulation act in real estate? You might even think, it’s just a sham to favour the promoter or the builder. But, no! Issues such as prices, delays, quality of construction, etc., are now taken care under the act. So, if you come face to face with poor construction quality and delayed delivery or if you know someone who’s a victim of such harassment, let them know about the revolution that is called RERA. Within a period of 30 days, the developer would have to rectify the issues regarding construction quality and provision of services, raised by the buyers in front of the regulator. Wait! There’s more.
RERA ensures that money allocated to one project is not diverted to another. Special courts are being set up to resolve disputes between the developer and buyer within 120 days. Also the home buyers must have come across disagreements regarding the promised designs of the apartments or heard of someone going through such kind of painstaking process. Not anymore! The developers are now not allowed to alter the designs without buyers’ consent, and the carpet area will carry a uniform definition.
In fact, the guidelines make registration of the developers under the regulatory body, mandatory. And that means, they can’t invite, advertise, sell, offer, market or book any plot, apartment, house, building, and invest in projects, without a registration number provided by the authority. Post registration, the developers will have to disclose details of their financial statements, legal title deed and other critical documents.
What if a developer fails to deliver the project within the agreed deadline as per the contract? Well, there’s a good news here too. The entire money, yes the whole amount, invested by the buyer along with the pre-agreed interest would have to be returned. If the buyer chooses not to take the money back, the developer will have to pay monthly interest on each delayed month to the buyer until delivery. What would strike you as a wave of excitement is that according to the experts, price hikes of property are unlikely to happen as the cost is not related to RERA. So, if a promoter tries to manipulate you with the notion of price hikes due to the new guidelines, then just slam the concept of ‘demand and supply’, right on his table!
The year of 2017, brings an end to all the unjust procedures. Bid farewell to distress caused by delays, fly by night developers, frustration due to unsatisfactory project delivery and agony resulted by unfair means in the world of real estate.
Witness the rebirth of real estate 2.0 powered by RERA.