• Advice on RERA
Promoters
Getting an Ongoing project registered under RERA is mandatory.
• An ongoing project is defined as one which has not received OC/CC from the local authority.
• Penalties for not registering an ongoing project is equivalent to 3 years of prison for the promoter or 10% of the project value.
A new project unless it is registered under RERA cannot be advertised (marketed/sold).
RERA adds credibility to the Promoter’s Project, it is a stamp of approval from the authority.
RERA also allows builders to plan ahead of time and manage project finances with strong discipline and a clear outlook.
Agents
RERA registration for Agents is mandatory before one sets out to sell any unit in a RERA registered project.
RERA adds credibility to the Agent as it is a stamp of approval from the authority.
Any agent without RERA registration if found guilty of selling any unit can be penalized 5% of the unit value in question.
Buyers
RERA is a boon for home buyers. It allows the buyers an assured project completion date.
It also assures and guarantees the buyers of a 5 year defect liability period where any structural defect or any defect arising from poor workmanship within the 5 year period is to be rectified by the Promoter of the project.
RERA also assures the buyers that the money paid by them is utilised towards timely and proper completion of the building.
RERA gives liberty to an aggrieved buyer to claim penalty for delayed handovers.
Buyers are more secure with a clear declaration of the title of the land on which the construction is being executed.
RERA is a definite boon for the aggrieved buyers and other potential buyers too!