The Real Estate (Regulation and Development) Act, 2016 has made sure that each state has a real estate regulator called Real Estate Regulatory Authority, or RERA, in short.
RERA has vastly simplified the critical aspects of verification and checks for home buyers, as developers are now mandated to advertise every project they launch after first obtaining a RERA registration for that project.
This obliges each developer to upload on the state’s RERA website every detail of their project, beginning with the approvals and title of the land upon which it is being built to the specifications like size of each flat, the amenities provided, the layout map, etc. Buyers can look up a project on the RERA website after noting its registration mentioned in the advertisement.
SIZE OF THE PROPERTY
Any projects with a unit size of a minimum of 500 square metres, or comprising eight residential units, comes under the purview of the act and the builder must register the project under RERA before advertising or launching it.
Now that the law is in place and gives buyers neverbefore security against fraud; always buy in a project that advertises with a RERA registration.
All RERA-compliant projects have a unique number. This number identifies the project and its RERA compliance. This number can be used by buyers to check the details about that project on the state’s RERA portal.
Buyers must visit the RERA portal and check details of the project that interests them. By using the RERA number, you can get all the details related to your project on the RERA portal.
“Once the RERA number is noted for a project, buyers can go to their respective state RERA website and search for the project by that number. This will give them all the relevant details about the project and confirm whether the project is RERA-compliant or not,” Deepak Kapoor, president of Credai-Western UP, said.
RERA mandates that 70% of the amount realised for the real estate project from the allottees, from time to time, must be deposited in a separate account to be maintained in a scheduled bank to cover the cost of construction and the land cost of that project alone. Developers with projects registered under RERA must provide proof that 70% of the total payment has been deposited by them into an escrow account opened specifically for that project.