The Real Estate (Regulation and Development) Act, 2016 (RERA) is a landmark legislation that has brought transparency and accountability to the real estate sector in India. The Act was introduced to protect the interests of home buyers and promote fair play in the real estate industry. Here are some of the benefits of RERA for home buyers:
1. Transparency: RERA mandates that all real estate projects must be registered with the regulator and provide complete details of the project, including the land title, approvals, layout plan, and schedule of completion. This ensures that home buyers have access to all relevant information before making a purchase.
2. Timely delivery: RERA requires developers to adhere to strict timelines for completion of projects, failing which they may face penalties. This ensures that home buyers receive their homes on time and are not left waiting indefinitely.
3. Quality assurance: RERA mandates that developers must use standard construction materials and follow approved building plans. This ensures that home buyers receive quality homes that meet the necessary safety and quality standards.
4. Protection against fraud: RERA requires developers to maintain a separate escrow account for each project, where they must deposit 70% of the funds received from home buyers. This ensures that developers cannot divert funds from one project to another, reducing the risk of fraud.
5. Grievance redressal: RERA has established state-level Real Estate Regulatory Authorities (RERAs) to address grievances and disputes between home buyers and developers. This ensures that home buyers have a platform to voice their concerns and seek redressal. Overall, RERA has brought much-needed transparency and accountability to the real estate sector in India, making it a more favourable environment for home buyers.
By LNN (Liyaans News Network)