RERA Introduced Some Changes
Apr 24, 2019 Real Estate News
Since RERA was introduced in 2017, it has made efforts to change the face of real estate in India. More transparency and more reliability between both buyers and the builders is the aim that RERA hopes to achieve. The law was introduced to stop the builders from exploiting the interest of the buyers and addressing the grievances of the buyers.
The RERA has now implemented a few more laws for the ongoing projects to tweak the transparency and reliability. We discuss them below:
The RERA has now implemented a few more laws for the ongoing projects to tweak the transparency and reliability. We discuss them below:
Long term lease properties:
It is a common understanding the RERA covers only the properties that are up for sale. But in the recent hearing, the Bombay High Court ordered that the RERA laws extend to the long term lease properties as well.Complaints against the unregistered projects
According to the order from the Bombay High Court, the MahaRERA will now accept the charges against the unregistered projects as well. To register the complaint, the consumer will have to submit the fees of Rs 5000 and will be able to file the complaint starting August 16th.Ocupancy certcificate
The MAHA RERA has directed the builders to get the occupancy certificate within three months of project completion or pay the interest amount to the residents of the building. It is a massive move as there are more than 10,000 buildings in Bombay which do not have the occupancy certificate. The builders have violated the FSI over time.Force Majeure clause
The MAHA RERA also passed the law that the builders cannot use the force majeure clause anymore as an excuse for the lack of approvals from the authorities. The order has been passed against the Lavasa Corporation, which is facing the insolvency proceeding. One of the homebuyers filed the complaint against the developer. The buyer purchased the flat in April 2010 and was promised by the builder that they would be able to deliver it on or by April 2014. The court ordered the builder to pay the principal amount to the buyer along with 10.4 percent interest.Past projects
The buyers have targeted the RERA as it does not cover previous projects and the projects that are have been under construction for a long time. The Haryana RERA made it clear that they do address and look into the past projects as well.Housing society also a promoter
Maha RERA recently made it clear that the housing society is also the promoter. According to the definition of a promoter in RERA, “the redevelopment project is covered, and that liability of the persons constructing or converting buildings into apartments and those who sell apartments to different persons shall be joint”.Pay according to the project completion status
According to the MP RERA, the government body can charge the money on the dated schedule only if the construction is complete. However, if the project is still under construction, the money demanded will depend on the state of the construction status.Home buyers can remove the developer
If the project has been delayed, then the home buyers can apply to remove the developer. The RERA committee will then hand over the project to another builder who will be able to finish it on time.Looking for property portal?
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