WHAT IS RERA, ITS FEATURES, AND APPLICABILITY?

RERA is called Real Estate Regulation Act, 2016. It is an Act passed by the Indian Parliament. It was passed on 10th March 2016 by the Rajya Sabha and o 15^th March 2016 by the Lok Sabha, which became effective on 1^st May 2016. It was introduced to ensure the sale of apartments, flats, and plots, etc. it in an efficient and transparent manner. The RERA seeks to protect the interests of home buyers and also boost investments in the real estate sector.

"Real estate is defined as the property, land, buildings, and air rights above land, and underground rights below the land. For example, residential, commercial, industrial, and vacant land, etc. RERA is a protection for the consumers". It is like the first watchdog for real estate that had long remained unregulated.

RERA seeks to bring clarity, and fair practices to protect the interest of buyers and impose penalties on errant builders. This Act does not deal with the regulation of development of land or construction on land as such. The regulations under RERA is only in respect of developed land or the construction made for the purpose of sale.

RERA seeks to regulate transactions relating to the sale of flats, plots, apartments, or buildings in relation to the real estate project. RERA specifies certain norms for building and development of real estate which will enhance the transparency in transactions in the real estate sector.

SALIENT FEATURES OF THIS ACT:

1. Establishment of RERA in every Indian state in order to monitor as well as adjudicate and arbitrate the disputes with respect to real estate projects.
2. All real estate projects must be registered under the Act so that the authority will have jurisdiction over the project.
3. In case a promoter wishes to transfer or assign a majority of your rights and liabilities in real estate projects to a third party a written consent from two-thirds of the allottees will be needed in addition to the written approval.
4. If there is a default from the side of both buyers and the promoters, both will be held liable to pay an equal rate of interest.
5. If a person has any problems regarding violation of the provisions or rules of this Act. By a promoter, buyer, or agent, can file a complaint with RERA.
6. If a company commits an offense under this Act. Any person who oversaw the business at the time of the offense being committed and the company will be held guilty and will be punished.
7. If any person is not satisfied by the RERA decisions regarding a complaint. The aggrieved party can submit an appeal before the Appellate Tribunal.

APPLICABILITY OF RERA

RERA is applicable to all builders and developers except the following:

1. Where the area of land proposed to be developed does not exceed 500 sq. meters or the number of apartments proposed to be developed does not exceed 8.
2. The promoters have received competition certificate before the introduction of RERA.
3. For renovation, repair, or re-development which does not involve marketing, advertising, new allotment, pot, or building.
4. RERA is only applicable to the development of property and not on the remit of property.
5. RERA covers all residential and commercial projects, including shops, offices, and buildings.

This Article Does Not Intend To Hurt The Sentiments Of Any Individual Community, Sect, Or Religion Etcetera. This Article Is Based Purely On The Authors Personal Views And Opinions In The Exercise Of The Fundamental Right Guaranteed Under Article 19(1)(A) And Other Related Laws Being Force In India, For The Time Being. Further, despite all efforts that have been made to ensure the accuracy and correctness of the information published, White Code Legal and Tax shall not be responsible for any errors caused due to human error or otherwise.