Posted on 02nd June 2017 Author: Planet Homes
How will RERA affect the home buyers?
The Real Estate (Regulation and development) Act, 2016 has been enacted to ensure the sale of real estate projects, in an efficient and transparent manner and to protect the interest of consumers in the real estate sector. The Maharashtra state government has implemented RERA from 01 May, 2017 in the state through The Maharashtra Real Estate Regulatory Authority (MahaRERA).
Apart from regularizing the real estate transactions, the provisions of this act would enable the establishment of an adjudicating mechanism for speedy dispute redressal and the establishment of the Appellate Tribunal to hear appeals from the decisions, directions or orders of the Real Estate Regulatory Authority.
Eventually, RERA is expected to protect the people at large from the unethical practices. Here is the list of some of the benefits of RERA for the home buyers.
1.Compulsory registration of projects
The MahaRERA website would display all the projects that are registered under MahaRERA, which the home buyers can refer to check a project’s authenticity. Also, all the advertisements about any real estate project would have to carry the MahaRERA registration number, so home buyers can note it.
2.Only registered brokers allowed
At the time of applying for registration, the promoter would have to indicate the names of registered real estate agents, who can work as a broker for the project. Home buyers can see their details on the website and only entertain those authentic brokers.
3.Protection from glitches in project
The act prescribes compulsory furnishing the deadlines for completion of a real estate project and it also describes the penalties and punishments for delayed projects. Homebuyers can approach MahaRERA authority in case of non-compliance by any developer.
4.Payback in case of delayed possession
If a project is delayed due to the developers, they would be responsible for paying the monthly interest on the bank loan for an under construction project, until the possession is handed over. The home buyer can approach MahaRERAin the case of delay in getting the possession.
5.Reduced booking amount
The booking amount has been reduced to 10% from the earlier 20% of the total sale value. The home buyer needs to pay the booking amount only after registering the agreement for sale with the builder.Now you can easily book your first house, at really low booking amount, in fast developing Thane area.
Read more about things to keep in mind while buying your first house: https://www.planethomes.in/blog/13-Things-to-Keep-in-Mind-while-Buying-Your-First-House
6.Construction quality assurance
The provision of RERA assures protection of the home buyers from bad construction quality and defects, for five years after the possession. The home buyer can complain the builder about genuine construction defect and any shortcomings which the builder must resolve within 30 days.
7.Fixed price and project plan
The developers are not allowed to make changes in the project plan on their own. The home buyer’s written consent is required for making changes in the project plan or the price. The home buyers would be protected from irrational price escalations now, due to RERA.
8.Sale only on the carpet area basis
The projects cannot be sold on the basis of the super built up area which also includes the proportionate ofthe area of common accesslike lobby, stairs,common amenities etc. The carpet area would let a home buyer know the actual usable space of a property.
9.Quick disposal of complaints
The complaint by any aggrieved person to MahaRERA authority would be expeditiously resolved within sixty days of filing the same. The home buyers can expect speedy proceedings on their complaints against developers.
Read more about MahaRERA authority, RERA act and its provisions: https://www.planethomes.in/blog/Everything-You-Want-To-Know--About-MahaRERA
Maharashtra is one of the few states in the country which has set up a regulatory authority and implemented RERA in India. These provisions would help everyone to do real estate transaction with utmost transparency and accountability. From promoters to home buyers to the Real Estate Advisors like Planet Homes, every stakeholder has been covered in the ambit of this act. Real estate industry in Maharashtra is set to lead India, to a new era, of progress with prudence.
Please share this information on RERA, to all the home buyers, and help them in making the right decision. Call Planet Homes on 022-4125 6000 or send an email to email@example.com, for more information.