Uncategorized

RERA Digest: Builders To Promise Buyers With 5 Years Of Project Warranty

At the time of possession, builders will have to promise a 5 years’ warranty on the quality of the construction to the buyers. Any minor dispute within the given time-frame can be the subject of complaints against the builder. Again, the builder-buyer sale agreement will have to mandatorily follow RERA rule book

 

In a seminar in Raipur, held on February 7, 2018, subjected on RERA and RERA Compliance, RERA Consultant, Advocate Shubhra Kanti Roy Chowdhury had an interaction with the city developers, where he answered several RERA related queries of the builders. The seminar was attended by several eminent builders of the city. 

 

As per the RERA consultant, builders have to give a guarantee on the exterior structure as well as the interiors fixtures under the Act. Accordingly, the builders will have to submit relevant documents supporting the given quality of the construction. 

 

The agreement is compulsory after 10% of the booking amount given by the buyers. Post-agreement builder can’t modify or cancel the deal. Buyers can raise their complaints against the builders on the legal platform provided by RERA. State RERA Authority holds the right to crosscheck and audit the validity of those complaints. Builders are required to submit the registration numbers of the chartered accountants and the engineers prior to it. Builders are asked to obtain all the relevant civic approvals and certificates regarding their respective project and start giving possession after getting hold of all the required, legal documents. Builder will have to hand over the possession to the housing society within in a period of one month as he can’t hold the property after obtaining all the necessary approvals.

 

Explaining the central government implemented Act RERA consultant Adv. Shubhra Kanti Roy Chowdhury said, “The government started planning RERA outlines since 2013. It’s expected that things will be changes post-RERA implementation. Being a consumer-centric Act, RERA will protect buyers’ rights to a great extent. Yet, there are multiple provisions of the central Act are still not clear to the stakeholders which are expected to be solved with more involvement of the state governments.”

 

Here’s the gist of his advises in a nutshell for the potential buyers-

·         Only invest in those flats, plots and shops which have been registered with the state RERA authority. Choosing RERA registered projects for investment will make you eligible for filing complaints against errant builders.

·         RERA will provide registration numbers to the builders irrespective to the type of the projects. 

·         Buyers can raise complaints to the state RERA Authority against the builders. Builders will have to abide by the order given by the Authority. Neglecting which can set them behind the bars for 3 years.

·         Not only have the real estate companies and projects, all the real estate stakeholders such as- promoters, real estate agents, co-promoters and mediators had to be registered with the respective state RERA Authority.

·         Developers and real estate agents are barred from advertising or promoting any real estate project without valid RERA registration number.

·         Real estate projects completed before the enforcement of the RERA Act i.e. May 1, 2017 will not be included in RERA ambit. Apart from that every on-going project will be automatically drawn under RERA.

 

“RERA is an Act to protect homebuyers and bring accountability in every realty transaction. Both the buyers and the sellers will have to have a clear conscience about the regulatory framework. RERA ensures a complete regularization of the realty practice in India and a successful execution of RERA will instil better transparency in the real estate value chains in future. Reconstruction of the real estate sector can consolidate the mainstream economy of the country to a great extent,”- said, Mr Mahesh Somani, Chairman- National RERA Committee, National Association of Realtors India (NAR-INDIA).

 

 

Published On : 9th February, 2018

Post Comment

Bitnami