|Definition||:||Real Estate Regulatory Act, 2016|
|Category||:||Governmental » Law & Legal|
The Real Estate Act requires that the state and central governments notify their rules within six months of each other’s rules. These rules must be based on the central Act’s model rules.
Table of Contents [hide]
Indian parliament passed the Real Estate (Regulation and Development) Act, 2016. The RERA is intended to protect homebuyers’ interests and increase real estate investment. The Rajya Sabha approved the RERA bill on March 10th 2016, but the Lok Sabha gave its approval on March 15th 2016. The act then came into force from May 1, 2016. While 59 sections of the act were notified on May 1, 2016, all remaining provisions entered effect on May 1, 2017.
The Act requires state governments to notify their rules under the Act based on the model rules set out under the central Act.
Home buyers have complained for years that real estate transactions are lopsided and favor the developers. RERA and the model code of the government aim to make it easier for buyers and sellers to buy properties in the primary market. RERA is expected to make real estate buying easier by providing greater accountability and transparency. However, states must not alter the central act’s spirit and provisions. RERA will be India’s first regulator. The Real Estate Act makes it mandatory for each state and union territory, to form its own regulator and frame the rules that will govern the functioning of the regulator.
|Territorial union/state||Notification status|
|Arunachal Pradesh||Notified (Website still to be launched).|
|Assam||Notified (Website still to be launched).|
|Kerala||Notified (Website launched).|
|Manipur||Be notified soon|
|Meghalaya||Be notified soon|
|Mizoram||Be notified soon|
|Nagaland||Be notified soon|
|Sikkim||Be notified soon|
|Tripura||Notification (Website still to be launched).|
|West Bengal||Notified under HIRA|
|Lakshadweep||Notified (Website still to be launched).|
|Puducherry||Notified (Website still to be launched).|
|Territorial union/state||As of December 2020, registered projects||Register agents|
|Tamil Nadu||736 (only 2020)||500+|
|Andaman and Nicobar Island||–||–|
|Dadra and Nagar Haveli- Daman and Diu||96||2|
|Delhi (National Capital Territory of Delhi).||18||70|
These are some of the most important compliances:
This Act’s most positive feature is its unified legal framework for buying flats, apartments, etc. and aims to standardise practice throughout the country. Here are some key highlights:
Establishment of the regulatory body:Long felt was the absence of a regulator in the realty sector (like the Securities Exchange Board of India to regulate capital markets). Each state and every union territory are now empowered to establish a Real Estate Regulatory Authority. Its duties include protecting the interests of stakeholders, creating grievance redressal systems and accumulating data in a designated repository. The authority is required to resolve applications within 60 days. This time limit can be extended if there is a valid reason. The Real Estate Appellate Authority will be the proper forum for appeals.
Registration is compulsoryThe central act requires that every real estate project, regardless of its size or number of apartments, must be registered with the RERA in the state it is located. The Act also requires that existing projects, where the occupancy or completion certificate (CC), has not been issued yet, must be registered. Promoters must provide information about the project when applying for registration. Land status, details about the promoter, approvals and schedule of completion are all required information. The project can only be promoted once registration has been completed and all other construction approvals have been obtained.
Reserve:Funds from one project were invariably diverted to finance new projects. This was the main reason for delays in projects. Promoters are required to keep 70% of project receivables in a separate reserve account. This is to prevent this from happening. This account cannot be used for land or construction expenses. Professionals will need to verify the certification.
Promoters making continuous disclosuresThe Act was implemented.Buyers will have the ability to track the progress of the project.On the RERA website, promoters will need to submit periodic updates to the regulator about the progress of their project.
DescriptionThe promoter must now make a positive warranty regarding his right title and interest in the land. This can be used against the home buyer later, should any title defects be found. They are also required to get insurance against title and construction, which will be paid to the allottee on execution of the agreement to sell.
Standardization of the sale agreementThe Act requires that a standard sale agreement be made between homebuyers and promoters. Promotors often insert punitive clauses that penalize homebuyers for defaults. However, similar defaults by promoters were not subject to any penalty. These punitive clauses may be gone and homebuyers can expect more balanced agreements in future.
PenaltyViolators of the Act are subject to a stiff monetary penalty of up to 10% and imprisonment.
There are three ways to calculate the area of a property: carpet area, super-built-up area and built-up. This can lead to a disconnect between what you pay for and what you get when you buy a property. Gautam Chatterjee, Maharashtra RERA chairman, explains that “It is now mandatory for the developers of all ongoing projects, to disclose the size of their apartments, on the basis on carpet area (i.e., the area within four walls). This covers usable spaces such as kitchens and toilets. This provides clarity, which was not possible before.” The RERA defines carpet area as “the net usable area of an apartment, exempting the areas under service shafts, exclusive balcony area or verandah area, and including the area covered internally by the partition walls of the apartment”. Sumer Group CEO Rahul Shah points out that the RERA guidelines require that a builder disclose the exact area of the carpet to ensure that the customer is clear about what he’s paying. The act does not require builders to disclose the exact carpet area when selling a flat.
To register the new or existing project, there is a lot to do initially. It is necessary to prepare details such as the status of all projects executed within the last five years, promoter details and detailed execution plans. RERA will establish specialised forums, such as the State Real Estate Regulatory Authority (SRERA) and the Real Estate Appellate Tribunal to resolve disputes relating to home-buying. The aggrieved party won’t have recourse to any other consumer forums or civil courts on such matters. The RERA is a foundation for fast-tracking dispute resolution. However, its success will be determined by the prompt establishment of these dispute resolution bodies and the speed with which these disputes can be resolved. https://www.youtube.com/watch?v=uLD9FoM66vY&t=89s
Effective July 31, 2017.23 states and the union territories (UTs), have established either their interim or permanent regulatory authorities. Every state and UT must have their own regulator under the RERA. Developers cannot market ongoing or future projects until they register with either the permanent or interim regulator in their states. If a completion certificate or occupancy certificate is not given for ongoing projects, it will be rejected.Deadline for registration was July 31, 2017.. A Housing and Urban Affairs Ministry official said that only four states – Gujarat and Madhya Pradesh, Madhya Pradesh and Punjab – have created their permanent Real Estate Regulatory Authority. However, 19 states/UTs have created interim authorities. Only 23 States/UTs have made the Rules under the Act public, and six states have written the Rules but not yet made it public. Nine states/UTs have created interim Appellate Tribunals in accordance with the Real Estate Act. Only seven states have begun the online registration.
The Maharashtra Real Estate Regulatory Authority (MahaRERA) came into existence on May 1, 2017. The Maharashtra Real Estate Regulatory Authority, (MahaRERA), is one of the most active Indian real estate regulatory agencies. It has more than 25,000 registered projects, and 23,000 registered agents. Over 10,000 complaints were received by the Authority, of which 71% were resolved.
Maharashtra’s aggrieved homeowners may now be able to expect a quick and amicable settlement of their disputes with their builders. Maharashtra was the first Indian state to initiate the conciliation process under Section 32(g) of the RERA through Alternative Dispute Resolution. The conciliation process will be available online starting February 1, 2018, and hearings before the mediation benches are expected to begin in the first week of March 2018. Any aggrieved allottee or promoter (as defined under RERA) can invoke the conciliation mechanism set up by MahaRERA. A dedicated website was created for this purpose and can be accessed via the MahaRERA website.
Uttar Pradesh includes important real estate micro-markets like Noida, Greater Noida, Ghaziabad, etc. Two centres are available for Uttar Pradesh RERA. One is in Lucknow, the other in the NCR. The Uttar Pradesh RERA Rules were notified in 2016 and the state’s RERA website was launched on July 26, 2017.
The UP RERA deregistered Unnati Fortune Holdings Ltd Project Aranya Phase 3, 4, and 5 in Sector 119 in May 2019. This was a first-of its-kind order from RERA across the states. It stated that “The process following deregistration will begin in consultation with the state government” and added that it was made after the promoter failed to provide satisfactory responses to its deregistration notices. The authority stated that UP RERA had found “severe financial irregularities”, diversion and siphoning of funds, and double allotment.
The UP RERA also takes remarkable steps to ensure compliance. The RERA Section 63 has resulted in 11 developers being penalized by the regulator. The total penalty amount is Rs 2.5 crores. The Act provides that a penalty for non-compliance can be up to 5% of project cost. The errant companies, which include Newtech Promoters & Developers Pvt Ltd., Supertech Ltd. and Lucknow Development Authority as well as Antriksh Realtek Pvt Ltd and Tulsiani Construction and Developers Pvt Ltd have 30 days to deposit the amount. The Authority has instructed the district magistrates to issue recovery certificates in the event of non-compliance.
The UP RERA planned to hold an online lok adalat in Lucknow and Greater Noida this year to address grievances of homebuyers. During the lok analat, cases where complaints were filed under Section 31 of RERA and where mutual agreement is possible, or where the aggrieved parties have consented to reconciliation, would be taken into consideration. This includes all cases, pending or existing, that have been filed with the RERA secretary. The online lok Adalat has been rescheduled until further notice due to the increasing Coronavirus cases.
The Karnataka RERA Rules, 2016, was approved by the cabinet on July 5, 2017. The Karnataka RERA Rules require that every promoter, project manager, and agent must register with Karnataka RERA before the public can be reached. Up to February 2020, Karnataka RERA reported that 3,803 projects, 2,101 agents and 3,775 complaints had been registered.
The Tamil Nadu RERA Rules were notified on June 22, 2017. TNRERA is responsible for Tamil Nadu, Andaman and Nicobar Islands. Among other factors, the exclusion or inclusion of projects for registration will depend on whether they are located within the Chennai Metropolitan Area (CMA), or outside the CMA.
The Haryana Real Estate (Regulation and Development) Rules, 2017, came into force on July 28, 2017, while the Haryana RERA portal (www.haryanarera.gov.in) was launched on October 4, 2018. Panchkula is under separate RERA Haryana jurisdiction, while Gurugram is under separate RERA Haryana.
The Rajasthan RERA Rules have been notified and the website was launched on June 1, 2017. On March 6, 2019, the Rajasthan Real Estate Regulatory Authority was established with Nihal Chand Goel serving as its chairman.
The official portal of RERA Delhi (https://rera.delhi.gov.in) was launched on June 24, 2019, by Lt Governor Anil Baijal. “Launched official portal of RERA, Delhi (https://rera.delhi.gov.in). This website will promote transparency and accountability in the real estate sector. It was suggested to create an interactive forum for knowledge sharing among other RERAs. After the launch, the L-G tweeted his congratulations to the RERA team. The Delhi RERA Rules have been notified. Under the RERA, the Delhi Development Authority’s vice-chairman was originally designated as the regulator for Delhi’s National Capital Territory. With Lt Governor Anil Baijal appointing Vijay S Madan, a retired IAS officer to the position as Delhi’s full-time regulator of real estate under the RERA in November 2018, Delhi was granted this role. RTI replied that 72 complaints had been received by Delhi builders under the central realty law. The Delhi Real Estate Regulatory Authority, (RERA) said that 24 of the 72 complaints received had been resolved by RERA. It said that only 16 real estate projects have been registered in the capital under RERA.
On July 31, 2017, the Telangana government notified its RERA rules. The state’s rules will be called the Telangana State Real Estate (Regulation and Development) Rules, 2017. These rules are applicable to all real property projects whose building permits have been approved by the competent authorities on or after January 1, 2017. Many services are available for homebuyers, developers, and real estate agents. Also known as the TSRERA, the authority is looking at encouraging ease of doing business in the state. It is still to appoint its permanent head.
On March 27, 2017, the Andhra Pradesh government notified the Andhra Pradesh Real Estate Regulation and Development Rules. The Real Estate (Regulation and Development) Act was implemented in AP on May 1, 2017. The government has also launched an online website, for registration of projects and agents and for filing of complaints under the AP RERA.
The West Bengal Housing Industry Regulation Bill 2017 was passed by the state assembly, on August 16, 2017. All housing projects larger than 500 square metres, or eight apartments, must be registered with the Housing Industry Regulatory Authority (HIRA) once they have been notified by West Bengal’s government. In the next 60 days, the bill will put in place the HIRA. In the wake of West Bengal notifying its own real estate act, union housing and urban affairs minister Hardeep Singh Puri, on September 18, 2018, made it clear that there is no ambiguity when it comes to the implementation of the central law and states have to conform to it. Puri stated that a letter was sent to the state government regarding the matter. Sources claim that the Centre has requested the West Bengal government to cancel its real state act. There is already a central law covering the subject.
The Gujarat government notified the general rules for Gujarat Real Estate (Regulation and Development) rules in May 2017 and ever since, the Gujarat RERA has been in force. One can visit the the GujRERA website at www.gujrera.gujarat.gov.in
The Punjab government notified the Real Estate (Regulation and Development) Rules 2017 on June 8, 2017. The Punjab RERA was established on August 10, 2017. The largest number of RERA-registered project in Punjab is Mohali.
Bihar’s government created its own law and notified the Bihar Real Estate Regulation and Development Rules 2017 on April 28, 2017. As of May 13, 2020, the Bihar RERA has 833 approved projects.
Chhattisgarh became one of the first states to adopt the Real Estate (Regulation and Development Act, 2016 (RERA) in November 2017, when it enforced the Chhattisgarh Real Estate (Regulation and Development Rules, 2017). As of May 2020, the Chhattisgarh RERA had 1,124 approved projects and 473 approved agents. The first time that the Chhattisgarh real estate authority began hearing cases via video-conferencing was May 12, 2020. This was in response to the Coronavirus pandemic.
The 2018 Kerala Real Estate Regulation and Development Rules were notified after a lengthy delay. Previously, the Kerala RERA rules were repealed by the state government, as it seemed to favour the builder fraternity. The dedicated portal was launched again in 2020, and is now fully functional.
The state government had notified the ruses under the Real Estate (Regulation and Development) Act in February 2017 and set up the Odisha Real Estate Regulatory Authority (Odisha RERA) in October of the same year.
Madhya Pradesh is one of India’s states that has been active in implementing the Real Estate Act rules and regulations. It has more than 2,640 registered projects, and 244 projects whose registration is in progress. There are as many as 1,897 promoters and 677 real estate agents registered with the Madhya Pradesh Real Estate Regulatory Authority (MP RERA), as of June 4, 2020.
Ladakh became 34th state/union territory under the Real Estate (Regulation and Development) Act on October 8, 2020. Hailing the move, Durga Shanker Mishra, secretary, Ministry of Housing and Urban Affairs (MoHUA) said that the Ladakh RERA would open up new avenues for development of the UT and foster efficient and transparent transactions. This move will ensure that projects are delivered on time and high quality construction.
Jammu & Kashmir, a union territory, notified the rules of the Real Estate (Regulation and Development) Act 2016 effective August 1, 2020. This is the 33rd region that has notified its rules. Authorities are hopeful that the Jammu and Kashmir RERA will usher in a new wave of development and transparency in the local real estate market. Jammu and Kashmir real estate developers have been asked to submit the Form A in writing.
It is worth noting that the Centre opened the door to Indians buying property in J&K on October 26, 2020. This was due to the Ministry of Housing Affairs amending or repealing existing land laws, as per the Jammu and Kashmir Reorganisation (Adaption of Central Laws). Indians won’t need to have a domicile or permanent resident certificate in order to purchase non-agricultural land at Jammu and Kashmir.
The MHA notification stated, “With immediate effects, the Acts listed in the Schedule to the Order shall, up until repealed, amended by a competent Legislature, other competent authority, have effect, subject to adaptations and modifications directed to the said Schedule or if so directed, shall be repealed.”
Real estate agents must register under the Real Estate (Regulation and Development Act (RERA) to facilitate transactions. India’s broker segment is valued at USD 4 billion. It has between 5,00,000 and 9,00,000. However, it has traditionally been unorganised and unregulated. It will increase accountability and those who believe in transparent and professional business will reap the rewards. Sam Chopra, founder of RE/MAX India, says that agents now have a more important and accountable role. They will need to provide all information to customers and help them choose a RERA-compliant builder. With RERA in force, brokers cannot promise any amenities or services that are not mentioned in the documents. They will also have to give all documents and information to home buyers at the time they book. RERA will likely filter out inexperienced, unprofessional fly-by-night brokers. Brokers who do not follow the guidelines could face heavy penalties or even jail time.
- Section 3: A promoter can’t advertise, book, sell, or offer for sale without RERA registration.
- Section 9
- Without RERA registration, no agent can sell any project.
- In every sale that is facilitated by an agent, the RERA number must be recorded.
- You must renew your registration.
- Registration can be revoked or blocked if any breach is made to conditions of registration for a specified time.
- Section 10
- A project that is not registered can’t be sold by an agent.
- Keep books and records.
- Do not engage in unfair trade practices
- False statements can be made verbally, writtenly, or visually.
- Represent that the services are of a certain standard.
- Assume that the promoter has approval or affiliation that the promoter does not have.
- Allow publication of an advertisement in the newspaper, or any other form of service not intended to be offered.
- The agent must facilitate the possession of all documents by the allottee at time of booking.
Digbijoy Bhomik, RICS’ head of policy, explains that complaints can be filed under Section 31 (Real Estate (Regulation and Development) Act), 2016, either with the Real Estate Regulatory Authority, or the adjudicating officers. These complaints can be filed against real estate agents, promoters, and allottees. Most state rules that are appurtenant the RERA have established the form and procedure for such complaints. In the case of Chandigarh UT or Uttar Pradesh, for instance, these are placed as Form ‘M’ or Form ‘N’ (common with most other states and union territories).” A complaint under the RERA, is required to be in the form prescribed under the respective states’ rules. A complaint can be filed within the time limit for a registered project under RERA. It must relate to violations or contraventions of RERA rules and regulations or act provisions. The NCDRC and other consumer forums can be used to handle cases. However, complainants and allottees may withdraw their case and contact the RERA authority. Ajay Monga is a partner at SNG & Partners.
|Sections applicable||Offences committed||Applicable penalties|
|Section 9 (7)||Registration secured through misrepresentation or fraudBreach of terms for which registration obtained||Revocation of Agent Registration number|
|Section 62||Contraventions of Section 9 & Section 10||Penalty of INR 10,000/day for defaults that continue beyond the original unit cost.|
|Section 65||Contravention of RERA authorities’ orders||Penalty of up to 5% on the cost of each unit sold|
|Section 66||Contravention of an order of the appellate tribunal||You can be imprisoned for up to one year, or you could face a fine up to 10% of the unit’s cost.|
|Governance and transparencyProject efficiency and robust project deliveryStandardization and qualityEnhance confidence of investorsAttract higher investments and PE fundingRegulated Environment||Common and best practicesIncrease efficiencyConsolidation of sectorCorporate brandingHigher investmentIncrease in organised funding||Significant buyers protectionQuality products and timely deliveryBalanced agreements and treatmentTransparency – sale based on carpet areaSafety of money and transparency on utilisation||Consolidation of sector (due to mandatory state registration)Increased transparencyIncreased efficiencyMinimum litigation by adopting best practices|
Section 14 of the RERA prohibits developers from making any amendments to the sanctioned plan of the project, without the prior consent of the home buyers. Section 14 states that any modification to the plans or specifications of an apartment is only allowed with the written consent of the home buyer. However, the developer must obtain the written consent of at least two-thirds (or allottees), of all home buyers or allottees in order to alter the layout of the whole project. In the case of Madhuvihar Cooperative Housing Society, others vs Jayantilal Investments, 2010 (6) Bom CR 517), the Bombay High Court had the opportunity to interpret Section 7 of Maharashtra Ownership of Flats (MOFA) 1963. This section is very similar to Section 14 of RERA. The Bombay High Court ruled that a home buyer’s consent must be an “informed consent”, meaning that it must be freely given after being informed by the flat purchaser of all details about the proposed project or scheme. The consent must also be specific and relate to the particular scheme or project of the developer. Additionally, blanket consents or general consents obtained by developers prior to signing agreements were legally null. Because Section 7 of MOFA is similar to Section 14 under the RERA, the Madhuvihar Cooperative Housing Society case ruling will apply to all cases before the Real Estate Regulatory Authority or the Real Estate Appellate Tribunal.
Durga Shanker Mishra was contacted by the Forum for People’s Collective Efforts. Durga Shanker Mishra received a letter from the Forum, stating that the nearly two-month delay in implementing the RERA in the State was causing homebuyers a lot of hardship, and delaying justice for those who are considering filing new cases. This action by the home buyer’s body comes just two months after West Bengal’s Housing Industry Regulation Act 2017 (WBHIRA) was rescinded by the Supreme Court in May 2021.
“This indefinite adjournment causes great hardship to home buyers as justice is delayed and those who are considering filing new cases don’t know where to go. “The limbo created a vacuum for any type of grievance redressal mechanism in West Bengal for home buyers,” read the letter.
Updated on June 1, 2021:
CREDAIRERA seeks to extend project timelines
CREDAI, an industry body, has requested the Ministry of Housing and Urban Affairs for directions to states to extend the validity of any existing approvals registered under the RERA. The industry body CREDAI wrote to the ministry stating that there will be delays in construction projects’ life cycles due to shortages of labour and disruptions in the supply chain for raw materials.
December 1, 2020:The Supreme Court has ruled that aggrieved buyers can appeal to both the state’s realty regulatory authority and the National Consumer Disputes Redressal Commission, since they are under the same jurisdiction. A developer firm claimed that RERA will be operational and all complaints and inquiries regarding construction and completion must be directed to the regulatory body. This was rejected by the apex court.
The NCDRC is a court, according to justices UU Lalit & Vinet Saran. However, the commission can’t be considered a civil court. Justice Lalit clarified that Section 79 does not bar the (Consumer) Commission or Forum from considering any complaint under the Consumer Protection Act.
The same verdict was delivered by the Delhi High Court (HC), in 2019. Kapil Wadhwa waited for possession of his Noida-based property since over three years. He was one of many aggrieved buyers who had approached different advocates to represent their cases. Wadhwa, like many home buyers had only approached the NCDRC.
Many builders sought relief on grounds that any pending cases against them should end in the NCDRC. This was in response to complaints from home buyers under the RERA. Justice Prateek Jalan rejected 62 of these petitions. This is a huge win for buyers. The RERA allows home buyers the ability to withdraw pending or previous cases under the Consumer Protection Act (CPA). Developers also have the right to make the same argument. Delhi HC stated that RERA and NCDRC’s verdicts are ‘concurrent’. In previous cases similar to this, both the Supreme Court (SC), and NCDRC have affirmed that cases can be run simultaneously for the benefit of buyers.
The Centre will establish a common online platform to allow RERA authorities from all states and UTs to communicate.
The centre plans to create an online platform that will connect all real estate regulatory authorities of all states and union territory, in order to facilitate communication between home-buyers, builders, and authorities. June 26, 2019:Durga Shanker Mishra (Host and Urban Affairs Secretary) has stated that the central government plans to establish a common online platform for all real estate regulatory authorities of all states and union territory, which will strengthen the real-estate law. All states are required to establish their own real estate regulatory authorities (RERA) under the 2016 Real Estate (Regulation and Development) Act. This provides home buyers with proper protection. We are working on a platform where RERAs from all states and union territory (UTs), can share their views. He stated that RERA would be stronger with this platform.Also see:Delhi RERA receives 72 complaints about builders RTI reply
Mishra stated that any state RERA can access the online platform to study the order of other states in a specific matter. Home-buyers and builders are also able to voice their opinions on the issue. The secretary gave details on real estate projects at the fourth anniversary of PMAY(U), AMRUT, and Smart Cities Mission. She stated that to date, more than 42,000 projects have been registered under RERA while over 32,000 agents have been registered. The ministry stated that home buyers won’t be able to benefit from the Credit Linked Subsidy Scheme under the mission if the real estate project has not been registered under RERA. Under PMAY (U), home-buyers can avail an interest subsidy of up to 2.67 lakhs.
Hardeep Singh Puri, the minister for housing and urban affairs, stated that RERA has made a significant impact on home-buyers’ lives. Mishra stated that RERA had been notified by 30 states and UTs, but West Bengal had notified its real estate regulator, the Housing and Industrial Regulation Act of 2017.(With inputs form PTI)
In some cases, developers even forgot to mention the date of possession, causing financial and mental trauma to homebuyers. The Maharashtra Real Estate Regulatory Authority (MahaRERA) took note of this issue and ordered Skyline Construction Company, in a recent judgment, to reimburse Rs 1.06 crores and interest of 10.55 percent to actor VrajeshHirjee. Aparna Singh had purchased a flat at Thane’s residential development. However, Aparna was unable to claim interest relief under Section 18. According to the Real Estate (Regulation and Development) Act (RERA) rules due to the lack of the possession date in her sale agreement. The RERA tribunal ordered her to pay interest, even though she had not specified the date in the agreement. Sulaiman Bhimani is an RTI activist and the president of Citizens Justice Forum. He says that developers use this trick to avoid the law by not mentioning the date. Home buyers now have the option to file a complaint with RERA or the consumer court regarding the promise made or unreasonable delay. If the buyer isn’t satisfied with the order within 60 days, they can appeal it at the appellate tribunal. You can appeal the decision of the appellate tribunal to the highest court in each state. Updated January 2, 2019,
A committee was formed by the government to make recommendations for strengthening the Real Estate (Regulation and Development) Act (RERA) and to eliminate any difficulties in its implementation. This was announced by an official on December 31, 2018. Shiv Das Meena joint secretary for urban affairs and union housing made the decision to create the committee. This comes after four workshops were held by the ministry where home-buyers gave suggestions for the Act’s effective implementation.Also see:Can RERA reverse ‘forced consent agreements’ that were obtained by builders to alter project plans?
At the moment, 28 states and territories have notified the rules of the real estate law. “The ministry has established a committee headed by Shiv Das Meena, its joint secretary. The panel will review the suggestions made at the RERA workshops and make recommendations to the ministry. According to PTI, the committee will also examine whether changes are necessary under the removal of difficulties in the central law’s section.” He said that amendments to RERA may be suggested by the committee if necessary. The panel’s first meeting will take place on January 3, 2019.
The Real Estate (Regulation and Development Act 2016 was enacted by the Government of India on 26 March 2016. All its provisions went into effect from May 1, 2017. Developers are allowed to register their projects under RERA until July 2017. Real estate agents who fall within its scope are also required to register. Many states are still required to notify the Act’s rules. Buyers will also need to be aware that developers and promoters need to register their projects in RERA.
As of October 24, 2018, 28 states and union territories (UTs) have notified the Real Estate (Regulation and Development) Act (RERA) in the country, Housing and Urban Affairs Ministry spokesperson, Rajeev Jain said. The ministry reported that 20 states and UTs had set up real estate appellate courts under the legislation. Seven of these were’regular’ tribunals while 13 were ‘interim real estate appellate court’. Jain said that 22 states had fully functional web portals as a result of the legislation. Jain stated that 27 states and UTs had created the real estate regulatory authority. Of these 13 were’regular regulatory authorities’ while 14 were interim’. Six states in the north-eastern region – Arunachal Pradesh, Meghalaya, Manipur, Mizoram, Nagaland, Sikkim – have yet to notify the Act or to notify its rules. West Bengal, however, has notified its own law regarding real estate – the Housing and Industrial Regulation Act, 2017, (HIRA) instead of the RERA.
Six north-eastern countries have agreed to implement the Real Estate Regulation Act (RERA), almost two years after it was passed by the Parliament. This will allow them to protect the interests of home buyers in these areas. Arunachal Pradesh and Sikkim, Meghalaya and Manipur, Mizoram and Nagaland had not notified the RERA due to land and other reasons. This development came after a team from the Union Housing and Urban Affairs Ministry visited north-eastern countries on October 26, 2018. They held a workshop and discussed issues that could prevent them from notifying the Act.